Achieving
economic freedom at an early age is not an impossible mission. On the
contrary, it is a completely doable goal, as long as you work on your
financial intelligene and familiarize yourself with some tricks to save
more money.
Currently there are multiple tools to improve your relationship with finances; including some applications that you can use on your smartphone.
In other words, you have the possibility to control your expenses and income with precision and from the palm of your hand (literally).
Control your finances, take care of your savings and change your life:
Do you dream of managing your money efficiently ? To the point that you can live the life of your dreams without restrictions, limitations or impediments?Honestly, it is not an easy job, but if you make an effort, you can train your mind to stop thinking about short-term rewards and allow you to fully understand the culture of saving.
A good starting point is to take care of what you spend and know how to manage your income to enjoy full financial independence .
And this is something that you can achieve on your own thanks to the following tricks to save more money:
1. Try the 50/30/20 method
This
method is one of the most effective to plan your expenses and expenses.
It consists of using 50% of your salary to pay off debts and cover your
fixed expenses, such as:
- Meal.
- Basic services (water, electricity supply, gas, mobile telephony, etc).
And the remaining 20% of your monthly salary should be saved. The idea is that you think that this percentage will benefit your "future self" and that it will allow you to have a financial cushion for:
- Make new investments.
- Promote profitable businesses .
- Deal with potential emergencies.
In this sense, experts recommend that you respect the methodology, but that you define the distribution of the percentages yourself as best suits your financial planning.
2. Apply the 30-day rule
This money-saving rule is simple but powerful: You just have to wait 30 days before making a very expensive purchase.That is a prudential time to analyze if it is really worth spending, or if it is an operation that will completely destabilize your finances.
What should you do then? When it provokes you to buy something very luxurious, or that you basically do not need to live, it is best that you wait 30 days before taking that step.
Once that time has elapsed, ask yourself again if you really need to make the purchase, or if you felt good without that object that you wanted so much.
If the answer is that you could survive all those days without that new purchase, then you didn't need to spend that money.
3. Compare the money with your work hours
This
is one of the best tricks to save more money since it is easy and fast.
It consists of converting your money into hours worked.
Let's see an example: if you earn $15 dollars an hour and you want to buy a watch that costs $200 dollars, it is best to think that it will cost you almost 14 hours of work.
In other words, the analysis will not be that you will make a purchase for $200 dollars, but that you will use money that takes more than one working day to generate.
According to a Business Insider report , this comparison is highly beneficial for savings. This is because it allows you to become aware of the effort involved in generating your own income.
That way you will be more careful when shopping. This means that you will think twice before wasting your money .
Let's see an example: if you earn $15 dollars an hour and you want to buy a watch that costs $200 dollars, it is best to think that it will cost you almost 14 hours of work.
In other words, the analysis will not be that you will make a purchase for $200 dollars, but that you will use money that takes more than one working day to generate.
According to a Business Insider report , this comparison is highly beneficial for savings. This is because it allows you to become aware of the effort involved in generating your own income.
That way you will be more careful when shopping. This means that you will think twice before wasting your money .
4. Experiment with the 1% rule
The
philosophy of the 1% rule is very similar to that of the 30 days.
Therefore, this is another of the great tricks to save more money that
you can start right now.
It consists of making payments that do not exceed 1% of your annual salary (no matter how special they seem).
In other words, if you want to make a purchase of $350 dollars, and your salary per year is $30,000 dollars , you should be aware that this represents more than 1%
Therefore, you should wait 24 hours before finalizing the payment. In most cases, once that time has elapsed, the impulse to make such expenses has disappeared.
The dynamics of controlling expenses for seven days will help you develop new savings and financial planning habits.
In theory, what this trick is looking for is for you to understand that you can live without making constant and little-needed purchases, and this is vital to keeping your finances in good standing.
Undoubtedly, the development of millionaire habits begins by making small decisions in the short term. And this one about not spending for a week is a perfect example.
It consists of making payments that do not exceed 1% of your annual salary (no matter how special they seem).
In other words, if you want to make a purchase of $350 dollars, and your salary per year is $30,000 dollars , you should be aware that this represents more than 1%
Therefore, you should wait 24 hours before finalizing the payment. In most cases, once that time has elapsed, the impulse to make such expenses has disappeared.
5. Limit your expenses for a week
It is not about restricting basic expenses, such as those related to food, but about reducing those that are unnecessary.The dynamics of controlling expenses for seven days will help you develop new savings and financial planning habits.
In theory, what this trick is looking for is for you to understand that you can live without making constant and little-needed purchases, and this is vital to keeping your finances in good standing.
Undoubtedly, the development of millionaire habits begins by making small decisions in the short term. And this one about not spending for a week is a perfect example.
6. Avoid ant expenses
They
are called “ant expenses” because they seem to be small and harmless.
But the truth is that they have the power to uncontroll all your
finances.
Streaming subscriptions, rent payments, online purchases that are not necessary for your day to day, and even the coffee that you buy at the bakery every day, are silent expenses that can unbalance your economy.
Ant expenses impoverish you without realizing it. Right therein lies their enormous risk, and therefore, you should avoid them at all costs.
