Saving money is a simple strategy. Spend less and put more funds in a savings account. Yet actually putting this strategy into practice is incredibly hard.
Part of the problem with saving money is that financial goals seem impossible to reach, preventing people from even getting started. Sometimes you just need to change your money-saving mindset. This could be turning your savings into a game or putting your savings on auto pilot so you don’t even notice the extra funds are there for spending.
If you’re looking for some 2021 money-saving tips that are more creative than simply, “don’t spend as much,” then try some of these strategies.
52-Card Pickup Weekly Savings Challenge
Use a deck of cards to boost your savings over the next 52 weeks.
Give a money value to each type of card in the deck. As you save that amount of money each week, remove that card from the deck. After 52 weeks you will have reached your savings goal!
Try the $5 Bill Game
Think about how easy it is to spend $5 and not even realize it. Or how about that daily latte that’s “only a few dollars” but adds up quickly at the end of the year. You can use this same mindset toward your savings goals. Every time you receive a $5 bill, put it aside in your wallet or in a container at home.
This strategy works because of the simplicity and the fact that it feels like a game. Blogger Marie Franklin made a game out of saving every $5 bill about 14 years ago and since has saved more than $40,000.
Use a Roundup Savings App
If you typically don’t carry cash, the $5 bill game probably won’t bring much success. But there is a digital version of this saving strategy.
There are banking apps that automatically round up purchases made on your debit card to the nearest dollar and then transfer the difference from your checking into your savings account. Talk to your bank to see what digital savings tools they provide.
Leverage Bank and Credit Card Rewards
To encourage customer loyalty, banks and credit card companies will use incentives such as increased interest rates and flashback rewards on purchases.
This is an easy way to earn extra funds to contribute to your savings as long as you pay off your credit cards each month and don’t make unnecessary purchases. Otherwise the credit card could cost you more than its actually saving you.
About Michigan Mortgage Lender, Julie Krumholz
Julie Krumholz, is a mortgage lender at Superior National Bank in Clinton Twp., Michigan. With over 35 years in the mortgage industry, Julie’s goal is to provide the best possible mortgage experience and the most competitive rates. Julie has vast experience in FHA loans, VA Loans, USDA loans, portfolio loans, MSHDA loans and more.
