The habit of saving money has been described by many to be a very difficult habit to cultivate. Most people have found themselves, at one time, highly motivated to save, but few days later, they discover their income is no longer enough for them. Why does this happen? How can I cultivate the habit of saving such that, whether am motivated to save or not, I will still save?
4 Ways to Cultivate the Habit of Saving Money
Develop a System
This cannot be overemphasized. A system is a habit you do subconsciously, without you being mentally aware that you are actually doing it.
How then do you develop such habit? Set a daily goal for yourself. For instance, set a goal to save at least 20% of your income.
However, it is important you start this habit from the most convenient. It is more convenient to save 20% of your income than to save 50%.
Resist the Urge to Buy New Things
Make it a habit to always resist the urge to buy new things. This will make it a lot easier to develop a saving culture. The lesser new things you buy, the more you save.
Build Streams of Income
The best antidote to save more money is to make more money. Multiple streams of income will give you the leverage to save more. Thus, make it a habit to invest more and start more businesses.
Make Use of Standing order
Standing order is a special instruction a customer make to his bank to directly debit a certain amount of money on a regular basis from his bank account. As a customer, you can instruct your bank to deduct a fixed amount of money anytime money comes into your account. This will help you to save systematically.
Do you still prefer an emergency savings starched in the house or you rather save all your money at the bank ? I would like to know your thoughts. Please share in the comments.
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