Steps to Saving More in The New Year

People don’t save like they used to, but they may be realizing it’s a good idea to start. Saving more is often among the most popular New Year’s resolutions
 
Saving more isn’t about getting a big raise or changing your entire life. It’s about taking step after step toward getting the things you care about. Here’s how you do it…

1. Set a specific goal.

The best way to prioritize long-term goals (getting out of debt, buying a car/house) over short-term ones (eating out, seeing a movie) is to come up with something compelling and make it as specific as possible. If you don’t map out your road to success, you’re bound to make a wrong turn somewhere. Choose something that fits your priorities and finances; an emergency fund adequate to pay all your bills for at least three months is a good place to start. It’s time to stop the hand to mouth syndrome of living from pay cheque to pay cheque.

2. Pay yourself first.

A common approach to saving is “keep what’s left at the end of the month.” If you’ve ever tried it, you know it doesn’t work well – there’s rarely anything left. Try this instead: Treat your goal like your most important bill. Think of it as money you owe yourself, due on a certain date.
Want to make it even easier? Enroll in the retirement program at work and have the money taken out of your paycheck automatically. You’re less likely to miss what you never see in the first place.

3. Find extra money.

As Stacy said, saving soon is more important than saving big. Think about all the little fees you pay, grumble about, and then forget on a daily basis.

4. Grow big.

You work hard for your money, but when you save, your money works hard for you – if you put it in the right places.