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For a long time, I treated my bank account like a guessing game, hoping there’d be enough left at the end of the month. It wasn’t until I sat down and mastered a real budget that I finally felt in control of my life. I’m sharing these budgeting tips because they are the exact strategies that helped me stop living paycheck to paycheck and start building a future I’m excited about.
Budget, savings, and money are all excellent tunes to sing, especially in the New Year! I fancy a click-worthy post with a money-related subject line. Hence, I decided to take my sister’s advice, who is an accountant, and pen this critical post for you.
As mentioned, my money advisor is my sister, who holds me accountable for saving money. Of course, she is good at saving money too. At this point, it’s a family trait. So, we’ve decided to lay down our money tips on the subject. After all, who wouldn’t want this juicy advice? In fact, the budgeting tips I’m about to share have been successful for us. That’s why I decided to disclose the secret to successful saving. And if you want my template, click here to subscribe
HOW TO SAVE MONEY IN 7 EASY STEPS
TIP 1 – Personal budget spreadsheet rule
A budget spreadsheet can be used in many ways. I used one to plan my monthly spending. This tip is my personal favourite. I cross-examine expenditures from the previous month, then organize for the next one. As an orderly, visual person, this tool also helps me avoid falling into unnecessary debt. Therefore, I highly recommend creating a personal budget spreadsheet to track all expenses. It may be exhausting, but it’s worth it if you are serious about your savings account. Click here for an example.
TIP 2 – Cash envelope rule
This tip is known as the cash envelope system. For those who don’t like using cards, this is ideal. I started using this method before my bank began the “lock card.” However, the cash envelope rule requires envelopes, markers and paperclips. First, you create a budget when you get paid, then go to the bank and withdraw the cash.
Second, label each envelope “groceries ” and ” health” and place the money accordingly. After, I’ll staple it to avoid taking money out. Side note: This tip is for those who have self-discipline. Please don’t cheat and use credit or debit cards. This tip really puts you in a straight line.
TIP 3 – The financial goals rule
How bad do you want it! This tip is where I’m honest with myself. I gather the numbers and set the dates regarding my debt and how I want my money to grow. In other words, describe your intentions for your money. For instance, include your savings, investment plan, pension, life insurance, properties, debts and others.
Moreover, I create those goals as a vision board. Because it materializes my financial goals and helps me chase my money with purpose.
TIP 4 – A financial advisor’s rule
When I did not know how to save, I sought assistance. Therefore, if you are struggling, call the bank and schedule an appointment with an advisor. It’s free!
So get your money sorted out with professional help. The advisor will break down every detail and provide you with the vital financial insights to level up your money.
TIP 5– What is the 30, 30, 30 % rule
This financial tip is after taxes and deductions from your gross. First, decide on your wants and needs. Needs are more vital than wants. So, to create the 30, 30, 30% rule, start with your essential household expenses. My first 30% is savings; the other 30% is expenses; 30% is investment; and 10% is miscellaneous.
Furthermore, keep in mind this is my example of how I divide the 30%; yours might look different. Also, this rule is for mature budget thinkers. Because it may seem easy, but it’s tough! Nevertheless, if you really want to be flourishing, you have to set priorities.
TIP 6 – The 5-dollar rule
Recently, I was introduced to this rule. This tip works well for the cash envelope rulers. In other words, it means whenever you receive a $5 bill, put it aside in an envelope. If you have a specific financial project, then the accumulated $5 bills can be used at the end of the year. I love this short and straightforward rule! It also reminds me of piggy banks. Did you have a piggy bank? (lol) Let me know in the comments.
TIP 7 – The smart shop rule
It’s easy to fall for the sales sign. But it’s a trap to get you to buy things you probably won’t need. While it may seem worth buying a $20 item, consider whether it’s financially worthwhile at the moment. I prefer to put my money toward investments or things that foster more self-love and happiness. For that matter, go for items that give you bang for your buck.
ADDITIONAL BUDGETING TIPS
Now that you have the 7 easy tips, I want to share some simple free tools to make the process even easier.
- Nice Pen
- Construction paper.
- Envelopes.
- Spreadsheets templates.
- Cash flow calculator
The next big thing is to see a financial breakthrough in 2020. 2019 was a year I levelled up my budgeting and stopped making useless purchases. My savings account is flourishing. But maturity also contributed to. Therefore, think about what you love and direct your thoughts BIG. Now, before you think I’m a millionaire, I’m not yet. I’m just in a good place financially.
Here is a video that inspired me to write this post and will help you, too.
CONCLUSION
After all, that’s my 7 easy budgeting tips to help you save money. You have a bright future with my secret tips. Those suggestions are the most practical and easy to action in your budgeting techniques.
