Saving money is a tough task. A lot of people are attempting to effectively save their money. Some do it for a greater cause yet some tend to give up midway. It may be due to personal reasons, lack of motivation, or unexpected circumstances. Nonetheless, saving money is vital for everybody, especially now that we are in the middle of a pandemic. It is safe to assume that having emergency funds for future situations is needed. To be well-prepared, here are some attainable step-by-step tips on how to save money for millennials. Take note that each step is like a ladder that connects one another. As you get closer to your goal, the steps will be more complex and challenging for you.
How to Save Money Effectively for Millennials
Step 1: Set Your Goals
The first step in saving money is setting your goals. It will serve as your motivation in times of self-doubt. Plus, it will also help you to straighten out your plans without thinking of anything unnecessary. Howbeit, your goals should be SMART – specific, measurable, attainable, realistic, and time-bound. It is your choice whether your goals are designed for the long run or not. For example, saving money for a laptop or camera demands shorter saving time. On the other hand, it is indicated for the long run if you are planning to open a business venture, travel the world, or buy a condo. If, in any case, you are looking for a condo, Camella Manors is a good choice. Its pine-estate projects are widespread in the 7 key cities in the Philippines. They are lucrative to be part of your start-up property investment portfolio.
Step 2: Challenge Yourself
As a millennial, challenging yourself is a wise strategy to keep you more driven in saving money? You can do so by creating a quota wherein it can specify your targeted amount and time frame. For example, you can state that you want to attain 10,000 savings every three months. However, you must take note that your targeted amount should perfectly align with your salary and monthly expenses to avoid troubles or confusion. If you are an organized person, you can search for ‘Ipon Challenge’ templates that are readily available online, with just a few clicks, you can print and attach them to your chosen jar. In addition, there are a vast amount of various designs that you can choose from that will surely keep you determined in achieving your goals. Who knows, by challenging yourself, you can buy yourself a space in Camella Manors.
Step 3: Keep Track of Your Expenses and Savings
Adulting requires you to be more organized and systematic, especially when it comes to keeping track of your expenses and savings. Having a handy journal that can contain the lists of your savings is somehow comforting. In Japan, there is a saving method called ‘Kakeibo’ which literally translates to ‘household financial ledger’ that enables them to keep track of their expenses and possible savings. It contains four guide questions that will help you in your money-saving journey.
These questions are: How much money do you have to spend? How much would you like to save? How about the money that are you spending? What are your strategies to improve next month? If you want, you can consider practicing this technique and see for yourself whether or not it is an appropriate style for you. It is only plausible to believe that having a journal where you can easily access your spending and saving is convenient and satisfying as an adult. If you are worried about not having enough time to keep track of everything you need, there are apps and digital journals that you can download.
Step 4: Know Your Priorities
Knowing your priorities is the foundation of saving money as a millennial or as a money saver in general. It is necessary to be aware of how to properly assess your everyday needs because this will let you save more money than you expect. In spending money, you have to ask yourself some specific questions such as ‘Do I really need this?’ and ‘Why do I have to buy this?’ because by asking yourself these questions, you can make an official evaluation of what is necessary and of most importance. Furthermore, you must cut-off insatiable and worldly desires.
The idea of ‘want vs. needs’ is known by almost everybody because it is true. For most people, segregating desires and needs is the most challenging part of saving money because of this specific moment, some vices of that person set in. For example, excessive usage of alcohol and cigarettes, unrestrained gambling, and impulsive online shopping are not easy to control for someone who gets used to perceiving the idea as okay and normal. It is of utmost importance to lessen or terminate any actions that will prevent you from saving more money. So, knowing your priorities should be clear to you.
Step 5: Open a Bank Account
Opening a bank account is one of the most common ways to ensure that your savings are safe and secured. In adulting, searching for bank choices here in the Philippines is the smartest thing to do. If you are wondering what is the right bank for you, there is a long list of bank choices available online that you can analyze. Some of them are BDO, BPI, and Union Bank, which are known to be banking partners of Camella Manors. Nonetheless, you can still use jars, cans, or bamboos as your money container at home if you do not want to go to the bank every now and then. You only have to guarantee that the amount of money in the money container will be deposited in the bank once you’re free or once it has already reached its limit.
These five witty steps will surely help you to save money for future purposes. It may or may not be applicable for you, but there’s nothing to lose in trying. The steps can be modified based on your style and preferences. Do not forget the cause of why you are saving money. The provided steps are like circles that will keep you going back and forth to your purpose and goals.
