Prices are rising and wages are falling, therefore it can be quite tough to save and put away money.
It is important to try to put some money away, even if it is not a huge amount.
The money adds up quickly (if you don’t touch it) and can really be a lifesaver during tough times. Savings are essential if you plan on reaching financial freedom.
There are a couple of things you can do to save money for a rainy day without changing your budget:
Save Your Change
It is a good idea to put all of your change aside at the end of the day. Leave this money and do not touch it until you go to cash it in. Eventually, those pennies, dimes and quarters will add up. Once you have filled up your change jar, go to your bank and cash it out. Put this money aside in a small flexible cash ISA and leave it as your emergency fund.
Some people go as far as leaving anything that is under 5 dollars in their jar. It is up to you and totally dependent on the amount that you are looking to save. Any amount that you put in will help you in the long run!
Use Coupons And Put Away What You Save
It is common for people to use coupons for big savings on their grocery bills. When you use a coupon, look at the amount you save and put that amount of money aside. If you save a couple of bucks using coupons on your groceries, take that money and put it into a bank account. This money will grow and you will collect interest on it. It is just like getting free money!
Sell Stuff You Do Not Need
Having a garage sale or putting your stuff up for sale online is a great way to make some extra cash while clearing out your clutter. Clean out your home and have a yard sale over the weekend. This is an easy way to make some quick cash selling things that are not useful to you anymore. If you have a lot of stuff left over, you can always give it to a charity and use your donation as a tax write off.
Take Advantage Of Your Credit Cards
Many credit cards give you bonuses and rewards points when you use them. If you use your cards for everyday purchases, you can really rack up the points at the end of the month. Doing this is like getting free money from the card companies.
It is important to watch how much you spend. If you can not pay the cards back in full, you are going to have to end up paying a lot back in interest and fees. You need to be careful with this strategy because it is very easy to overspend. If you have a propensity to spend too much, then you should probably avoid using your credit cards and stick to using cash on hand.