I’m sure we can all agree that 2020 has been a crazy year.
And, more than likely, our plans and goals have changed with the restrictions and adaptations we’ve had to make during the crazy year.
At the start of this year, we had several big travel plans in place. This included a month long trip to Europe, which obviously did not go ahead.
Fast forward to now and we bought a new house, we’re renting our old house and saving for some big upgrades and renovations to our new home!
So while our goals have dramatically changed, I still put into practice the same ideas to reach our savings goals and keep us on track.
Whether it’s saving for renovations, a holiday (whenever that might be possible) or just building an emergency fund, I wanted to share some top tips that have helped me stay on track to reach my savings goals.
These are all things I have done since I was first able to work and earn, so these are tried and tested, so I know there will be some gems in here!
Set my savings goals
I found a good way to keep me on track and hold me accountable for my money goals was to write it down and tell people.
I know some people don’t like to talk about money, but finding someone you trust and can help you remain accountable can be really helpful when you are falling off the wagon.
I also found writing it down helps a lot. Creating a mood board for my goals, be it renovations or holidays means you put it out to the universe that this is going to happen!
I also use the ANZ App to create and track my goals. This is a great way to keep your goals in sight. You can make each goal its own by naming it, setting exact targets and even adding a photo!!
If you’re an ANZ customer like me, check it out here, to set your own up and get saving! They also have some extra tips and messages within the app to help you stay on track as well.
They also have some great goal calculators to work out exactly how much you need and how long it might take you to save!
Created a saving habit
A simple but effective way to make your savings a habit is to automate your money. I have the money I plan to save each week/month automatically distributed where it needs to go.
I do this with a pre-authorized transfer set up within my internet banking. So this way I have no excuse and I will never forget it.
Eventually I find it is just out of sight, out of mind. Creating that habit means the same amount goes into my savings each week and I don’t notice it.
Prioritise my savings like a bill
I like to think of my savings as a utility I have to pay. Just like electricity or water. It is top of my priority list to pay when our wages come in.
We have an automatic payment that transfers our set weekly amount to savings. We do this before anything else comes out or gets spent!
Keep my savings out of my reach
Since I was young, I have always kept my savings out of reach so I cannot use it for impulse purchasing.
I did this by not having the account linked to my internet banking and no physical card access.
While I don’t do this anymore, as I am much more disciplined with my money, if you do struggle to stop yourself accessing this money, then this could be a nice trick for you.
It is a good way to stop any spontaneous large purchases because you are forced to have a few days to think about it.
Assessed my spending habits
People often ask me why I keep a monthly budget, and this is exactly why!!
Just like you track your fitness or steps to know if you’re reaching your goals, tracking your spend is just as important to reach your financial goals.
It can be so easy to spend money without realising just how much it all adds up. Especially tracking your secondary (or luxury) spending habits to see where you might be able to reign it in and not waste potential savings.
Having a rough monthly budget and knowing what your weekly/daily living expenses are helps significantly.
You can also use tools like ANZ Spendi, within the ANZ app. This can help you work out what you’re spending daily and if you’re going over what you would normally spend.
Found ways to make extra money
I have also looked for ways to make an income outside of my main job. And I have shared a few different things I’ve done in a previous blog here.
Be it selling your second hand items, a side hustle, or just odd jobs here and there. Finding ways to make money over and above your known income means you have extra cash to add to your savings. Helping you reach your goal a lot sooner!
I hope these tips have been helpful and that you’ve discovered some ways to hopefully stay on track and reach your goals sooner.
For more great resources and tips, check out the ways you can set and track your savings goal in the ANZ App.