How can I grow a savings when I’m barely paying my bills?
Has this question ever crossed your mind? The great thing about savings is you can start with small tangible goals that will be beneficial for you in the long run.
Here are some tips on how to save with a small amount of money:
1. Set small realistic goals. Setting small realistic goals will help you save without overwhelming you. An example of a small realistic goal is putting $10 of every paycheck into your savings.
2. Consider setting up automatic payments to your savings. It’s easy to forget to move money into your savings every week. An easy way to fix this is to set up automatic payments to your savings every week (or biweekly). If you are paid every Friday set up a specific amount to go into your savings every Friday.
3. A percentage of unexpected money should go into your savings. When you have an unexpected increase in money (think bonus or birthday money), set aside a percentage for your savings. Example: Your given $100 bonus. Save $50 and spend $50.
4. Don’t touch your savings! It can be tempting to dip into your savings when your bank account is low and you really want something. If you find yourself too tempted to touch it at times (when there’s no actual emergency) you may want to consider having two saving accounts- one for minor situations and one for emergency situations. ￼
No matter if you have a lot of money or just a few dollars, everything adds up overtime. You will thank yourself in the future if you make the choice to save.