Practical Ways To Boost Your Savings
Are you tired of spending every dime you make (or more)? Maybe you don’t like the feeling of not having a nest egg or want to save for a big-ticket purchase. Whatever the case is, your savings account balance isn’t increasing fast enough to accomplish your goals. While finding ways to increase your income or earn more money is one way to solve the problem, perhaps the answer is easier than you think.
When you’re trying to save money, you have to evaluate your spending habits. By learning how to eliminate or reduce unnecessary expenses, you generate more money to put away for future use. What are some areas you might consider changing? Continue reading to learn more.
Prepare Meals At Home
Instead of paying restaurants and fast food establishments thousands of dollars every year to provide meals for you and your family, cook at home. There’s nothing that you crave or enjoy eating that you can’t recreate in your kitchen. Yes, it requires a bit more time and energy, but the savings are significant.
Make Your Own Coffee
Buying coffee is such a common and expensive habit that it has a category all to itself. Rather than spend a few bucks every day on a cup of joe from a local cafe or restaurant, invest in the supplies to make your own. You can make Chemex coffee and add whatever syrups, spices, creams, milk, and toppings you’d like to get the same drinking experience without the hefty price tag.
Reduce Credit Card Usage
Credit cards seem convenient until they’re not. The amount you pay in interest and other fees add up the longer you take to pay the balance in full. Whether you’re paying a bill or purchasing something from a store, you have to evaluate whether the buy now, pay later concept is sufficient. If it can wait or you can afford to cover the expense in cash, it’s best to take this option.
Pay Your Bills On Time
Missing a payment and incurring a late fee may not seem like much, but it gets expensive when this is a pattern with multiple bills throughout the year. Even if all you can afford right now is the minimum balance, you should always pay your bills on the agreed due date.
Balance Online Shopping
Online shopping has become an increasingly popular option for consumers. It’s a convenient way to get products shipped right to your front door. Although convenient, you have to consider the cost of online shopping. The shipping and delivery fees can get costly. Not to mention, digital advertising can result in you being overloaded with promotional offers to buy things you don’t need. Sometimes, it’s cheaper to head to the store and make the purchase yourself.
Stop Using Out-Of-Network ATMs
When you need cash, it’s easy to head to the nearest ATM. Be that as it may, many of them charge fees that can range from $2-5. Additionally, most banks charge an additional $2-5 fee for using out-of-network ATMs. Depending on how often you withdrawal cash, these fees can add up. The better solution is to find an ATM that doesn’t charge a fee or visit your local bank.
Put Your Money In A High-Interest Savings Account
If you’re keeping your money under the mattress or in a jar, you’re missing out on an opportunity to boost your savings. By depositing your money into a high-interest savings account, the bank will pay you an annual percentage just for storing your money with them. Over a few years, this interest could add up (and you didn’t have to do anything for it).
Saving money is essential. When you have cash in savings, you can use it to advance your life in many ways. Although it may feel like you don’t earn enough money to set aside, that’s not always the case. If you eliminate unnecessary spending habits like those listed above, you’ll find that you have more cash to start building a nest egg and pathway to a brighter future.