If you’re like many people, you may have realised that you don’t have much of a safety net if you were to lose your job suddenly or be struck by another calamity. A recent study found that the majority of Americans are only one paycheck away from financial ruin, and our culture has become about buying the latest iPhone and putting things on credit, with fewer people saving.
The fact that many people are paying off huge student loans, and in the current economy, working jobs that they’re overqualified for, means that many people simply say that they can’t afford to save.
There are, however, a few things you can do to build yourself up a nest egg so you’ll be safe.
Ditch the credit
Credit cards have some of the highest interest, and they make it easy to live outside our means. While you may put some purchases on your card, vowing to pay it off by the end of the month, often you’ll have an unexpected bill and that debt will simply stay on your card.
Some banks and credit card companies will give you the opportunity to consolidate your debt onto a card that’s interest-free for a certain amount of time. This means that you can focus on paying off the balance, instead of only making the minimum payments and paying off the interest each month. Once your cards are paid off, switch to a Visa or Mastercard Debit card, so you’re only using your own money.
When you go out, you inevitably spend more money than you were planning to. You’ll end up paying for drinks, a taxi or Uber, a meal, and more. Many people like to go to casinos as they’re a good chance to win some money, however you can also end up spending much more than you win. Try so you can have the chance to win big while playing in your pyjamas.
Do it together
Whether you have a family, a significant other, or a close group of friends, it’s likely that you all need to save some money. If you have a family, get the kids on board and use this as a great way to teach them about the importance of saving. Give them some chores to do around the house and pay them a few dollars so they can learn about hard work and saving money.
If you’re trying to save for a large purchase like a house, it’s important that you and your significant other are on the same page. There are different ways that you can do to save money when staying home, watching Netflix or having a games night is a great way to save cash every week, and you can for more information.
While you may have different incomes and therefore have different savings goals, if one person is continually going out and having fun and the other is cutting back and saving, it’s easy to get annoyed and give up. Instead, vow that you’ll save money together and meet your saving goals. S