Saving money consistently can seem impossible to some, especially if your wallet is riddled with debt.
The most important thing to consider when you start saving money, is to work hard to clear off any outstanding debts you might have, save your mortgage. You can still save money whilst clearing off any debts, and the trick is to start with small amounts, and the build up on your savings pot as more money becomes available to you.
When I started saving, I remember I could only afford to save £10 every month, but then as more money became accessible to me, I increased the amount until a point I was able to save over £500 on a monthly basis. I believe the law of attraction was at work; because I had the desire to save a substantial amount, somehow the universe opened financial portals that made my desire reality. Where there’s a will, there’s a way. Though when I started small, over the years I have seen my pot grow exponentially. It doesn’t matter where you start, or how small you start, what matters is your determination to succeed. As long as the determination is there, you will attract what you desire.
My main focus was to clear off any debts I had, and that allowed me to free up funds for my savings goals. What also helped me was drafting a budget, and then asses my monthly goings to see where i could cut off and free up some more cash. This is the approach I took, and then I remained consistent with my plan until I had ammased over £40,000 in savings within the first two years of my savings journey. Saving that amount of money within a short space of time required a certain degree of frugality, short term deprivation for future benefit.
People’s circumstances are different, and you should do what works for you. You don’t need a big number to start, you can start from as little as £1, and then build up on that as more money becomes available to you. You need to be able to do this consistently, and this is when automation comes into play. Automation will involve you setting up a weekly or monthly Direct Debit, or Standing Order to your preferred savings account. Once set up, let the automation system take care of the monthly deposits for you, as long as there is enough money in your account to sustain the process.
- Automating your savings will ensure consistency. Set up a direct debit, or standing order from your main account to your savings account.
- It doesn’t matter how small you start, what matters is that you start, and that you have the determination to succeed.
- Check your budget, or outgoings to see where you can apply austerity measures so as to free up more money for saving.
- Make it a priority to pay off all debts, except your mortgage. This will ensure access to more funds for saving and investing.