Summary: Making the right financial moves can secure a bright future for you and your family.
Saving money is a much more difficult task than people make it to be. The urge to purchase a materialistic item can outweigh hoarding for the future. And, if you’re looking to purchase real estate or any other large investment, these tips will help you get on track.
Small Savings Accumulate Over Time
Keep a record of your spending for a month. You’ll be surprised to learn how much you’re spending on dining or impulse purchases. Once you get a good look at what you’re binge-spending on, you can make the corrective changes to get on track with your budget. Take the time to cut purchases in half and deposit it into a savings account. While it may be tempting to slack off, keep at it and you’ll find a wealthy sum of money after a period of time.
When you look to compare prices at different stores before making a purchase, you can often find lower prices for necessities like food, transportation, and the such. This ends up leaving you with more money to save. Now, here’s another tip that you can take with you the next time you plan on shopping for groceries. Make a list of groceries that you’re going to buy and stick to it. This way, you won’t be buying items that you don’t need.
Create an Emergency Fund
Kept in a savings account, an emergency fund is one of the most important accounts you can have. The low interest rates may be a turn off for many, but there are many banks that offer a max of 1% annual – which is much better than seeing 0.01% at your local major branch. Remember, keeping a high balance on the account will ensure that you avoid any monthly fees. Be sure that you read all the account details before signing up and double check your finances so you can keep up with the monthly deposits and minimum balances.
Bio: Omar Amanat is an American entrepreneur, and an investor in technology, finance, and media companies.