Saving is one of the most important aspects of financial planning. To start managing your money properly, you’ll have to figure out how much you want to spend and how much you want to save. Unfortunately, for many of us, saving is difficult. Here’s a few money saving tips for 2019!
Set a savings goal
Make your savings plan something attainable. Some good examples are the Ipon Challenge where you save a specific amount weekly, or the P50 Saving Challenge, where you automatically stash every P50 bill you get in your savings as soon as you get it.
The trick is to get into the habit of doing it. So we recommend starting with small amounts then ramping it up if you can – as long as you don’t miss a single opportunity to save.
Find smarter alternatives
We know you can’t function without your morning cup of coffee. But do you really have to buy that Starbucks frappe? Cheaper alternatives to your daily expenses exist. If you need that caffeine boost, buy a 3-in-1 packet – or better yet, brew your own cup at home. You can even snack on an apple, which has more caffeine than coffee and is healthier to boot!
Maybe Friday nights out are your thing. But instead of splurging on bar door charges and fancy drinks, you could instead invite your friends over to your place and buy drinks for everyone. You can still have a good time and be more relaxed on your own turf. Win win!
Be on the lookout for sales
Itching to travel for vacation? Wait for airplane ticket sales to snag the best deals and skip the tour packages. Planning your own vacation is so much cheaper and will allow you to explore wherever you want to your heart’s content.
Keep track of how much you’ve spent and saved
Knowing where your money goes is vital to understanding your financial behavior. If you’re DIY, you can make a spreadsheet with all your expenses (see this one from The Balance for reference). You can also download a variety of financial or budgeting mobile apps which will help you list down your expenses and savings on the go.
Reviewing your expenses and savings regularly will help you determine 1) which category you need to cut down spending on and 2) how you can optimize your savings and investments to make your money work for you.
Open a savings account
Mixing your saving and spending money in your wallet is a recipe for disaster. Out of sight, out of mind, as they say, so set aside your savings by putting them in your own savings account.
A good option would be GCash’s new feature, Save Money. With no maintaining balance, no service fees, and 2.3% annual interest on your deposit, Save Money is a better choice than opening a regular bank account which offers lower interest and often has a minimum maintaining balance.
To start, open the GCash App and select Save Money. Happy saving!
*GCash Save Money is in beta and is open to selected users only.