Sometimes it feels like you’ll never be able to save enough money. Whether you’re trying to buy a house, renovate the one you own, or take that holiday of a lifetime, your goal might seem like a long way off. But with a few simple tips, you might find that your dreams are much closer than you thought.
Choose the Right Savings Account
Some savings accounts just won’t give you enough bang for your buck. Standard savings accounts can have interest rates that are so low you’re unlikely to see your money grow very much each year. However, you could change your luck with investment ISAs. These can help you to grow your money much quicker, but they do also carry an element of risk. Because your cash will be invested in a range of assets, which can include stocks or property, your savings aren’t necessarily guaranteed. In some cases, you may even make a loss but in the long run, if historic data is anything to go by, you are more likely to make gains than anything.
Before choosing an investment ISA, make sure you do your research and decide which one works best for you.
Compare Utilities and Insurance
One of the best ways to save is by making sure your monthly outgoings are as low as they possibly can be. For most of us, the majority of our income is used on bills. While you may have seen adverts urging you to switch energy providers or compare car insurance, you might have seen this as too much effort. But when you’re trying to save money, every little helps.
There are plenty of websites that make this process easier. You may even come across special offers for customers looking to switch, giving you a great deal in the long run. Remember, your current provider may even offer you a better deal when you ring up to cancel.
It’s easy to get drawn in by exciting new products and services, but when you’re not using your subscriptions they can take a real toll on your finances. Whether you’re receiving a craft magazine that you’ve never read or you’ve only watched one movie on Netflix since the start of the year, it’s time to cut your ties.
A big one that many people forget they have is their gym membership. You might have good intentions about going to work out, but canceling the recurring payment could be a better idea if you’re not putting in the hours.
Canceling subscriptions doesn’t mean you can’t still enjoy these activities. There’s plenty of free workout videos online for when you do decide to try yoga or HIIT, and you can always record a movie on your TV for later.
Stick to the Plan
If you have a savings goal in mind, you must stay on track. Treats are ok every once in a while, but if you know you can’t afford to go out to a restaurant two nights in a row, try and do something fun at home instead. Letting your friends and family know about your savings goals can help them support you too. You’ll find people are more than happy to ditch the cinema for a movie night when you explain what your plans are.