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Originally Posted On: https://kingcash.ca/a-complete-guide-to-realistic-ways-to-save-your-money/
Did you know that the most recent reports available show that the average Canadian has just $852 saved? While you should ideally have at least six months of living expenses saved away for a rainy day, we know that’s not feasible for everybody (especially these days).
Saving money each month can seem difficult, but it’s not impossible. There are plenty of ways to save your money that don’t involve making huge sacrifices.
If you’re looking for some realistic ways to save your hard-earned cash, read on. We’ll show you how to make small changes that can add up over time. With a little bit of effort, you can easily start saving more money each month!
Understand Your Financial Goals
Financial planning is an important aspect of saving money. After all, understanding your financial goals is crucial for long-term success.
By clearly defining what you want your money to accomplish, whether it’s buying a house or planning for retirement, you’ll have a specific target to work towards.
As you work to save money, think about what you want to accomplish. Do you want to save for a vacation or retirement? Pay off debt or build an emergency fund? Once you have identified your goal, set a time frame for when you would like to achieve it.
Find a Budgeting Method You Like
It’s hard to get on board with budgeting if you’re not excited about how you budget. This is why it helps to find a budgeting method you enjoy.
One type of budgeting method is the envelope system, where you physically allocate a certain amount of cash for each category, such as groceries or entertainment, in envelopes.
Another method is the 50/30/20 budget, where 50% of your income goes towards necessities, 30% towards wants, and 20% towards savings and debt payments.
The zero-based budget means that every single dollar is allocated toward a specific category or expense. Lastly, there’s the variable or flexible budget, where expenses can vary based on income or priorities.
Whichever method you choose, it’s important to have some form of budget in place to track and manage your finances.
5 Easy Ways to Save Your Money
Now that you have financial plans and a budgeting method in place, it’s time to see where you can cut back so that you can save more money each month. While most financial gurus will provide you with tips you can’t follow, here are five easy ways to save money.
Look for Free Activities
Instead of always splurging on concerts or dinners out, look for free activities in your community. Many cities offer events like outdoor concerts, festivals, and even movie screenings in parks. Libraries often have book clubs or arts and crafts classes too.
And don’t forget about the great outdoors, especially seeing as you live in Canada near so much nature. Taking a hike or having a picnic in a park can be just as enjoyable as any expensive outing.
By seeking out free activities, you can not only save money but also discover new hobbies and experiences.
Review Recurring Subscription Fees
Netflix in Canada currently costs just under $17 per month for a standard plan. HBO in Canada currently costs about $20 per month. If you only subscribe to those two services, you’re spending at least $37 per month on subscription fees alone.
That’s why it’s important to periodically review your subscriptions and assess whether they are still worth the cost.
It may be hard to cancel services, but in the long run, it can save you money and declutter your life. Cut out any subscriptions that aren’t serving you, and use that extra cash to pay off high-interest debt or add it to your savings.
Check Your Employee Benefits
You might find that you can save a lot of money simply by tapping into your employee benefits. For example, some employers offer free gym memberships while others allow you to get on a company-wide phone plan and save up to $50 per month.
While the savings here won’t be huge, it’s a great way to see where you can cut back on costs to save more money. And honestly, why wouldn’t you want to tap into these perks? They’ll just go to waste if you don’t use them.
Sell Unused Items
Are you swimming in a sea of unused items or forgotten trinkets? Instead of letting them collect dust, why not sell them and make some cash? Freed from the clutter, your space will feel lighter and you’ll have some extra money in your pocket.
Plus, selling your stuff means it has the opportunity to find a new home where it will be used and appreciated. So, take inventory of what you no longer need or use and list it online or host a garage sale. Put that money towards your bright financial future.
Focus on the Small Expenses
That daily latte, those impulse purchases at the grocery store, eating out for lunch every day — they might seem small, but all those little expenses add up quickly. And in contrast, cutting back on these smaller expenses doesn’t require any major sacrifices or lifestyle changes.
So focus on reducing the small stuff.
- Brew your coffee
- Meal prep your lunches
- Don’t buy snacks when you’re out running errands
- Turn down that extra $12 cocktail every Friday night
- Practice saying no to those impulse buys
You’ll start to see a difference in your bank account before you know it. Plus, it’s always satisfying to say no to unnecessary purchases and focus on what truly matters in life.
Need Quick Cash?
If you find it difficult to save your money then we’re here to let you know we understand just how difficult it can be to make ends meet.
That’s why, at Kingcash, we offer easy-to-access money lending services. Through our platform, you’re able to access quick and instant loans of up to $750. We know just how big of a difference that kind of money can make when your bills or due or an emergency arises.
Click here to get a loan now.
