With our growing needs of everyday, it is not possible to increase our earnings to match up to the expenses. Instead we can save some money from what we earn, and control the things we spend on. So, when there is an emergency you have something to rely on: your savings!
1. Make a list
Before anything else, make a list of the things you need to do and how much would you need to spend on that. As you get your paycheck, plan out various accounts into which you would be dividing your money into. For example, some will go for future education plans for your kids, some will go into family trip account, some to paying bills and some for retirement and some for ‘emergency day’.
If you think it is too much of a task to do, then take help from mobile applications that help you sort out your investments by keeping a track of your bank account or apply for automatic transfers.
2. Keep the change
Instead of giving it away, you should keep the change that you have. Make it a routine to gather all the change by the end of every week, or day (if possible), and put in into a jar. We often forget that the pennies also have value and together they add up to a lot. So, start saving them from today and use them for times of utter need or to buy something for the family.
3. Raised Income? Raised Saving!
If you have recently got a promotion at work, then it is a good way to save some money. Instead of heading to the shopping mall straight, head to the bank and raise the automatic transfer to transfer a little more to your accounts. Add the extra money to your ‘family vacation’ account so that the vacation gets closer, and better.
4. Keep The Habit
If you had a loan to pay off for which you were saving and now that you have paid the loan off, you are thinking of spending that extra buck on yourself, we would suggest that you stop for a minute and think. If you had not saved up, you would have not paid the loan. Instead of spending on something that is not entirely necessary, spend it on your retirement account, which you assure you a better future after your retirement and promise you safety when there is an emergency.
This is a habit that will always help you in times of need.
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