3 Fun and Easy Ways to Save Even When You’re Broke
💰 Challenge your way to savings…
It’s always important to have some savings stashed away in case of an emergency. However, as the cost of living is set to increase, along with taxes being able to save a penny or two may seem like a pipe dream for some people.
Although the truth is saving money will just be a little harder, not impossible. Here are 3 fun and easy ways to challenge yourself to save even when your income is limited.
3 Fun and Easy Ways to Save…
- The Pence Balance Transfer Challenge
“Every penny counts” — Asda
At least once a week I transfer the pence from each of my accounts to a savings account. I like to keep at least £25 minimum in this savings account, just to keep it open. At the very end of the month, anything extra (on top of the £25) gets invested into an Individual Savings Account (ISA).
For example:
- If there was £653.67 in an account transfer that 67p to savings.
- £6.08 in an account, then transfer that 08p to savings.
- Have just £2.01 — Save that penny!
Savings Hack: Some banks have an additional option that you can setup so that every time you spend on your card they will round up the change and automatically put it into your savings account. This can be a great way to save money, with little effort.
For me, this method of saving is one of my favourites and could see you saving anywhere from £25 — £60+ per month! Not bad considering your broke!
2. The Compounding Effect (The +1 Weekly Challenge)
“Time is your friend; impulse is your enemy.” — John C. Bogle
A popular saving challenge that is currently doing the rounds on social media is the +1-weekly challenge. This challenge lasts for 52 weeks and is based on the compound effect, which sees consistency as the ultimate key to wealth and success in life. The strategy is reaping the fruits from consistent smaller actions.
Small Actions + Consistent Practice + Over Time = Significant results.
For example:
- In week 1, you’ll save just £1 — this can be in a money box or in a savings account.
- Week 2 you will save £2.
- Week 52 you will put away £52.
- If you successfully complete this challenge you could end up with a whopping £1,378 in your savings account by the end of the year. If you can afford it step things up a little and do this challenge with £2. This will grow your savings by £2,756 in a 52-week period!
This approach is a good way to kick start an emergency fund. An emergency fund is unique to you and will depend on your outgoings (bills). It is always a good idea to have at least 3–6 months’ worth of bill money in a savings account.
3. The Change Challenge
“Saving is the gap between your ego and your income.” ― Morgan House
If you still pay by cash then every time you spend and receive some pound coins back, save them. This challenge could also be done with £2. Always check the back of £2.00, I’ve been lucky enough to find some rare designs that have fetched between £25-£60 on eBay!
For example:
Buy something for £8, pay with a tenner, and pop the £2 back into a piggy bank rather than spending it on a packet of sweets, where the only growth there would be the waste line!
Again this is money you wouldn’t have had so invest this into your savings. Since the Pandemic, a lot of people hardly pay cash these days, but this is still a good little challenge to think about it.
In Summary: Savings Challenge
You could try just one of these challenges or mix it up a little. Don’t worry if you miss a week. The goal here is to start to change your saving habits to build a more consistent routine that will reap you the rewards in the longer term. Remember every penny saved is progress. Look after those pennies and the pounds will look after themselves! Good luck.
💭 Do you have any saving tips or hacks to share? Pop them in the comments section below 👇
If you liked this article please subscribe to adopt me as a writer, so my stories can have a new home in your newsfeed! Thank you…