When it comes to saving more money, you’ve essentially got two options: earn more or spend less.
It’s as simple as that.
Building savings, along with other factors such as having a healthy credit score, are crucial in helping you reach major financial milestones such as buying a house.
In this article, we’re going to explore how you can earn more and spend less to give you the insight you need to boost your savings.
Let’s begin!
Ways to earn more money:
- Work more or change jobs – The most accessible way to boost your income is to focus on your current income stream. If you can, working more hours or boosting your value to the company can help earn you a promotion and more money in the bank each month. If more money is needed elsewhere, maybe it’s time to consider changing jobs.
- Start a side hustle – If you’ve already maxed out your main source of income, earning money from other streams is a good way to boost your finances. Could you freelance your services to other companies? Have you got a great business idea you’ve been holding on to? There are so many ways to make money these days, many of which you can do online from the comfort of your home.
- Sell unwanted items – Everyone has “stuff” lying around that they don’t use or want anymore, but so many people pile it into a cupboard or garage and forget about it. There’s precious money in these items, and they could just boost your savings total. Look around your house and see what you could list on online platforms like Facebook Marketplace and Gumtree.
Ways to spend less money:
- Learn to budget – Budgeting is a skill worth learning to finesse if you’re trying to save money. Without a handle on your income and spending, you’re less likely to find money to put away. Start by listing all your outgoings each month which will then give you a better idea of where you can look to cut back.
- Reduce unnecessary spending – With a budget to benefit from, you can identify areas of unnecessary spending that are hurting your saving efforts. This could be too many nights out or buying snacks and lunches while at work. There are always ways to maintain your lifestyle without spending heaps of money, you just have to be committed and get creative. See where you could spend less and make a plan to do just that.
- Shop around for discounts and better deals – Some outgoings are necessary and the only thing you can do is find ways to reduce them. Rent, utility bills, transport, phone contracts and weekly shops are some of the main points of interest because seemingly little savings here can dramatically impact down the line. Compare prices, rates and contracts with different providers to see where you could unlock some money to be saved.
- Stop those unused subscriptions – Many expenses are just there because they’ve always been there. We’re talking streaming subscriptions, shopping services and gym memberships. But if they aren’t actually adding any value to your life then it’s probably time to reconsider. That money could be better served accumulating in your savings pot and going towards something truly special.