Consequently, you should analyze your consumption habits, as well as all the payments you make periodically in the online and offline world , to determine which of them are harming you.
Remember that you have the power to change things from your own arena, instead of emulating what the rest of the world is doing.
For example, you can buy used clothing, shoes, or household items that are in good condition, instead of buying high-priced factory pieces.
Try to buy in applications that promote fashion or sustainable consumption, as well as visit outlets that have sales strategies that include an attractive offer and discount policy.
Although it seems a bit simplistic, this is one of the most powerful money saving tricks that you can trust. Try it!
Do you wonder why? It's simple: the more you're educated, the more likely you are to make decisions with your money that will improve your financial future .
Take advantage of all the free resources at your fingertips to learn about personal finance and get ready to fully understand how money works.
Today you can take free courses endorsed by the best universities in the world, through platforms such as edX, Udemy or Coursera.
As well as take advantage of all the free content that is available on YouTube to increase your learning.
Investing time in your academic preparation is also one of the great tricks to save more money that we can give you.
Streaming subscriptions, rent payments, online purchases that are not necessary for your day to day, and even the coffee that you buy at the bakery every day, are silent expenses that can unbalance your economy.
Ant expenses impoverish you without realizing it. Right therein lies their enormous risk, and therefore, you should avoid them at all costs.
Consequently, you should analyze your consumption habits, as well as all the payments you make periodically in the online and offline world , to determine which of them are harming you.
7. Shop secondhand
There is no doubt that we live in an eminently consumerist society, but if you get carried away by this current, it is most likely that your finances will end up regretting it.Remember that you have the power to change things from your own arena, instead of emulating what the rest of the world is doing.
For example, you can buy used clothing, shoes, or household items that are in good condition, instead of buying high-priced factory pieces.
Try to buy in applications that promote fashion or sustainable consumption, as well as visit outlets that have sales strategies that include an attractive offer and discount policy.
Although it seems a bit simplistic, this is one of the most powerful money saving tricks that you can trust. Try it!
8. Learn about personal finance
The earlier you start to educate yourself in financial matters, the better results you will obtain throughout your life.Do you wonder why? It's simple: the more you're educated, the more likely you are to make decisions with your money that will improve your financial future .
Take advantage of all the free resources at your fingertips to learn about personal finance and get ready to fully understand how money works.
Today you can take free courses endorsed by the best universities in the world, through platforms such as edX, Udemy or Coursera.
As well as take advantage of all the free content that is available on YouTube to increase your learning.
Investing time in your academic preparation is also one of the great tricks to save more money that we can give you.
9. Don't go into debt
It
is true that you can get out of debt with financial intelligence and
precision, but it is best if you do not get to that point.
By this we mean that you avoid debt as much as possible, since they can lead you to bankruptcy faster than you imagine.
An easy way to achieve this is by restricting the use of your credit cards . Try leaving them at home when you go to the mall, for a walk, or to the supermarket.
This way you will not feel tempted to use them to make nervous purchases, or those that are completely unnecessary.
It is also good that you understand how these payment instruments work, so that they work in your favor and not against you.
On the other hand, if you already have outstanding debts at this time, do not hesitate to design a payment plan as soon as possible, in order to put your finances in order.
And when you are free of debt, proceed to control your income and expenses, as well as put into practice the tricks to save more money that we have shared with you so far.
By this we mean that you avoid debt as much as possible, since they can lead you to bankruptcy faster than you imagine.
An easy way to achieve this is by restricting the use of your credit cards . Try leaving them at home when you go to the mall, for a walk, or to the supermarket.
This way you will not feel tempted to use them to make nervous purchases, or those that are completely unnecessary.
It is also good that you understand how these payment instruments work, so that they work in your favor and not against you.
On the other hand, if you already have outstanding debts at this time, do not hesitate to design a payment plan as soon as possible, in order to put your finances in order.
And when you are free of debt, proceed to control your income and expenses, as well as put into practice the tricks to save more money that we have shared with you so far.
10. Manage your accounts better
This
is one of those tricks to save more money that does not need much
explanation. All you have to do is better manage your accounts to take
care of your finances.
Start by creating a secondary account to which you can transfer a percentage of your monthly salary.
Obviously you will have to do your calculations and determine how much money you can save month after month based on your basic expenses, and the economic plans you have in the future.
That way, your savings will be just a click away and no one else but you will be able to monitor their progress and progress.
This is a simple decision to improve your monthly finances , and its results are very favorable in the long term.
Therefore, they can become your great allies when it comes to better planning your finances, or getting closer to that economic independence that you dream of so much.
Start by creating a secondary account to which you can transfer a percentage of your monthly salary.
Obviously you will have to do your calculations and determine how much money you can save month after month based on your basic expenses, and the economic plans you have in the future.
That way, your savings will be just a click away and no one else but you will be able to monitor their progress and progress.
This is a simple decision to improve your monthly finances , and its results are very favorable in the long term.
Excellent tricks to save more money:
These ten tricks to save more money are completely effective and sustainable over time.Therefore, they can become your great allies when it comes to better planning your finances, or getting closer to that economic independence that you dream of so much.
sitedmb@gmail.com