To save money is one of the hardest things to accomplish. Well, that is, if you’re like me who’s always tempted to buy, spend and splurge! One day millionaire, that’s me! So I end up not being able to budget my funds and ashamedly borrowing money. Whew! Who wouldn’t want to get out of that situation?
1. Plan ahead and write all the bills you need to pay right away, as well as the expenses you will incur for the month.
Make the bills your priority because if you don’t pay them on time, you’ll surely get into big financial trouble paying accumulated interests and the like. So pay them on or before the due date. Then compute what’s left of your budget and divide them for all your other monetary priorities.
2. Prepare separate empty big bottles, cans, or envelopes for the items you listed above then label them as you please.
I’ll label mine as “Bills to be Paid,” “Monthly Expenses (such as toiletries, transportation and meal expenses, etc.),” “Savings,” and “Reward for Myself.” Have fun preparing your bottles/cans/envelopes. The better they are designed, the easier and eager you’ll be on replenishing them! Be creative!
3. Explore your options.
You can minimize your monthly expenses by trying things which will make you spend less. If you have a car, plan some days in a week when you won’t use it. Ride trains or buses, or simply walk if you’re going somewhere that’s not miles and miles away anyway. It can be more fun if you think of it as something that will help you get rid of those stubborn belly fats. You can also save by growing your own veggies and fruits and make those major parts of your meals every day. Just imagine you’ll be getting into better shape because of this!
4. The one labeled “Savings” is your “don’t-touch-unless-you’ll-add-money-inside” bottle/can/envelope.
Think of it as your future investments. When the money you put here has increased tremendously (because you’ll be adding more bottles/cans/envelopes when they get full), save some in the bank, invest in stocks, mutual funds or real estates. You may also insure yourself and likewise get a memorial plan (Well, we’ll all leave this earth sooner or later, so don’t be scared to plan ahead for this).
5. The one labeled “Reward for Myself” is your favorite for sure. What you save here will be allotted for your own personal wishes.
It can be the book, dress or gadget you’ve been dreaming to have for a long time now, or it can be the body massage and hair or facial treatment you’ve been postponing to schedule. It can also serve as your savings for the out-of-town or overseas trip you’re planning with friends, family or special someone. Whatever it is you wish to reward yourself with, it will be placed in this particular bottle/can/envelope.
6. I didn’t create a label for this last one, but my kind advisers say we should really allot some funds for this—the “Backup” savings.
Well, there are not-so-nice things that can happen in our lives (God forbid!), so it’s better to provide some money for this. Being prepared for everything goes a long way!
7. Don’t just rely on one source of income.
Think of part-time or online jobs that can help you get through those rainy days. Start with your friends! Sell them things or even services such as encoding and researching data. You may also baby sit or look after people’s pets if the need arises, for a certain fee of course.
The technique to saving money is actually very simple to summarize.
Just spend for yourself AFTER you have carefully allotted your funds to all that’s necessary. Add money to each bottle/can/envelope as often as you can, then challenge yourself to just have a simple life with simple needs.
By doing this, you (and me too!) will eventually reward yourself with blessings and comfortable life, sooner or later.