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="23b3">Once the money is in your savings account, forget about it. Regard it as a bill that has been paid and won’t be refunded.</p><h2 id="d76a">Step 3: Live on the Rest of Your Salary</h2><p id="4224">In the first few months, it might be difficult to live on less money by reducing your spending.</p><p id="3062">Make it into a game and be creative by finding as many ways as possible to save money. Use a personal finance app, such as GOKONG, to keep track of your spending on a daily basis.</p><p id="8b9b">However, it’s still important to budget for some treats, such as eating out or going on a day trip once or twice per month or buying yourself a book you’d like to read. If you don’t budget for treats, you may feel deprived and be tempted to spend a large amount of money on a big treat for yourself.</p><h2 id="b74f">Step 4: Set Savings Goals</h2><p id="03cb">Once you’ve started saving money each month, set some longer-term savings goals. These will motivate you to continue saving.</p><p id="b649">An initial goal could be to save the equivalent of three months’ net salary.</p><p id="7cc5">If this goal seems too tough, break it down into a series of smaller goals, such as:</p><p id="0fff"><b>Goal 1: Save one week’s salary.</b> If you’re earning $2,000 per month, one week’s salary would be approximately$ 500. If you’re saving 10 percent of your net income, it would take you just two and a half months to achieve this goal.</p><p id="d094"><b>Goal 2: Save one month’s salary.</b> If you save ten percent of a $2,000 salary, it would take ten months to do this.</p><p id="7c21"><b>Goal 3: Save two month’s salary.</b> If, after saving one month’s salary as above, you decide that you could start to save 15 percent of your salary, you’d be able to squirrel away$ 300 per month and would reach this goal after saving for approximately 16 and a half months in total.</p><p id="5da5"><b>Goal 4: Save three month’s salary.</b> If you continue to save 15 percent of your salary, you’d achieve this goal in just over 23 months of saving.</p><p id="5f88">Of course, these goals don’t take interest into account. Although interest rates tend to be low at the mo

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ment, you’ll earn some extra money in interest, allowing you to achieve your savings goals slightly earlier than expected.</p><h2 id="e87e">Step 5: Make Good Use of Several Different Savings Accounts</h2><p id="53b4">Once you’ve saved a certain amount of money, it’s a good idea to put your savings into several different accounts. You could, for example, keep one month’s salary in an instant access savings account so that you’d be able to withdraw money easily if you had a financial emergency or lost your job.</p><p id="497d">The rest of your savings could be put into a higher interest account which requires you to give one month’s notice of withdrawal without a penalty. So, if you lost your job, you could live on the money in your instant access account first and give one month’s notice for the withdrawal of extra savings in your higher interest account.</p><h2 id="0fa7">Step 6: Review Your Savings Accounts</h2><p id="0e7a">Review your savings accounts regularly to see if you’re still earning the maximum amount of interest possible.</p><p id="faa8">Some accounts pay higher interest rates for an initial period only, so transfer your savings into another account with a better interest rate as soon as the initial period is over.</p><p id="4117">As your savings increase, you’ll be less likely to need all or most of them in an emergency.</p><p id="5844">This means that you’ll be better placed to benefit from the higher interest rates paid by accounts that require you to keep your money in the account for a longer period.</p><h2 id="b7af">Plan for a Bright and Secure Future by Saving Regularly</h2><p id="2178">Begin saving on your next payday and start working toward your initial goal.</p><p id="51c0">Once you’ve begun to plan for the future in this way, you’ll feel more motivated to find more ways to save money, so that you can save a higher proportion of your income.</p><p id="61f2">Should the worst happen at any point in the future, you’ll have the security of knowing that you’ll still be able to meet your financial commitments.</p><p id="f850">Can you afford not to start saving regularly, for your own peace of mind?</p></article></body>

How to Start Saving Money Regularly for a Better Future

Saving money on a regular, consistent basis is the key to building a better future.

Even if you save just a small amount each month, compound interest will allow your savings to increase over time.

Also, once you’ve got into the habit of saving, it’ll be easier to find more money to save.

If you haven’t yet started saving on a regular basis, these six steps will help you begin and continue on the path of financial growth.

