31st-Seabees

31st-Seabees

Simple Ways How You Can Skip the Loan and Save Money

By Bryan E. Salas

In need of some money? Perhaps you need a lot of money and it seems daunting to think about the fact that you must take out a loan to do so. Wrong. While a loan might seem like the more convenient method to acquiring a bigger sum of money, faster, in most cases it is unnecessary. With careful planning and a little bit effort, you could save all the money you’ll need for that trip, payment, car, or whatever it might be.

Saving money is, however, a difficult thing to do and especially when you get started. Although it might seem daunting, you will reap the benefits and saving will help you reach your financial goals.

savings-jars

Steps to a realistic and maintainable savings plan

    • Keep a record of all your expenses – In order to save the optimal amount and do the correct planning for it, one must conclude how much money you spend on the end of each month. Write down everything you pay for. This includes even the little things such as every coffee, meal, even a newspaper. Once you have all the little expenses out of the way, be sure to write down all the bigger payments, such as your bills which includes mortgage, gas and groceries. By reaching a total for all your expenses each month, you’ll have a better idea of how much you’re able to save and just exactly the amount you’re not allowed to spend.
    • Make a budget – Now that you have your expenses written down, get organized. Create a budget that shows your expenses and how you’ll be able to achieve a total of savings each month. It is important to plan both your spending and while doing so, plan your overspending.
    • Plan on saving your money – Once you have a budget, add a savings category to it. Aim for 10 to 15% of savings, according to your income, each month. If you’re struggling to find the 10 to 15%, have a look at the amount you spend on entertainment and exterior activities. You don’t have to go crazy, but sometimes its necessary to spend less on those. To make this process easier, you should consider your savings as a bill on its own, or rather a regular expense that you can’t afford to pay.
  • Be certain on what you’re saving for and find a reason as to why it’ll be worth it – Set a goal for yourself and get excited about it. Maybe you want to buy a car or save enough money by the end of the year to go on a holiday, whatever it might be, planning for it rather than considering a loan is always a great idea!