When our pockets are empty and we are longing for the first day of the month until the next payment is credited to our account, we often dream about not having any restrictions in spending money, in order not to look for a cheaper replacement for the product we want to buy. One can come then to the mistaken belief that ‘if he was a rich man’, expenses wouldn’t be a hold-back for him. But is it really what rich people do? Among other things, the rich people earn money by saving.
How to start saving?
Each of us is different. Some of us must have the goal of saving, while for others the process itself will be the goal. We advise on how to save according to several strategies. See which one will be perfect for you.
1. Automatic saving
If you don’t have the reflex to systematically put aside a fixed amount, you can set up a savings sub-account and start a standing order - a transfer that will be made automatically on a specific day of each month, for a specific amount. It won’t hurt and the money will be saved by itself.
You can also set it up so that the difference between the amount you pay and its round value goes to your savings account. For example, you pay in a store PLN 27 for your shopping, therefore PLN 3 is missing to the round amount, i.e. PLN 30. The bank will automatically transfer the difference to the indicated account. This is a good alternative to a penny jar for those who do not handle cash.
2. Sell what you don’t use
We like to collect all sorts of ‘might-come-in-handy’ stuff. Sometimes, however, it’s worth keeping a cool head and quickly get rid of those things that were last used a few years ago. Missed gifts, unused household appliances or clothes that we no longer wear are worth selling to someone else, thus giving them a second life and regaining some of their value in the form of money.
While others will make use of them and will be satisfied with a bargain purchase, you, in addition to money, will also regain free space in the apartment.
3. Check if you can consolidate your debts
Small consumer loans, plus a credit card - these are additional cash injections that are useful to us on a daily basis. And do you know that you incur monthly bank charges for each of these debts? We wrote more about it here.
Check from time to time if the banks have a good option to refinance your debts on more favorable terms. You can gain:
- better repayment terms,
- savings on bank payments
- and information about your current creditworthiness.
The check itself is free of charge and without obligation. All you need to do is complete the application. A consultant from Multinor Finans will contact you and advise you on what to do.
4. Compare prices
In this field, you can achieve a double advantage:
- first, you find the best opportunity not to overpay, saving a lot in this way sometimes
- and secondly - some time passes between you wanting to buy something and actually making a purchase, which allows you to consider whether you really need a given thing. Every day, many brands and retail chains bend over backwards to persuade us to make an immediate, spontaneous purchase, which is why transferring shopping to online allows you to cool down your emotions.
5. Reach your goals in a thoughtful manner
It’s worth planning the expenses related to the achievement of a given goal - that is, to determine how much per month you will have to put aside (or allocate to repay the related loan) from the amount that will be left after paying the bills and the apartment. Remember that saving is the least painful when it comes from a surplus or what you managed not to spend on ill-considered purchases - compared to saving at the cost of many sacrifices.
There is no greater motivation than: to set a goal to achieve for a certain amount, start a standing order to a savings account, and then track each month how much funds are still missing in your account to achieve this goal. The closer to the planned amount, the bigger the motivation to accelerate the growth of our savings with new amounts that we manage not to spend on a daily basis.
Let's sum up - is it worth saving?
It’s not art to squander your salary on compulsive shopping and then count every penny before the payday. It’s worth getting into the habit of putting aside even small amounts on a regular basis in order to achieve satisfaction with the growing sum of savings and with a hard character which is extremely useful in this process. Just as we exercise our body, we also exercise willpower to put aside resources instead of spending them. And the real reward for us will be the sense of security provided by the financial cushion.