Are You Doing All You Can To Save Money?
With us only being almost two weeks into the new year, it is still a good time to figure out what we want to change and what we can do better throughout the year, like saving money. The new year is one of the best times to assess your finances and resolve to do better. In 2019, 37% of people are planning to make financial changes throughout the year but only 8% will actually create lasting changes.
Why is that?
Everything we do, every single day, usually involves spending money of some sort, which is followed shortly thereafter by a complaint or an internal struggle punishing yourself for spending. Of course, spending money is in no way something we can avoid all together but we can figure out how to create a better system to spending it.
Fun Fact: For every 10 years you delay saving, you’ll need to save three times as much to catch up.
Here are some useful tips that can help you and your family budget better or just save money all together.
1. Apply the 50/30/20 rule. This rule can give you an illustration of what needs to be fixed so you can be on your way to saving for the future and living comfortably.
50% of your after-tax income goes towards monthly needs like groceries, housing, utilities, car payments, etc.
30% goes towards wants like cable or anything that wouldn’t drastically alter your life if you missed a payment.
20% goes towards paying off debts and into savings.
2. 30 Day Rule… All about impulse control.
This rule requires you to consider the value of what you want to buy. Avoid the temptation with impulse buys and sit on it a little longer.
If you still want it after 30 days, then go back and get it.
Use cash if you absolutely have to buy it right away, not a credit card.
3. Set manageable goals.
Instead of setting a goal like “improve my finances” set a more narrow goal like “save $30 a week”.
4. Create a family budget.
Those who have a household budget are better prepared to overcome unexpected financial challenges while staying on track to reach savings goals.
And if those are a little too tricky or advanced for you, here’s some super simple ways you can save money…
- Turn off the television, it’ll save you tons on your electricity bill.
- Stop collecting and start selling… Do you really need those beanie babies?
- Write a list before you go shopping -- and stick to it.
- Turn off the lights.
- Don’t eat fast food.
- Try generic brands of items you buy regularly.
- Avoid the mall.
- Use a simple razor to shave.
- Don’t speed.
- Invite friends over instead of going out.
A lot of people think huge steps need to be taken in order to save money but as you can see, it can also be really simple… you just have to stay determined and realize that the more you save the better your future will be!
BUT if you still need help and find that no matter how hard you try, saving money just does not come easy, contact Bongiovanni Insurance and Financial during our office hours at (203) 237-7900 and speak to a licensed individual who can help you with Individual Planning, Estate Planning, and Corporate Planning. We can get your finances figured out for you with ease and help you create a better plan for your future!