Saving Your Money: How to Make It a Reality

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Saving Your Money

How many times have you wished for a big lottery win? If you are like most people, the thought will probably have crossed your mind at least once or twice. Whilst a plump jackpot would be a lovely addition to your bank account, there is really only a very small chance that a lottery dream could become a reality. Therefore it makes sense to look at realistic ways to increase your assets without crossing your fingers in front of the TV late in the evening.

That is where the concept of saving comes into play. Many of us are well-trained in the act of spending, even with money we do not have sitting within a savings account! Saving money is an entirely different kettle of fish; it is all about living comfortably within your means whilst your money accrues to become a worthwhile asset.

If you are keen to have a few (or a few hundred or thousand) more pounds to your name, here are a few tips for making saving a reality:

Resist temptation
The very first recommendation for you as a new saver is to make it a bit easier on yourself by resisting retail temptation. Window shopping often sounds like a great idea when you want to avoid splashing the cash, but it is really easy to convince yourself that you need the pair of trainers you see in a window, or even a car on a showroom floor. By removing yourself from this situation for a reasonable amount of time, you may be able to learn to resist spending where it is not strictly necessary.

Find the right investments
One of the next things to consider is how you will actually go about saving your money. There are many different ways such as general savings accounts, ISAs and shares. It is worth checking the most recent rules and regulations regarding savings products as there may be something new that you don’t already know about. One example of this is peer to peer lending becoming included within ISAs.

Think long term
Of course, many types of investment require you to think about your income and your financial obligations. Many forms of investment have the chance to generate you more interest and assets if you are able to commit to a longer term product. That is why the rates for ISAs and shares differs – some will allow you to access your cash fast, whilst in others it is held for a pre-agreed period of time.

Keep up the good work
Once you are on your way to a more comfortable financial future, you will want to continue what you are doing. This can be difficult to achieve alone, which is why many financially savvy savers recruit the assistance of an impartial advisor. Financial advisors are a good bet if you want to find out about new products and ways to invest; and the best part is that your advisor will have your interests and specific situation in mind.

5 BEST WAYS TO SAVE

Savings Tips

Savings Tips

It is so easy to become compliant with the money you find yourself paying out month after month but STOP! Chances are you are paying out money unnecessarily somewhere along the line. Use these helpful tips to cut down on spending.

1.      Make your savings work for you. With a wealth of cards on the market, ensure that your savings account is the best one on offer. It may also be worth your while looking into ISAs, offering great rates on tax free savings but you normally have a minimum investment term you will have to commit to.

2.    Often, our biggest pains are taxes. It is well worth checking that the tax man is taking more than he is owed. I would seriously suggest questioning all the taxes you pay, particularly income tax and council tax. When council tax bands were outlined in 1991, the value of some properties was estimated and has often been found to be wrong, this could save you £100s as well as being back dated to 1991 if found to be wrong.

3.    Stop impulse buying! I don’t know about you but every month I seem to flitter away my wages and am left wondering ‘where has it all gone?’. If I’m being honest with myself I know where it has gone; on impulse buys that I thought would cheer me up or would come in handy and is now gathering dust at the bottom of a cupboard. Simple solution to this problem? Stop buying on impulse, think over all purchases thoroughly before committing to buy.

4.    Do the weekly shop online. By taking a wonder round the supermarket you are putting yourself at risk of the above. Stick to a shopping list, and resist the urge for that new CD, it may temporarily make you feel good, but it won’t last when you check your bank balance. Also by shopping online you can benefit from knowing how much you’re spending before it has been scanned through a till and put back items when you find you’ve overspent.

5.    Go green. It isn’t for everyone but being green can pay. Currently the government are offering an incentive to those considering doing their bit for the environment so now is the perfect time to think about installing solar panels or other ways of cutting down on energy consumption. As well as saving you money, you can also feel guilt free during global warming news.