Are you itching to save some money? Whether you’re looking for some frugal living tips to kickstart your money saving journey, or you’re looking for things you can take off your grocery list to help save money on groceries from month to month, this post is filled with many tips to help you learn how to save money fast.
Are you ready to start saving money? With these 7 ways how to save money fast, you will be a money-saving guru in no time.
7 WAYS HOW TO SAVE MONEY FAST
1. CREATE GOALS
Have you ever wondered what the difference is between people who set their mind on something, like saving money, and accomplishing it, and the people who set their mind on something but fail miserably?
What’s the difference? Goals.
Many people decide they want to save money, but they don’t know where to start or what to do, and often they don’t create goals that they want to achieve.
They decide that they want to start saving money. That’s a start, but that’s not enough to actually get you started towards saving big money.
After you’ve made the decision that you want to save money, you need to sit down and create realistic savings goals. While you can create some goals that seem way out there and nearly impossible, it is important to also create goals that you know you can achieve in a short period of time.
If you only create goals that will take you years and years to accomplish, you will soon start to feel discouraged along your money saving journey and once you start to feel discouraged and like you are getting absolutely nowhere, it won’t be long before you give up on saving money altogether.
On the contrary, you don’t want to only create goals that you know you can accomplish in a month or so as these are most likely going to be much smaller goals, and while they will offer you small victories along the way, you could easily get bored of them as it might not feel like you are making a significant change in your financial situation.
When you create goals that will take years to accomplish as well as goals that you are confident you can accomplish in just a month or two, you will have the perfect balance of small victories that will encourage you to keep going towards your bigger goals.
So, why are financial goals so important?
Financial goals give you something to work towards. They are that one thing that is going to keep you accountable and keep you going even when you start to feel discouraged or like you want to give up.
2. USE THE CASH ENVELOPE SYSTEM
The second way that is extremely effective in helping you learn how to save money fast is switching to an all cash budgeting system, the cash envelope system.
Even if you think you are good with money and you don’t spend any more than is absolutely necessary, but you regularly pay with a credit card, I want to challenge you to, even for just one month, ditch your cards and switch to an all cash budget.
My husband and I took the cash envelope system challenge last month, and boy did it ever open up our eyes.
Neither of us have ever been big spenders and we’ve always been very money-conscious, and those are the exact things that have allowed us to live as a single income family. The fact that we have been able to save up money while living on his income alone told us pretty clearly that we are pretty good at managing our money.
I was certain that we weren’t wasting money anywhere and while we would occasionally buy a coffee or something we didn’t necessarily need while we were out, we didn’t spend excessively. We paid for everything with credit cards because we wanted to earn rewards and cash back with our credit cards, not realizing that paying with credit cards was actually causing us to spend a lot more money than we thought we were spending.
When we started off our month with the cash only budget, we felt good about our situation, but it didn’t take long before we were telling ourselves no to certain purchases, because we saw how little cash we had, and we knew we had to make it stretch over the whole month.
Using the cash budgeting system was a complete eye-opener for us, it showed us that even if someone is certain they are being smart with their money, there is always room for improvement.
Even if the cash envelope system isn’t something you want to do, I want to challenge you to try it even for just one month. It’s guaranteed to be a real eye-opener.
If you’re interested in the cash envelope system, you can learn more about it and how to get started here.
3. SET UP AUTOMATED SAVING TRANSFERS
Setting up automated transfers into your savings account a couple times a month helps you save money extremely fast. It’s like they say, out of sight, out of mind. If you set your bank account up to pull a certain amount of funds from the checking account and put it into your savings account a couple times a month (many people choose to do this on the days they get paid), you won’t even see the money in your checkings account and therefore won’t be tempted to spend it.
With that money being moved right to your savings account before you have a chance to see it, it will help you be smarter with your money throughout the rest of the month as it won’t look like you have as much as you actually have.
Setting up automated transfers into your savings account is such a smart idea, especially if you’re the type of person who tends to save what is left after you’ve spent money. Automatically transferring your money makes you spend what is left only after you’ve saved your money.
