Money-Saving Hacks to Help You Reach Your Financial Goals
Updated: Feb 20
Money might not be everything, but it is certainly something that helps you run your life. And while anyone with financial goals knows that saving money is a critical step in living the life they want, it is easier said than done. Especially when your bills are piling up, saving money can be excruciatingly daunting.
On months you decide to cut down on dining outs, your HVAC system breaks down. Or only when think you have impulse spending under control, an emergency visit to the hospital eats up your excess savings. Thus, money management can especially become an uphill battle if you save a certain amount for a financial goal. Regardless of how hard you try, it feels that you are constantly moving away from your goal.
Fortunately, there are some incredible money management hacks to keep your finances in check and rack up your monthly savings. Here are X money-saving hacks 2021 to reach your savings goals faster!
Shop With a List
One of the most common reasons you might bust your budget is going for a grocery run and coming back with a couple of unintended purchases. And they’re only a greater chance of impulse spending when you walk through the grocery store without a shopping plan. Each one of us has been there and felt guilty, wondering what just happened to us. However, what you need is a comprehensive shopping list before setting out to shop.
So, make it a point to never shop without a list, especially when you are out for groceries. You should also only go down the aisles from where you need to shop an item on your list. Avoiding pointless browsing at the grocery store will not only save you money but time as well.
Find an Accountability Partner
Another money-saving hack in 2021 is to find an accountability partner for your money management. This could be your spouse, sibling, or friend. The idea is that every time you intend to purchase more than $30, you would check in with your accountability partner. While this might sound a little stupid, but this strategy can go a long way in helping you stay on track with your savings and financial goals. In most cases, merely the idea of talking about a mindless purchase to someone is enough to convince yourself that it is probably a bad idea to make that particular purchase.
Get a Debt Pay Off Plan in Place
The road to building a nest egg for a future financial goal starts with cutting down your debt. And for doing so you need a debt payoff plan to get rid of the debt burden without compromising on your monthly budget and financial needs. The two most common debt payoff plans are the debt snowball and the debt avalanche.
For the debt snowball plan, you have to write down all your debts from the smallest one to the largest. You can then use any extra amount that you save in a month to pay off your debt. Once you have paid off the first loan you move on to the next one in your list until all your debt has been paid off.
On the other hand, the debt avalanche is much like this former debt payoff plan with the only difference that you sort by interest rate, rather than balance.
Use the 30-day rule
Another solid hack for money saving is using the famous 3–rule plan. The idea behind this rule is that every time you are about to make a large purchase, you should put it off for 30 days. You can use this time to consider if it is a good purchase decision and to weigh the cost against the value it offers.
If after 30 days you still feel that you should make the purchase only then you should go ahead. However, in most cases, people do not feel the need to purchase that item as the urge had more to do with emotion than need.
Make a Meal Plan
Frequent dine-outs, ordering, and takeouts can keep you from saving a great deal of money every month. A great alternative is to start making a weekly meal plan and eating at home as much as you can. To make this strategy even more convenient, you can prepare your meals for the week in one day. You can then follow your planned meals from Monday through Saturday. Even if you don’t like the idea of preparing meals for the whole week, you can at least plan them so you can save on food and make good use of leftovers.
Money is a leading contributor of stress in adults and young individuals alike. And often it is not just an individual problem but it can result in family issues as well. The need, however, is to understand that frugal living or minimalist style doesn’t really have to be the end of your social life. In fact, there are plenty of ways to save for your financial goals without having to compromise on the real joys of life.
If you are someone struggling with money management and savings, a smart tool like the Doctor Money app is the right solution for you to take the reins of your financial matters into your hands. This intuitive tool will help keep track of your spending and savings so that you can work on a solid savings plan. The more you can save each month, the faster you will be able to reach your financial goals!