Step 1: Decide How Much You Can Save Each Month

Write down your monthly net salary.

Decide how much of that amount you’d be able to save whilst still being able to meet all your financial commitments, such as:

the rent or mortgage
utility bills
insurance
loan payments
paying for groceries and other essential items.

If you have a lot of financial commitments, it’s better to start with a fairly small proportion of your salary. So, if you bring home $2,000 per month, you may decide you could save $100 and still meet all your financial commitments. You’d then be saving 5 percent of your net salary.

If you have fewer financial commitments and tend to spend a relatively large amount on entertainment, clothing, dining out and other non-essential items and activities, you’ll definitely be able to save a higher proportion of your salary if you reduce your spending.

In this case, aim to save at least 10 percent of your salary, so if you earn $2,000 net, you’d save $200 per month.

Step 2: Transfer Money into Your Savings Account on Payday

Next, pay the amount you’ve decided to save each month into your savings account on payday. Set up an automatic transfer so you don’t have to remember to make the transfer yourself.

Once the money is in your savings account, forget about it. Regard it as a bill that has been paid and won’t be refunded.

Step 3: Live on the Rest of Your Salary

In the first few months, it might be difficult to live on less money by reducing your spending.

Make it into a game and be creative by finding as many ways as possible to save money. Use a personal finance app, such as GOKONG, to keep track of your spending on a daily basis.

However, it’s still important to budget for some treats, such as eating out or going on a day trip once or twice per month or buying yourself a book you’d like to read. If you don’t budget for treats, you may feel deprived and be tempted to spend a large amount of money on a big treat for yourself.

Step 4: Set Savings Goals

Once you’ve started saving money each month, set some longer-term savings goals. These will motivate you to continue saving.

An initial goal could be to save the equivalent of three months’ net salary.

If this goal seems too tough, break it down into a series of smaller goals, such as:

Goal 1: Save one week’s salary. If you’re earning $2,000 per month, one week’s salary would be approximately $500. If you’re saving 10 percent of your net income, it would take you just two and a half months to achieve this goal.

Goal 2: Save one month’s salary. If you save ten percent of a $2,000 salary, it would take ten months to do this.

Goal 3: Save two month’s salary. If, after saving one month’s salary as above, you decide that you could start to save 15 percent of your salary, you’d be able to squirrel away $300 per month and would reach this goal after saving for approximately 16 and a half months in total.

Goal 4: Save three month’s salary. If you continue to save 15 percent of your salary, you’d achieve this goal in just over 23 months of saving.

Of course, these goals don’t take interest into account. Although interest rates tend to be low at the moment, you’ll earn some extra money in interest, allowing you to achieve your savings goals slightly earlier than expected.

Step 5: Make Good Use of Several Different Savings Accounts

Once you’ve saved a certain amount of money, it’s a good idea to put your savings into several different accounts. You could, for example, keep one month’s salary in an instant access savings account so that you’d be able to withdraw money easily if you had a financial emergency or lost your job.

The rest of your savings could be put into a higher interest account which requires you to give one month’s notice of withdrawal without a penalty. So, if you lost your job, you could live on the money in your instant access account first and give one month’s notice for the withdrawal of extra savings in your higher interest account.

Step 6: Review Your Savings Accounts

Review your savings accounts regularly to see if you’re still earning the maximum amount of interest possible.

Some accounts pay higher interest rates for an initial period only, so transfer your savings into another account with a better interest rate as soon as the initial period is over.

As your savings increase, you’ll be less likely to need all or most of them in an emergency.

This means that you’ll be better placed to benefit from the higher interest rates paid by accounts that require you to keep your money in the account for a longer period.

Plan for a Bright and Secure Future by Saving Regularly

Begin saving on your next payday and start working toward your initial goal.

Once you’ve begun to plan for the future in this way, you’ll feel more motivated to find more ways to save money, so that you can save a higher proportion of your income.

Should the worst happen at any point in the future, you’ll have the security of knowing that you’ll still be able to meet your financial commitments.

Can you afford not to start saving regularly, for your own peace of mind?