7 WAYS TO SAVE BIG ON A TINY SALARY
Many times we blame our inability to save money on the fact that we don’t earn much. There is a merit of truth to that, but that is not necessarily the reason why we don’t save money. Saving money is something we commit ourselves to whether we have lots or little. It does not depend on how little we have but rather on how committed we are to saving it. Here are some useful suggestions to help you save money even when your salary is low.
1. Make a commitment. Decide that you are going to begin saving money and then do it. Whether it is 10 shillings, 100 shillings or 1000 shillings, the amount does not matter. It is the commitment to follow through with your decision that will prosper your savings account.
2. Decide how you are going to save money. It could be through having a certain amount taken off your salary each month and put into a savings account, or it could be you taking that amount and putting it in a tin box then eventually banking it. Decide how you are going to save and then stand by your choice.
3. Pick an amount of money to save, whether it is a percentage amount (most experts recommend at least 10 percent of your income) or whatever is left over after paying your bills. But be committed to save that amount regardless of how much it is.
4. Make your decision a ritual that will develop into a good habit. Even if you drop 250 shillings into your tin box each week, it is the committed habit of doing it that will make you do it again next week. This ritual will get you saving effortlessly 1,000 shillings a month.
5. Set a long-term goal for your savings and decide what those savings will be applied to. This could be a holiday, a bill paid off, a new home appliance or simply your retirement. But be faithful with executing your goal.
6. Set short-term goals along the way so that you can see your accomplishments. Perhaps every month you could take enough money from your savings to treat your family to a day out.
7. When you make the commitment and stay faithful to it, regardless of how much money you are putting into your savings each deposit, you will see the rewards of your efforts. And by getting a treat such as a day out with your family from it every so
often, it gives you the confidence to know that saving money is possible, even if it is only a few shillings at a time.
Published in: Personal Finance