Tips for Savings

Saving money can be hard. It seems with the cost of everything going up there is nothing left to save. These are some tips to help a person save money even when times a tough.

Look at Income
A person needs to look at how much money they have left each month after paying bills. Some bills like an electric change from month to month so it is important to look at several months and get a good estimate. If there is some money left over it can be placed directly into a savings account.

50/30/20
This method has been used for many years and will still work well for people that are looking to save money. Fifty percent of the income should go for bills. Thirty percent of the income can be used for fun such as traveling or going out. This leaves 20 percent of the income that can go into a savings account. If a person is not able to put this much aside they should cut their fun budget slightly so they can have more money for savings.

Pay Yourself First
This is a tip for saving that will allow a person to put money into their savings account before they do anything. The money goes into the account before any bills are paid. This way there is no excuse not to have money in savings.

Wait Before Buying
This is a simple way to reduce spending. If a person sees something they want to buy that is nonessential they should wait 48 hours. If they want to buy it then it is okay to purchase. Over that time they may realize they no longer need it.

These are some tips for saving money. Even with these tough times if a person is careful with their budget they can still put money aside in a savings account.