This post may contain affiliate sales links.
As 2020 is nearing the end, I got to thinking what is one thing that we all wish we could do more of? I want you to think about it for a second.
Yes, you said it! SAVE MORE MONEY ! Right?
Today I’m going to let you in our a little secret that I stumbled upon and thought if this can make such a big difference, imagine what else can we kick in the butt for the year 2021.
One simple method to reach your money goals faster.
There is a lot of misconception when it comes to building a rainy-day fund. The most common of excuses is that we don’t make enough money to save or that our bills are too much. This is mostly to dismiss the guilt surrounding this topic.
Saving is a patient and a long game; I believe we don’t have the patience to watch our savings accumulate and that is one of the reason why we fail to meet our goals. We either underestimate or does not envision the impact of putting a small bit away into savings every pay period. See our personal example later how there is always money waiting to be grabbed.
Years ago, we created a family model whereby we plan the next family vacation a year in advance, we then cost it out and decided we will put cash in a jar every pay period to cover our travel expenses. We then realized that this model can be adopted into our saving habits, so we plan as well how much we want to save for the year divided that number by our pay period and transfer that amount as a minimum into a savings account.
Here is how we found an extra $2,496 in the first year:
- We each packed a lunch two days per week, this is on average $40
- Make our coffee at home a couple days as well, this another $12
This $52 per week for the two of us for approx. 48 weeks. Your situation might be different from ours, maybe you are not a foodie, but certainly there might be a habit or two that you can tweak and find money that is going out the door.
It is called a rainy-day fund, throw the jabs while you are waiting for the knockout punch and preparing yourself for the rain.
I hope this one little example can ignite a fire within you and show you what you can do with your money. It’s not about how little you make or how much the monthly bills are but it’s always and i mean always the little habits that no one ever thinks about.
Hope you enjoy this and look out for more budget related tips and tricks.
xoxo
The Williams