How could one save money in the easiest way?
Well, there are a ton of different methods in saving money. I know a lot of young people have difficulties with saving what they earn. Starting off after high school and college can be very exasperating. And it can be pretty fearful knowing things are all up to you now; no set schedule, no regulations, and no busy day without a paycheck. So, it’s time to tell yourself what to do rather than having everyone else say it for you.
A financial Bullet Journal.
If you haven’t heard of a “Bullet journal” before, it’s quite useful, to be honest. I have one of my own. It’s a great way to organize your savings to your liking and leisure.
Personally, I have a very broad bullet journal and use it not only for my finances but for other things like, daily moods or short-term/long-term goals. It’s a great way to keep track of things.
How I successfully bullet my savings is key.
Step 1: Find your highest goal.
What would be your ideal goal? If you were looking at how much money you make a month, minus all the bills you would need to pay, and make sure you have enough money for transportation/food; then how much could you actually put into your savings account each month?
For me at the moment, I can put in at least $400 a month. And my highest goal is $10,000. Now, if I do the math, I could reach there in about four and a half years depending, if by then, I get a better high-paying job, add extra money in the account, win the lottery, et cetera.
When you set your highest goal, it causes you to rethink, reorder, and stay motivated. Now, I’m thinking critically. It makes me want to work hard at reaching that goal sooner than later. Just start working harder; asking your boss for a raise or even looking for better jobs out there. Especially if it causes you hardships, like finding somewhere to live on your own, then it might be time to reconsider.
Step 2: Save little by little.
I know it’s easier said than done, but let me tell you a way that really helped me refrain myself from transferring money from my savings over to my checking. (I always felt guilty doing that… I mean, why put it in my savings to begin with?)
In my bullet journal, I listed 12 pages 12 months in a year. For instance, page 1: January, page 2: February, page 3: March, and so on. On each of the page, I stated two mandatory sub-headers that read, “Short-term Goals” and “Long-term Goals”. In my hypothetical Long-term Goals, I would write: “Save $200 this month“.
I don’t know why, as simple as that task sounds, it helped me keep saving from there. So, January would pass and then February would come. If I was a good little saver, the $200 would be untouched. Therefore I’d write, “Save $400 this month“.
Keep track of the amount your saving each month. It really helped in my opinion!
Step 3: Invest.
I am currently investing. At my age, I feel it should be a must because if you’re planning on having a long stable life, this will definitely come in handy.
There are a ton of ways to invest in life. If you’re a lazy bum like me, and technically would like to invest without lifting a finger, you can try Acorns. It’s an investing app that draws your extra change into more money (basically). Now, I know a lot of people can be hesitant towards this idea, which I completely understand. When I first heard about it, I couldn’t have been more skeptical. I researched hard and for a while until I locked into it. I will have to say, it’s quite simple for what it does. I won’t put it in too much detail, you can check out their website to read more.
I enjoy using it because of it’s clarity. The best way, in my opinion, to invest through this app is to set a recurring withdrawal from your account. Make it something that is equivalent to eating out at a restaurant for a night. Mine is set for $20. So, every month, it takes out twenty dollars out of my checking account. I let the app take out the amount after the day I get paid from work, so it’s easier to not miss it.
If Acorns isn’t something you want to lean towards, you can always Google different options.
Step 4: Buy a CD.
CD account: A certificate of deposit; a time deposit.
When I was just starting my job, I really didn’t trust myself with my money. I convinced myself that I wouldn’t be able to save on my own, without something to block me from taking money out of my savings account. Now, if you think you are definitely that type of person, maybe a CD is right for you.
I know people love to buy things and have habits sometimes, but I believe every one can gain self-control, especially with his or her money. If self-control’s oblivious, then that could mean there’s a deeper problem within that person.
A CD is to help you save money without touching it until you reach a certain point. Say you want to take out the money in a year for a better car, so you deposit as much as you can within a year, until the day you can withdrawal.
I haven’t researched a lot about CD’s because I decided I could go without, but you do have to purchase a CD. And if you take out within the time frame when you’re not supposed to, you get penalized.
Step 5; Name your TRUE high goal.
My true high goal is to move out. I’m no longer living with my parents, but I’m at a point of life where having my own space, needs to be bigger, let’s be honest. It’s not that I don’t appreciate my current living situation, but I’m closed off from where I can grow. It’s difficult for younger people. Rent rates are high, jobs are more pickier with newbies, and we’re still trying to figure out ourselves.
So, set your true high goal in life. Why do you want to save this much? What would you like to do with this money in the end? Where do you want it to lead you?
If you keep reassuring yourself with these questions, you’ll stay motivated. It’s not like you cannot buy what you want, you just have to wait until the next paycheck.