Adding money can be quite a challenge, especially for those who are not in the habit of saving. With that, come uncontrolled spending and, like a snowball, debts. The good news is that saving and managing your finances doesn’t have to be a beast.
This is because some practices and changes in attitude, especially those related to the way of consuming, can help – a lot! – in that objective. With that in mind, we prepared this post to show you how to save money is a great way to guarantee good prospects for the future and, especially, how you can save. Interested in the theme? Read on and check out our tips!
Why is it important to save money?
While it is never too late to start saving, learning the importance of saving money is something that should happen as soon as possible. The sooner we can save, the more resources we will be able to gather to carry out future projects and live comfortably.
When we have no money saved, it is difficult to plan and pursue our dreams – a change of job, a trip, an important career path. In this way, we remain stagnant and, then, the frustration, discouragement, knock on the door , stress, etc. In addition to the fact that, without good financial planning, we will have no resources to be used in emergencies.
What are the best ways to save money?
Settle all your debts
The first step in saving money is definitely getting rid of all debt, even if it takes some time. Keep in mind that you will hardly progress in your goal if you do not do this, and that even those seemingly small debts are great enemies for those who want to save.
In addition, accumulating debt is something that causes a lot of anxiety. So looking for a solution for them as soon as possible is the best thing to do. To do this, start paying off the most expensive debts that have more interest – such as credit card and overdraft.
Optimize your spending
We know that, among so many expenses, managing to save money at the end of the month – even if in small quantities – is not a simple task. Putting all your expenses at the tip of your pencil, organizing your finances, allows you to cut the superfluous expenses that were getting in the way of your economy.
Start by recording all your daily, weekly and monthly expenses, such as food, rent, health, leisure, among others. Then sort them in order of need. This makes you see those that are not a priority and start to reduce them (or even eliminate them).
It is clear that this process is delicate, since it involves waivers. However, keep in mind that the economy will be for the greater good. Take the long-awaited graduate course, acquire a property, travel to a special destination … Think about your goals and use them as an incentive!
Avoid using your credit card
Previously, we talked about paying off all your debts before you started to collect money. Here, it is also important to emphasize that it is necessary to avoid forming others. When we use a credit card, we are in debt, even if it seems to weigh less in the pocket at the moment. In fact, you will only be postponing a payment that needs to be made.
Furthermore, it is very easy to lose control of the situation. That’s because using a credit card also implies a behavioral issue: you don’t “feel” the money coming out of your pocket, so you tend to spend more and more.
Find out about financial education
A fundamental step in saving money is to educate yourself financially. Nowadays, people have more access to tools that assist in this goal than in the past. An example of this are the YouTube channels on finance that dialogue with the audience using an uncomplicated language, that is, easy to understand even for those who are not familiar with the subject.
Learning about financial education has many benefits, as it doesn’t just teach you how to organize profits and expenses. From the knowledge acquired, you can also analyze what is essential and what may be compromising the budget, having more financial freedom and more security to spend.
Set a monthly goal to save
It is equally important to be prepared to deal with unforeseen events, which can end any planning. An unexpected bill, medicine, a visit to the dentist, a layoff, something that broke at home … If you have nowhere to withdraw resources to cover these expenses when necessary, you will probably end up turning to loans and overdrafts, with very high interest rates. tall.