The habit of saving is not the easiest to implement; however, it is one of the most satisfying. By adopting this habit, you not only become a master of finances, but you also discover a new dimension to your life. It allows you to understand your daily expenses more clearly and make smart financial decisions that shape your future.
Here are 3 steps that will make saving become your constant ally and your financial life sustainable.
- Define a financial purpose
Do you want to have a dream vacation, or are you looking to acquire a coveted piece of real estate? It all starts with a clear and motivating purpose. By having a purpose for saving, you’ll find the motivation you need to persevere over time. Your money won’t just be saved, it will work hard to fulfill your dreams!
- Account for your expenses
Having clarity on how much you normally spend per month will allow you to have a sense of which expenses are major and which are minor. Add up your expenses, classify them, and you will see clearly where you can cut back or set limits. This exercise will help you define the percentage of your budget that you can allocate to savings.
- Use tools that guide you to savings
Nowadays, there are methods to define the savings percentage that best suits your possibilities and lifestyle. Methods such as the famous 50/30/20 help you divide your budget in a simple way: 50% for basic needs and fixed expenses, 30% for sporadic expenses, and 20% destined directly to savings. However, if this tool is not so practical for you, applications such as Money Box, Coinscrap or Arbor offer you a range of possibilities to forecast your expenses and, most importantly, make saving a practice accessible to everyone.