Finding it difficult to save money in 2022? Worry less because this post is for you.
Many people are struggling with putting money aside for emergencies and other project purposes because they think it is a hard nut to crack, however, that is not the case and in this post we shall be sharing with you, tips that can help you start to save your hard-earned money smartly in 2022.
1. Record all expenses
Budgeting is great but before you can even think of making a budget and putting money aside for savings, you will have to discover what your spending habits are and the exact amount you expend monetarily. You will also need to record every single expense for the month, it should include every tip you give, bread you bought that was unplanned, everything. After knowing all of that, you can then categorize your spending. You can break them down to suit you. For example, breaking them into gas, bills, groceries, and maybe rent.
2. Include Savings in your budget category
It is pertinent that you become very intentional about your saving habit and one way to do this is to include savings in your budget category. If you do not do this, the chances are that you won’t save eventually. Your savings should be about 15-20% of your income minus expenditure, this will help you take your savings more seriously and think of doing it more often.
3. Clear off your debts
Get out of debt as quickly as you can because debts will not allow you the ability to save effectively. This smart saving tip is very important and worth mentioning twice. If you are in debt, chances are that whatever your earnings are, they are being channeled towards repaying debts and it will make putting money aside to save difficult so you want to get out of this as soon as you can so that you can start on a clean slate to rebuild your finances.
4. Try Automating your Savings
There are a couple of Apps and programs out there that can help you automate your savings once you link your bank account to it. What this does is, it helps remove the temptation of you wanting to touch your money when you are saving manually at a level that your hand can’t reach. Automated savings saves you that trouble and instils a sort of discipline in you that helps you save smartly.
5. Set Smart Saving Goals
If it is good to set smart spending goals, then it is good to set smart saving goals too! Your savings goal should be specific but realistic, what this means is that, you want to have a target for your savings that is realistic based on your earnings. You can decide to say that in a month, you want to save N50,000 based on your earnings, that is very specific and of course should be realistic as well. Goals can help keep you on track and give you a feel-good boost when you achieve them. When you reach a savings goal, you feel a much-needed happiness and boost when it comes to conquering your personal finances.
Saving smartly helps you secure your future and having the basic knowledge of personal financing, like creating and sticking to a budget is an essential skill that all adults should possess. There are a lot of learning resources available to help you make better financial decisions for your future. Stick around Questergate blog to learn more.
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