6 Ways to Save Money Each Month ... Without Even Noticing It

Anyone with some financial knowledge knows the importance of saving money. However, it can be a lot easier said than done. Luckily, minor changes can have a significant impact.

Whether you are saving up for a new car, house, or your dream vacation, here are a few simple yet effective saving tips to keep in mind. 

  1. Set Clear Goals

The first and most important thing to do is to set your goals. They give you a sense of direction and make it easier to create a plan. Your goals have to be clear and attainable. 

You would be wise to set short-term and long-term goals. For example, your short-term goals may include:

  • Going on holiday

  • Creating an emergency fund

  • Getting new furniture

Your long-term goals could include:

  • Creating a college fund for your child

  • Saving for retirement

  1. Switch to a Cheaper Car Insurance Provider

Get cheap car insurance to save on your monthly bills. Luckily, you can switch your auto insurance regardless of whether you've had it for a few years or a month. Consider switching your car insurance for cheaper rates if:

  • You have just got a new car

  • You just got married or acquired a new home

  • Your child acquired a license

  • Your credit score has changed significantly

  • You don't drive as many miles as you used to

  1. Consolidate Your Debt

If you have different debt pools, consider consolidating them to cut down on interest payments. There are two simple ways to do this. First, you can take out a new loan and use it to pay off the existing ones. This way, you only have one payment and interest to deal with. 

 Another alternative is to consider 0% transfer credit deals. After transferring debt, you don't need to worry about interest for a specified period. It is an effective way to start dealing with your debt. 

  1. Cook More and be Smart About Eating Out 

Cooking your meals at home is a lot cheaper than eating out. In addition to cutting your monthly expenses, home-cooked meals are healthier.

Ready meals and pre-made sauces may be convenient, but they can be unhealthy. You can make lots of healthy tomato sauce with a small serving of fresh tomatoes. 

 If you choose to eat out, create a budget and stick to it. You can save money by:

  • Ordering directly from the restaurant instead of using delivery services or apps

  • Getting bottled water instead of tapped water

  • Take advantage of vouchers when ordering from sites

  • Bring your own alcohol when allowed

  1. Adjust Your Shopping Habits

Small changes in your shopping habits can go a long way. Here are a few tips for stretching your money further at the till:

  • Use reward cards to earn as you spend

  • Consider buying supermarket brands

  • Buy your staples in bulk

  1. Track Your Expenses

It would be best if you had an accurate idea of your financial position at all times. Use spreadsheets to list your savings and expenditures. Knowing where your money goes makes it easier to save it. 

 Your spreadsheet should include your mortgage or rent payments, debt, regular bills, and other essentials. Use it as a baseline to tell you how much money you should have in your account. 

The remaining amount is your disposable income. You can break everything into categories like socializing, travel, food, and hobbies. Knowing the amount you have to spend every month is essential when determining how much you should save. 

If monthly saving is an issue for you, it may be challenging to make significant or drastic changes all at once. Small and consistent changes can go a long way. Start with changes like tracking your expenses, setting clear goals, and consolidating your debt.

PersonalFinance   Lifestyle