Savings September
Why Not Save This September
Make this September the month to start your savings habit. Why not set a target every week and either do the following:
- save a small amount every day with cash (for example save £5 per day for the who month).
- Do not buy something that you usually and go or a cheaper or free alternative.
- A combination of the above two.
By doing this, not only do you realise that you can make affordable savings but you also develop a habit of saving.
Lets look at the first option again to show you how much £5 per day is if you save every day for a whole month:
- £5 per day for 30 days = £5 x 30 = £150
- If you do this for 12 months you will have £1450
With the second option you can make further savings via spending less on items you will normally purchase. You can find some discounts in our MoneySmrt Shop by CLICKING HERE.
Getting into a habit of both methods of savings can be the equivalent of giving yourself a 10% pay rise (on an average salary of £25,000).
Easier Said than Done
Obviously it is easier said than done when trying to save. However by saving small but regular amounts this September will build a habit of saving.
The hardest part is to get started so set yourself a day and target budget (even if it £1 per day, which is £365 per year) and simply start. Make it a challenge to keep you actively thinking of reaching your saving goal by seeing how much extra you can save.
Methods of Saving
Most credit unions in the UK allows you to save directly from your salary (similar to how your pension works). By joining your local credit union and saving directly from your salary, you can save without even thinking.
Find out more on how this works by visiting the Work Not Worry website (if you employer currently is not partnered with your local credit union, you can encourage them to do so and help your colleagues with their financial wellbeing).
If you currently cannot join a credit union, why not set up a separate savings account with a high street bank and building society and transfer the total amount you aim to save each month.
(We are developing an easy way for you to save so check back on us soon).
Although you should never hold more than a few hundred pounds in cash (for legal, financial and security reasons) having a physical piggy bank that you deposit money into each day can be an excellent way to get started with your savings goal.
At the end of the month, take the total amount saved and deposit it into your bank account. This will be a great way for you to see how much you managed to save as well as keeping track of your savings.
Case Study - Workers in South East London saving from their salary
For those who work in South East London, you can save with Crownsavers Credit Union. For 21 years they have been helping employees in South East London save and get access to their affordable loans.
Local employers can also join them for free in which their employees can save directly from their salaries.