How to Stop Spending and Start Saving
Aug 09, 2024![](https://kajabi-storefronts-production.kajabi-cdn.com/kajabi-storefronts-production/file-uploads/blogs/2147487406/images/b23b07-a14-75c2-851f-70c1438c0_d24eb1ca-4102-456a-9d2f-bf1c95fec573.png)
Are you a spender, but really want to break that habit?
Or is your loved one a spender, and you want to help them change their ways?
Break free from living from pay to pay, by implementing these simple steps, so that you can start saving more money. And if you want to identify which things you could potentially cut back on, feel free to add your email address below and download the More Money Challenge below.
STEP 1: FOCUS
Be really clear about what it is that you want to save for. A generic "I want to save more" has no emotional attachment, and is easy to make excuses.
So, identify something super specific that you want to save for, and name your bank account that.
As an example, I am going to say "Italy Trip". We call this your Focus.
STEP 2: BANKING
Just having a savings account is not going to do much unless you put money into that account. Having an account named "Italy Trip" which you can do in internet banking, means that every time you log in you can see your balance, and be able to celebrate a micro win of seeing that balance is for your "Italy Trip".
Then - work out what you can afford to put towards that account, and set up an automatic transfer in your banking system. I set my automated transfers up for pay day, so that as soon as it comes in, it's transferred out.
STEP 3: PRIORITISE
Would you rather have dinner out tonight, or put the money towards your "Italy Trip"?
Having a super clear focus means that decisions are easier.
Just because you have money, doesn't mean you have to spend it all now. Heading out to dinner is absolutely OK. And so is saving for your Italy Trip. In the moment, you get to decide which is more important (and be ok if that changes from time to time).
Make sure you celebrate each time you choose to save. Research shows that each time you celebrate a moment, your brain remembers, and it compounds your happiness. Remember - saving isn't a penalty, its a reward.
STEP 4: INVEST TIME
Spend some of your time researching and looking forward to what you are saving for, and when you might be able to spend it. If it's a trip to Italy, watch some YouTube videos, or research accommodation options. Talk to friends who might have been or join a Facebook group that will keep encouraging you. The more time you anticipate your Focus, the harder it is to spend the money on something else.
Putting a system like this does take a bit of practice, and sometimes you will need to dig into your savings account if random items come up. If you have extra cash available, then building an emergency savings fund with a few thousand dollars set aside for emergencies (eg a new washing machine or an unexpected medical cost) means that you will be less likely to dip into your Focus account when those emergences happen.
If you want to identify where you spend too much money, please download then More Money Challenge, to see where you can get more money in your current spending to put towards your savings Focus.
Come and see what the facebook group is all about, get more tips and join in the conversation.
Stop wasting money today!
It's time to have more fun with your money.
The More Money Challenge allows you to:
- know where your money goes
- prioritise your spending
- have better conversations with your partner about money
Download the guide to get started now!
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