16 Jan

Written by Morgan Woods on January 16, 2018

It’s the beginning of 2018 and if you’ve made a New Year’s resolution to be more sensible with your money, then keep reading. Saving money can be tough especially if you aren’t used to it, you have to get into a completely different mindset. For me it was the goal of buying a house that changed my mind and made me decide to stop spending money.

Set your goal

Whether you want to save for something important or pay off some debts then write down your goal. It’s a fact that if you write down your goal you are more likely to achieve it compared to keeping it in your mind. This goal needs to spur you on but also be realistic. Don’t forget to give your goal a date.

Write down your budget

If you don’t already then writing down your budget is also very important. You can visually see what money is going into and out of your account and this gives you the ability to change things. If you notice you’re spending too much in a particular area, brainstorm ideas of how you can potentially cut back.

Cancel Direct Debits

One way to cut back is by taking a look at all direct debits and regular payments leaving your account. If there is anything you no longer use then get rid! Still paying for the gym but haven’t been in months? Cancel your payments (just make sure you won’t get penalised by any contracts).

Reduce your grocery spend

For us as a family one of our main areas of spending was groceries. I noticed we were spending around £100 per week which is crazy. Food was getting wasted and we were so bored of the same old meals. To reduce grocery spending I started meal planning weekly/fortnightly and yellow sticker shopping. I work around any offers the stores have on and incorporate them into the meal plans. Coupons can be found in a variety of different places and cashback apps always have great deals and freebies too.

Switch up your services

Are you on the cheapest electricity tariff? Could you move to a sim only contract instead of upgrading to a new phone? Are you paying too much for your home phone or broadband? All of these could be switched and it’s easier than you may think. You can check all of these online in a few hours via a comparison website.

Pay into your savings first

If you’ve budgeted well enough you should be able to pay into your savings accounts as soon as you get paid. This way you won’t get tempted to buy unnecessary items when you see the money sitting in your current account. However, if you have any debts you may be better off paying them off first depending on interest rates. Just make sure you have a little money set aside in savings for emergencies.

Just keep going

At first saving money feels very slow and like you’ll never achieve your goal, and admittedly after one or two months you may not have a lot to show for all your hard work (even more so if you’re paying off debts). But the money will build up and you’ll be amazed in a year’s time just how much you have saved.

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