How to Save $10K Effortlessly. 4 Saving Tips

Saving a lot of money in a short amount of time is not easy on one hand we're fighting The increased cost of accommodation food clothing and on the other we're battling everyday Temptation in a world where pretty much anything can be bought with a single click in fact the data shows that 61% of adults in the US are living paycheck to paycheck and 34% of adults living in the UK have less than £1,000 in a savings account so in this video I wanted to walk you through four effective strategies that will simplify and fast track your saving process if you're new here I'm Nischa I'm a qualified accountant and on this channel we discuss all things personal finance and self-development new videos come out every single week let's get into it the very first thing I want to talk about is Parkinson's law and this is a concept that was coined in the 1950s and in simple terms it means that your work will expand to fill the time that you allocate to doing it for instance if I set myself 3 weeks to plan and release this video it will take me 3 weeks I'll procr resonate I'll come across something new and go down a rabbit hole watching different videos on that topic I'll find a way to make that work expand to take up the full 3 weeks whereas if I give myself 48 hours to release this video I'll find creative ways to get it done and very likely the quality between the two videos wouldn't be too different this same principle can be applied to personal finance where the resource instead of time is money your spending will expand to consume all available funds if you let yourself spend all of your net income you'll find a way to do it but if you take away 10% as soon as it hits your bank account on payday and put it into another savings account that you can't touch you'll find a way to make that remaining 90% work and if you think putting 10% away is doable try 20% and living on the remaining 80% try 30% and living on the remaining 70% you'll be surprised by what you can do and you might be listening to this thinking that's ridiculous no way can I make this work that's where the fourth saving strategy I talk about comes in where I go into more detail on how you can make this work with what you have the second saving strategy is to not be a last minute person when I worked in my corporate job during the busy weeks and months I would get a takeout about three to four times a week I'll be on my way home it'll be late I'll be hungry and on my way home I'll just order something from deliver or Uber Eats so that it's ready for when I got home and I did this week after week because I didn't take a few hours out on a Sunday to meal prep and think about a healthier solution for the week instead I'm still guilty of sometimes doing this but planning in advance can save you a lot of money it will save you in overdrive fees because you're setting up some time to check your bank account it will save you in Uber costs or taxi costs because you've saved yourself enough time to get public transport instead and planning in advance also gives you options to do better you can use your reward points to book your next flight you can get a good quality umbrella instead of waiting until you're caught in the rain to buy whatever is available there are times when last minute flexibility is useful but often it costs you money and limits you with options the third saving Str strategy is to utilize saving technology with almost every habit that we want to stick to or want to try there is some sort of technology that will help make it easier for us if you're trying to reduce your social media consumption there are apps like one sec that forces you to take a deep breath before opening the app giving you a second or two to rethink your decision if you want to improve your Fitness there are apps that will help you do that and in the same way if your focus is to save more money you want to lean into the technology that's available to help you out with that there are apps that calculate how much you can afford to save each week and then automatically moves money into a separate savings account or an investment account there are accounts like Plum if you're in the UK which analyzes your spending to work out how much you can afford to save and then it automatically transfers the money over every four or five days you can also through that round up purchases to the nearest pound and then save the difference so for instance if you're spending 130 it will round that up to2 and then you can automatically save the remaining 70p if you want to check out Plum I have the link for that in my description you want to find the right apps or the right technology that will help you align your habits to your goals and make the process of saving a lot easier the fourth point which is arguably the one that will really make a difference if you stick to it is doing a year in review at the end of each year we usually do a full evaluation on other areas in our lives we look at what went well what didn't how we can learn and improve for the following year a great way to save a lot of money in a short amount of time is by doing the same evaluation in detail top to bottom with your finances this is different to a monthly budget which I have a whole different video for and a free tracker that comes with it I'll leave a link to that here but think of this monthly budget as you rowing the boat you're moving forward month by month whereas a yearly review is you stepping back to check the broader Horizon checking that you're not just moving forward but you're also moving in the right direction so once a year I'll consolidate all of the bank accounts that I have my debit card accounts my credit card accounts into one one main tracker that money will have all the money coming out of my account I'll categorize my spending and then go through each category line by line asking myself three questions can I cut this out or cancel it completely can I live with less of it or can I get the same thing cheaper from somewhere else I'm not going to [ __ ] you this isn't fun it's not interesting but you only need to go through this once a year but the ROI from this exercise and just carving out 6 to seven hours to do it is so worth it I gave myself 7 hours to do it last month on a flight back to the UK I've recorded my entire process I don't know if it'll be useful or just a boring video but if you want to see it let me know and I'll show you how I went about analyzing the numbers and the data one thing that has really helped me analyze data as well as develop a bunch of other skills is who are very kindly sponsoring this video is an amazing online platform with thousands of interactive bite-sized lessons where you can Master complicated topics such as artificial intelligence programming data analysis all these topics and skills that are foundational in any field and you can gradually learn them in as little as 15 minutes a day I highly recomm

Related Articles

Back to top button