Top 5 Ways To Save More Money in 2022
Work smarter, not harder.
Do you ever wonder why people are in better financial situations than you, even though your salary is much higher?
The truth is, it doesn’t matter how much you make. It’s all about how you save and invest your money.
Like others, I always have great intentions at the beginning of each month. Yet there are times where 100% of my money is gone by the end of it. If you’re struggling to save money right now, you’re not alone. I live in one of the most expensive cities in the world and it hasn’t been easy.
But one day I decided that I didn’t want to keep living paycheck to paycheck. I decided to take action. I did not want to settle for mediocrity anymore.
Saving money, I realize, is actually harder than making it. I know this because the more I was making, the more I was spending and the more impulsive I was.
And that’s a trap many others fall into.
But I knew that I had to break bad habits and learn new strategies. I had to be more disciplined. I had to stop aimlessly spending money. I had to change my perspective if I wanted to reach my goals.
And you can too.
1. Be clear about why you want to start saving.
Is it for retirement? A vacation? The car you’ve always wanted? Start thinking about what more money will bring you. Use these reasons as your starting point.
Next time you’re tempted to blow your paycheck on a bunch of things you don’t need, refer back to this list.
2. Be honest with yourself and your bad habits.
Sometimes it’s as simple as accepting the fact that we’re just not good at saving money. Once we accept that reality, we can then become more aware of our habits and hopefully build new ones.
This isn’t to make yourself feel bad, but it’s important to reflect on our own flaws and explore what we need improvement on.
3. Make a list of your needs and wants.
Let’s face it — most of us like nice things. It’s okay to like expensive brands or prefer something a little bit more high-end. But is it a necessity?
Create a list of what you truly need, followed by your wants. Focus on your needs first and then reward yourself with an item from your “wants” list when you’ve reached your financial goals.
4. Start automatically saving.
As mentioned, it hasn’t been easy for me to be disciplined. Thus, I set an amount to be taken out of my account regularly. It goes automatically into my mutual funds and I let it grow. That’s it.
Psychologically speaking — at least for me, having access to money allowed me to easily spend it. Now that I open my bank account and see that the amount is not there, I have no reason to spend it.
5. Make better decisions in life. In general.
Everything you do ties into your overall spending habits. Do you prefer to order from a delivery app over cooking at home? Do you prefer driving over walking? Are you parking in places you shouldn’t be and then kick yourself later for the ticket you got?
There is nothing wrong with treating yourself to a DoorDash dinner when you’re too tired to make food. And there is absolutely nothing wrong with deciding to drive to the grocery store because it happens to be pouring that day and you don’t want to walk.
However, when you like convenience a little bit too much, it can contribute to bad spending habits. Pay attention to your lifestyle. Could you cut down on some of those habits? Could cooking at home 3–4 days a week help you save money?
Saving money isn’t easy and it will require a lot of discipline. But once you change your perspective and start adopting better habits, you will reach your goals. And you’ll finally eventually be able to save up for those things you’ve always wanted too — whether it’s your dream home or a month-long trip to Europe.
As long as you keep being honest with yourself, you will get there. Just remember to always stay positive and keep referring back to #1: your intentions.
CONTRIBUTED BY Katy Velvet
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