Save money that isn’t there

You need to save money now to meet future financial goals and give you peace of mind in emergencies. But living on a tight budget can make it difficult to put money aside. Beyond creating a spending plan and paying yourself first, how can you find extra money to save?

Here are a few ideas:

• Plug your spending leaks. Check out the Value of Reducing Expenses calculator to see what your savings could add up to over time.
  • Give up or reduce costly habits like smoking, drinking or eating out.
  • Seek out free festivals, exhibits or other entertainment.
  • Use your student discount whenever possible.
  • Carpool or take public transportation.
  • Shop at thrift stores for bargains on clothes and home goods.
• Use cash. Credit cards are like borrowing from your future self. Used responsibly, credit cards can be helpful, but if you don’t pay your balance off each month, you will pay hefty interest charges and fees, possibly harming your credit score.
• Resist peer pressure.
  • Eat in, use your meal plan or cook.
  • Plan ahead with friends to take affordable vacations.
  • Be careful about lending money or valuables to friends.
• Shop thrifty.
  • Look for sales, ask for discounts and use coupons.
  • Consider buying used.
  • Stick to a shopping list for groceries and clothes.
• Get a second job or work overtime.
• Sell unwanted items. Sell clothing, shoes, electronics and books to make extra money.

For more ideas on finding money for saving, watch Tips to Save Money video. Then use the Savings Goal Worksheet Download Savings Goal Worksheet to put your goals and strategies on paper.

 

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