Setting your savings goal
Saving money takes a lot of dedication and commitment, understanding your style of spending can help get you started. You should consider setting a monthly savings goal to help you reach your overall target, the Money Advice Service’s savings calculator will help you do this.
Making saving a habit each month will help you keep to your goals and achieve your overall target. To help with this, you may wish to consider setting up a standing order into your savings account.
Managing your spending
Managing what you spend each month can make it easier for you to save. Here are some handy tips to help you control your spending.
Create a budget
You may want to think about making a diary to keep on top of what you are spending. This will help you to prioritise your spending to see what is essential and where you think you can cut back. From here you can then set yourself monthly goals to help get you started towards your savings target.
It might seem convenient, but rather than getting your card out every time you shop, try using cash to buy non-essential items. This could help you to cut back on what you are spending as you can actually see the money going, it just might make you think twice.
When you go shopping it is important to think about the deals on offer and always make a list before you go. If you weren’t planning on buying it in the first place are you really getting a good deal? This will help you to avoid impulse buys and feel more in control of your spending.
You may find that planning for costly events will help you to stay in control of your money and understand what you really can afford.
For more information on managing your money, visit the Government’s Money Advice Service website.