Imagine this. The day you receive your salary, you promise yourself to save some money. But by the time you receive your next salary, you somehow manage to spend everything you earned!
If this is your story, this one is for you.
Even though you and I both know that we are supposed to save each month, somehow we forget to do it. Why? Because the way you try to save money is wrong!
Most don’t realize this but unless you make saving a habit, you’re not going to become great at saving money. You might do it the first month. You might even do it in the second month. But you won’t continue unless you make saving a habit in your life.
So how can you build a savings habit? Just follow these steps.
Step 1 – Create a separate bank account
One of the mistakes we all make is trying to save money in the same bank account where we get our salary/income. That’s a recipe for disaster. Imagine you saved 10% from your salary. Suddenly you see a beautiful handbag. The first thing you would do is spend your savings.
That’s why you need a separate bank account for your savings. Whenever a sudden expense comes up, you can’t spend your savings because it will be in a separate account.
Step 2 – Decide how much you’re going to save each month
This is another area where many of us go wrong. Most of us try to save too much from our income. Yes, you read that right. Imagine you’re going to save 50% from your salary. And when you fail to save 50% (which you obviously will) you’re going to give up.
Your job is to make savings a habit in your life. So my recommendation is to start small. You can start by saving about 10% of your salary/income. Once you establish a habit of saving, you can start saving more.
Step 3 – Decide the date
Most of us wait till the end of each month to save money and by the end; we realize that we have nothing to save!
The ideal day to save money is the day after you receive your salary. Saving should be first. Then you can start spending.
If you’re receiving your salary on 25th each month, the date of your saving should be 26th or 27th.
Step 4 – Create a standing order
Withdrawing money from one bank account and saving in another account is a hassle. Even if you have online banking, login and transferring money is cumbersome. That’s why we give up after some time. If you want to make savings a habit, you need to automate your savings. That’s where a standing order comes into play.
A standing order is a banking facility that transfers a particular amount of money to any account you choose. All you have to do is create a standing order to send money to your savings account. That’s it.
Creating a standing order is super simple. You can visit your bank or do it online.
And that’s how you make savings a habit.
Step 5 – Make saving a part of your life
Saving is not just for money. There are other areas in your life where you can practice saving. It’s a skill you need to practice and master. The minute you start to practice saving, it will spread to all the areas in your life.
With this FREE eBook, you’re not only going to learn how you can save money, but you will learn to save things like water, electricity, fuel, environment, time etc.
This eBook is filled with super practical tips that you don’t see anywhere. And the best part is, once you start saving on your phone bill, fuel, and water bills, you’ll eventually save your money as well.
You can even start a savings challenge with your friends. The eBook has all the details. Download this FREE eBook and make savings a part of your life. Don’t forget to share this eBook with your friends as well.