What do we want? Financial freedom! When do we want it? Now! There are two ways to have more money: 1) make more money, 2) spend less money (save wisely). Today we’re going to focus on the second aspect and remember the best hacks and tricks that can make saving money a little bit less daunting.
Get that INSTANT GRATIFICATION feeling without spending actual money
Shopping is fun. You purchase a new thing, your endorphins spike, and you get all excited and marvel at your newly improved life. Yet, that feeling is extremely fleeting. Soon enough, you check your bank statement and the feeling you get is anything but joy. So, the question is, how do you get that same instant gratification feeling WITHOUT buying something?
- Create a new account for something that you TRULY desire (a trip, a new car, paying off that old debt).
- Every time you deny yourself a purchase, transfer the exact amount to that account.
- Watch the sum grow, and watch yourself come closer to a real and worthy purchase/goal.
Change your money-related mindsets
Depending on where and how you grew up, you probably have certain mindsets regarding money. They might be great, but they might as well be horrific. Maybe you think that rich people are always somehow evil and that one cannot get rich and remain decent? Pick your brain and find those weird beliefs that were never yours to begin with.
What can you indeed do to save money and to use it more wisely? Write down your idea of a good life. What do you really want in your life? What is truly important to you?
After you do that, see if you have been spending money on dreams that are not yours. Maybe you’ve been influenced by your parents, your peers, or society in general? Maybe you’ve been making and saving money to purchase something you’ve been told you need but actually don’t?
Find your definition of a ‘GOOD LIFE’ and invest in it.
Don’t keep all your money in one account
Hide your money from yourself. Open another account, transfer some money to that account every month and forget that it exists. Out of sight – out of mind!
I found out about this method from my financial advisor, and it truly is great. It works well for a whole bunch of my friends and me, so… try it out!
Shocking, I know. This one is related to the 3rd one because investing also hides your money from you, except that it won’t just sit there, but it will work for (or against!!!) you.
Trading apps make investing super easy. You can buy a fraction of a share for whatever amount is comfortable for you. I recently bought 0,1 share of Tesla because I was only comfortable with spending a certain amount, and an entire share costs A LOT. Since investing is a long game, the sooner you start, the better. So GET EDUCATED and make your money work for you.
Write everything down
Oldie but a goodie. Write EVERYTHING down. This will help you answer the age-old question: WHERE THE F DOES MY MONEY GO??? (Also, where are my socks, pens, and hair bands?)
Get an app or a notebook and track your spending like a hawk. Being mindful about your spending will make you a better saver and an overall smarter human being.
Come up with a budget. Alter your spending not to go overboard. View your personal finances as if you were a CEO of a huge company. If you want to get takeout – do it. But do it mindfully.
I hope these ideas will help you up your saving game. That financial freedom is right around the corner. Grab it!