4. CUT EXPENSES
Cut out any unnecessary expenses that you are currently paying for month after month. While everybody has a few unnecessary expenses that they keep around, there comes a point where you can be wasting your money on too many expenses, even on things you might not be using anymore.
Are you paying for a magazine subscription that you signed up for years ago and never got around to canceling? Do you even read those magazines anymore? Maybe you’re paying for cable when you barely have enough time to sit down for 5 minutes each day to watch TV. It might be time to cut the cable. Or you might be spending a lot of money on eating out a few too many times every month.
Maybe you have a gym membership that you are still paying for, though you haven’t stepped foot in a gym in months. Cancel your membership and start exercising at home using what you have around the house.
Write down all of the bills and expenses you pay every month, how many of those could you go without? If you find that you have a lot of unnecessary expenses, consider getting rid of a handful of them to help you save money.
5. LOWER YOUR CURRENT EXPENSES
Expenses that you can’t get rid of likely could be lowered. Did you know that lowering your cell phone bill, insurance, and other bills are often as simple as making a single phone call?
Call your service provider and ask if they have any promotions or deals happening or if they have any lower prices that you would be eligible for.
If you have been a customer of the company for many years, don’t forget to mention that. Companies like to offer their loyal customers special rates to keep them around.
I was able to lower my husband’s and my cell phone bills, while getting us more services than we had before, simply by calling the company who we are through and asking – they were more than happy to help out and offer lower rates.
6. PACK YOUR OWN LUNCHES
If you work away from the house, one of the quickest ways to start saving money is by packing your own lunches. Though grabbing a quick bite from the store is much easier, packing your own lunches from home is much more cost-effective.
If eating sandwiches every day for lunch doesn’t sound appealing to you, bring leftovers. Make sure you make enough supper so that there are enough leftovers for you to take to work for lunch the next day, pack them up that night, then in the morning while you’re getting ready for work you simply have to throw your already-packed lunch into a bag and you’re set.
Making your own lunches will save you money, and packing your lunch the night before will save you loads of time in the morning when you’re getting ready to head out the door.
7. STOP IMPULSE BUYING
Impulse purchases are those things that we didn’t intend on getting, or we really don’t need, yet we buy them anyway.
Many people impulse buy when they go to the mall, even if they went there with intentions to spend no money. If you’re a regular impulse shopper, there are a couple things that you can do to finally break free from this bad habit.
- Stop going to the mall.
Do you go to the mall just to hang out or walk around? If so, it’s time to stop as that is one of the easiest ways to get sucked into making impulse purchases. You may be walking around the mall and notice a sale at one of your favorite stores and go in to check it out, only to leave the store with a hefty $50 bill and a couple items that you really didn’t need.
The same goes for window shopping, it’s time to quit that habit, too.
- Only shop with a list.
When you do have to go to the mall or the store to buy stuff, make sure you always go with a list. Once you have gotten everything on your list, leave the store and go straight home to curb the temptation to stop in other stores “just to look around”.
- Give yourself a spending limit.
If you have enough self-control to tell yourself you can only spend a certain amount of money when you go to the store, then do that and make sure you don’t spend a cent more.
If you don’t have the best self-control when it comes to shopping, stop by your bank on the way to the store and take out a certain amount of cash and leave your cards at home. That way once you’ve used up the money that’s all you have.
- Wait 30 days.
If you see something that you just have to have, put it back and leave the store without it. Tell yourself that you will wait 30 days before purchasing it. If, after 30 days has passed, it is something that you still want and it is something you need, then you can go out and purchase it. If it is something that you didn’t really need in the first place, it’s likely that after those 30 days have passed you won’t want to purchase it as the excitement about it has passed.
Now that you have these 7 different ways how to save money fast under your belt, it’s time to go ahead and start saving. If you’re in a pinch for money and need to make some lifestyle changes that will help you save even more money month after month, check out this list of 10 frugal living ideas to try this year to help you save big money.
12 Items to Reuse to Save Money
7 Ways How to Save Money With the Cash Envelope System
6 Ways to Save Money When You’re a Natural Spender
20 Things to Take Off Your Grocery List to Save Money
Rejoice in hope, be patient in tribulation, be constant in prayer. Romans 12:12