Saving money is always the least of our concerns. We can’t avoid it though, we all need it for a rainy day. Sometimes we want to make a big purchase. Other times it’s an unexpected expense. With proper creative planning you can get to your goals sooner. Some people find it easier to save money when they can see physical cash and use something like an envelope system. Others like seeing numbers in the bank grow. My favorite method is out of sight, out of mind. Automatically deducted from my balance and sent to a separate savings account every payday. Even though I do small amounts, over time it adds up to a hefty amount. You also need to know what you’re saving for. You can’t use your emergency fund money for your next trip to Paris. Unless you consider the urge to travel an emergency. Luckily there are apps now in today’s age that make it very easy to save. They even reward you for your commitment by paying interest, or making it exciting to see your balance grow. In today’s post I will share some creative ways that I have used to help me save money, even methods that I find interesting.

No. 1: Making Sacrifices

Sometimes in order to save more you have to cut certain things out of your life. For example you might have a recurring subscription that you don’t use anymore. If you cancel it you can funnel that money into a savings account instead.

Don’t want to cut it off completely? Consider downgrading. Maybe the company offers a smaller package, for cheaper. Or maybe less features? If it will save you money and you don’t use it as much consider downgrading.

When grocery shopping opting for generic store brand opposed to the name brand. This can save you a few cents per item, or even per ounce. Sometimes the grocery stores will promote and encourage generic brand by giving you extra discounts. A lot of the time the generic item is just as good if not better than the name brand.

No. 2: ‘Extreme’ Couponing

Use restaurant loyalty apps to gain extra discounts. Make a burner email you can use at restaurants or apps. Sign up for a mailing list with this email and whenever you’re hungry check your inbox you might find an unexpected deal on your next meal.

Many stores will price match in order to get a sale. If it’s inconvenient for you to drive to a competitor and get a lower price, sometimes your local store will match the price for you. Saves you gas money and actual money on the item.

No. 3: Out of Sight Out of Mind

I use this method constantly, I automatically deduct a small amount of money every week. This is done automatically and I can’t stop it. I just pretend it’s a recurring subscription. Maybe use this method after you cancel that subscription you didn’t know of? You weren’t seeing the money anyways, and not like you were using the service either. Even $10 a week adds up to $520 a year. You could use that money to pay for a tiny emergency, or maybe take a week off of work.

No. 4: Envelope System

This one is the same as above but it’s more like budgeting. Except for your daily budget, you’re budgeting for future large expenses. For example you can be saving for your next vacation using this method. You can have multiple envelopes for multiple goals. There are a few downsides to this method. Since it’s physical cash it relies on you to move it around and count it. It’s also physical so anyone that has access to your belongings will be able to access this cash, making it a little more vulnerable. Another issue is your cash loses value very quickly, and not having it in a savings account can cost you hundreds of dollars in interest a year.

There are online services that make this method easy to do virtually, all while earning interest and having your money be safer. For example Ally Bank savings account has a savings account with “buckets” which are virtual envelopes you can separate your money for different goals.

No. 5: “Rounding Up”

Rounding up to the next dollar is a great way to save money. We all do it in our head anyways. Rounding up change sometimes even makes it easier to budget since it’s easier to calculate whole numbers. Maybe even try doubling your purchase price to make it more difficult for you to spend. For example if you spend $5 on coffee you promise to save another $5. This way you will save money quicker, both by discouraging unnecessary spending and actually saving more money if you do decide to spend more. It’s a win-win scenario (for you).

Having Self Control

Once you save up a good amount of money, it can become tempting to spend it. Once you build good habits, saving only gets better. There are many ways you can save money, and the fun part about personal finance is that you make the rules. It’s your money after all. Find a method that works for you! It might be the one you least expect. What are your methods for saving more? Let me know!

Thanks for reading and see you next Sunday,
– Pablo