When you are determined to achieve your financial goal, it becomes crucial for you to learn how to save money by experimenting new things.
Whether it’s paying off your debt, buying your first home, or taking early retirement, you have to increase your savings and investments.
I am gonna share 5 unique money saving tips that you can follow to accelerate your savings to reach your financial goals.
1. Automate Your Savings
You are determined to save 30% of your paycheck every month but it never happens but every month you get some unplanned expenses like dining out with friends or watching a new movie released.
You can never save money because you have to skip your leisure activities to save money which is quite painful.
But if you automate your savings, it will automatically get deducted from your checking account to your savings account without your interference.
When you have saved some amount of money at the first place, you will have to manage your month with the rest of the money that will lead you to cut your avoidable expenses in a natural way.
2. Cut Your Avoidable Expenses
Sometimes we don’t bother about some expenses because those expenses are disguised as essentials. For example, if you are 3 members in the family that have 3 different gym subscriptions.
You will be paying a big chunk of your money annually on your gym subscriptions.
Now if you observe carefully that you don’t use all gym equipment while going for work out, you only use a couple of things in a repetitive manner.
Once you have realized this thing, you can easily save your annual expenses on gym by spending one time on home gym fitness equipment that will give you the comfort of your gym at home, but also save you money in the long run.
Similarly, if you are renting a wifi router from your service provider, you will have to pay a certain amount every month.
But if you buy a wifi router, you will have to pay for one time only and you will not only save money but you can also get a high-performance router of your choice.
If you become observant about similar disguised expenses, you can pull out more money to your savings every month.
3. Use Credit Card to Save Money
You can easily save some money every month by availing discount coupons or cashback offers on your credit card.
I would suggest you keep 2-3 credit cards for different purposes like 1 credit card for online shopping, 1 credit card for groceries and 1 credit card for fuel spendings.
Different credit cards will give you additional benefits while using them specifically for a particular type of expense.
4. Stop Paying Interest
Always try to pay your bills on the first day of your salary receipt, it will give you clarity for the rest of the month.
And if you are ignoring your credit card bill, I would suggest you keep that on highest priority. Because interest rates on credit card outstandings are huge. You may end up paying 40%-50% extra money in a year.
You also get an option to some minimum amount of your credit card to avoid late fee charges. When you chose that option, you only avoid late payment charges, but interest keep on accrued on your credit card outstanding.
That’s why always pay credit card or any loan repayment at the first place to avoid interest charges.
5. Buy in the Start of Sale
Companies give bigger discounts and offer on the new products on the launch day of a sale to attract more customers.
You can easily get 20-40% off discounts on your favorite products.
For example, if you are planning to buy a new smartphone, you can wait for an upcoming sale. You will get a new model during the sale at an attractive price.
Secondly, you get more variety on the first day of the sale, because as the day passes, some items either go out of stock or companies reduce the discounts.
Rather than going impulsive during the sale, it’s better to plan for the upcoming sale and save money wisely.
Final Words
Saving money doesn’t mean to live without the comforts you love. It is more about being smart and vigilant about your spending to keep up with your finances.
Once you start using these tips, you’ll be amazed to see the difference it makes. So, keep on saving to reach your financial goals.
Interesting related article: “What is Interest Rate?“