How to save money beginner’s guide.
Whether you want to save money for a wedding, dream vacation or your first home, this money-saving guide can help.
And you don’t need to wait around for the year-end bonus or a big raise to start saving.
You can start today.
And you probably know that.
You’ve seen enough money being wasted every month.
Or maybe, like many people, you can’t seem to hang on cash. You have a tendency to spend every cash in your hand even you know it’s a bad habit.
When you actually start putting all those loose cash into your savings, you’d be amazed by the result.
You’ll realize just how much of savings you can build and also how fast money adds up.
With a bit of planning and effortless tips, a year from now, you can be sitting on $5,000 in savings or even $10,000.
In this post, you’ll learn how to find that extra cash every month and how to put it towards your savings.
If you’ve been wanting to start saving money, this step-by-step guide is what you need to start and reach your goal.
More importantly, sooner you start, faster you can save, so let’s get started.
And as a bonus, I have free printable saving planners you can use along the way!
This simple money-saving guide will help you learn how to save money in your monthly expenses.
So, How to Start Saving Money
Like anything else in life, to save money, you need to plan and set a goal.
This is because most people do better with a goal in mind.
Whether you are planning a wedding or buying your first home, your purpose gives you motivation. It gives the willpower above anything to make this happen.
But what actually gets you to reach your savings goal is your planning.
In personal finance, it’s called budgeting. It’s your financial footprint to successful money management.
Granted. Many people think budgeting as restrictive and boring. But in reality, it’s the opposite. Budgeting is actually very freeing. It puts you back in control of your money and it finds extra cash.
It’s almost like treasure hunting in your own monthly finances.
Budgeting and looking at your own expenses reveals careless spendings you can cut.
It’s actually pretty gratifying to see how much you can already save by finding those lose money.
Working your budget and seeing money leftover at the end of the month is also liberating.
Not to mention, budgeting is about setting a priority in life. So following it on a monthly basis ensures that your needs and wants are being met to the fullest extent.
If you are ready to go money hunting with me to start saving for special something, let’s get started.
1. Write Down Your Expenses
The first step is to write down your expenses. In this step, you’ll find if there is any waste in your monthly spendings. Remember, the money you are currently wasting will be put into savings at the end of this process. So more wasted areas you can find, more money you can put away and faster your savings grow.
You are going to need a pen and paper for this.
You can use my expense list for this step or you can start from scratch on a piece of paper. Whatever works for you is fine.
Once you are ready, write down all your monthly spendings.
To do this, gather up your receipts and monthly bank and credit card statements.
If you use cash for purchases and don’t have receipts, start writing down every time you buy something.
No matter how small or insignificant it looks, write it down.
When you write down each of your purchase, write down its date, amount, and description.
Just by reviewing your expenses one by one has its own merit. It’s how you spot careless spendings.
During this process, I found out about my $200 Dropbox yearly subscription I forgot to cancel. I also found an overcharged phone bill.
There are usually some unnecessary, wasteful spendings hidden somewhere.
After you have all your purchases, review them to spot unintentional, wasteful spendings. Mark or highlight them and total up those expenses.
Total of that can go directly into your savings going forward.