Between rent, school fees, food, clothes, phone, and transportation, saving money can be hard. But no matter where you are in life, it’s critical that you start saving for your future! While knowing how to start can feel tricky, it’s easier than you think. Here’s how you can set yourself up to save in just 20 minutes.
Take 5 minutes to determine your goals
Before you start saving, it’s important to set goals. Take a quick 5 minutes to determine why you want more savings. Do you want to save up for a house or pay for a wedding? Do you have enough savings for emergencies or retirement?
There are so many reasons to save and you can have multiple. But it’s important to clearly identify your goals and a timeframe to achieve them. This will help you track your progress and stay motivated. Usually, people try to save between 10-20% of their total income a month.
Take 15 minutes to make a budget
Once you’ve determined your savings goals, make a budget to help you achieve them! A budget is simply a plan to track both your income and your spending. It can be as simple as a piece of paper with a list of your income, your expenses and your goals.
Take 15 minutes to write out all of your sources of income and all of your expenses. Looking at all your sources of money and expenses will give you a good picture of where you can trim or adjust your spending to reach your savings goals.
The hardest part of saving money is just getting started. Once you’ve written down your goals and a quick budget, you can start today. Make sure to put your money in a dedicated space to make sure that your money is safe and separate from your general spending. Follow your savings plan as best you can. It doesn’t have to be scary or hard. Just get started!