Knowing how to save your salary has never been more important. After all, facing a world unstable and without a date set for the end of the new coronavirus pandemic, UK citizens have been experiencing moments of anxiety and also of lower gains, which generates uncertainties and afflictions.
In addition, in this crisis scenario, many people are unemployed or surviving on less than they earned before the pandemic began. So, regardless of what your situation is, this is the time to save and rethink old habits.
Thinking about it, today we will show you 10 simple ways to save your salary (be it minimum or higher than that). They are objective and direct tips, check below:
- Take stock of your budget;
- Avoid unnecessary expenses;
- Use an app or financial expense spreadsheet;
- Pay all your bills on time;
- Settle debts that are pending;
- Study about finance and investments;
- Use your credit card wisely;
- Save your salary now: practical tips for that;
- Ensure a extra income;
- Set your priorities and focus on them.
In this way, it will be possible to establish clearly what are their financial targets for 2021, saving wisely and the best: without self-sabotaging! Check out our full article and master this subject once and for all! Good reading!
10 tips to save your salary
Firstly, it is important that you are fully aware of the importance of saving and investing. After all, only then will you feel excited to stay on that journey.
Many people think that saving is very difficult, complicated and that only those who earn a lot of money can do it. However, we have seen that it is essential to save (at least) a little bit every month.
In this sense, we list 10 simple tips, but with real results so that you can save your salary in 2021 and have more peace of mind this year. Look at that!
1. Take stock of your budget
First of all, write down all your income and expenses. Also, check your debts opened and know how is yours financial health Generally.
After analyzing this data, you will be able to make a financial statement and see if you are spending more than you earn or if you have not saved money due to expendable expenditures.
2. Avoid unnecessary expenses
From the same point of view, after knowing how much you earn X how much you spend, it's time to check what is expendable and what can get off your list of expenses. On this, let's look at an example.
If you are in the habit of ordering food from apps, how about ordering just once a week and cooking more? Remember that there are many practical ways to cooking at home and save a lot.
3. Use a financial spending app
Financial control spreadsheets have never been highly effective for people who are forgetful or have many daily tasks, have they?
In this way, we indicate that you install on your smartphone an application aimed at personal financial management. There are some advantages to having an app for that purpose at your fingertips, see:
- It is possible to update, whenever necessary, expenses incurred or extra revenues received (such as sales commission, tips, etc.);
- These apps have some important tools like history of income, expenses, graphs with analysis of your behavior, among other functions that will help you to have more control over your budget.
4. Pay all your bills on time
In a simplified way, keeping your accounts up to date will avoid unnecessary inconvenience, fines and interest. So, make a note of your monthly, semi-annual and even annual bills in your app. financial control.
That way, you won't be caught off guard at any time and will receive notifications about invoice maturities, in addition to avoiding the payment of fines and interest.
5. Settle outstanding debts
If you have debts, take a deep breath and know that you are not alone in this. Some research shows that there are millions of UK residents families indebted. This is a terrible fact, but you can reverse this situation with some wise actions, among them are:
- Check the possibility of migrating your debt from one financial institution to another, which offers a lower interest rate;
- Get in touch with your creditors and negotiate your debts. Still, make sure that you can honor this commitment and that the installment will fit in your pocket, combined?
6. Study about finance and investments
Some people do not know anything about investments and finance and perhaps that is why they do not recognize the importance of the subject.
Thinking about it, the MEC instituted that from 2021 schools need to have financial education as a school subject (albeit in a transversal way).
However, if you have already left school and want to learn about the topic, rest assured! See our article “Financial education courses: see the top 20 to start today!”And master everything about it.
After all, to be able to understand something, it is essential to study and dedicate yourself with commitment. If you’re short of time, read about financial education on mobile and / or follow excellent channels on the subject, how:
7. Use your credit card wisely
The credit card is super practical and can be used (he is not a villain). However, it needs to be used intelligently, after all, it is very easy to lose control of expenses by just swiping the card around.
About this, we have some suggestions:
- If you want to accumulate miles for travel or use the points program on your card, always use it with the stipulated amount to be spent and with the money reserved for the arrival of the invoice;
- Never use your credit card daily and without noting expenses in your app. Many people are frightened when the invoice arrives and need to enter the revolving account, paying only the minimum amount, which generates a high interest charge.
8. Save your salary now: practical tips for that
If you've made it this far and still don't know how to save your salary effectively, here are some super simple tips for that:
Save all the change you receive: at the bakery, at the supermarket, among other places. For that, always have money on hand. In addition to facilitating your “piggy bank” this helps you to spend less, as you will see the money “going away”;
Don't be ashamed to save little. If you are experiencing financial difficulties, do not bow your head. We'll show you how, even with little, you can always save:
Challenge to inspire you:
1% more monthly
Monthly rent amount: £ 1,000.00
|January||1% of 1,000.00||£ 10.00|
|February||2% of 1,000.00||£ 20.00|
|March||3% of 1,000.00||£ 30.00|
|April||4% of 1,000.00||£ 40.00|
|May||5% of 1,000.00||£ 50.00|
|June||6% of 1,000.00||£ 60.00|
|July||7% of 1,000.00||£ 70.00|
|August||8% of 1,000.00||£ 80.00|
|September||9% of 1,000.00||£ 90.00|
|October||10% of 1,000.00||£ 100.00|
|November||11% of 1,000.00||£ 110.00|
|December||12% of 1,000.00||£ 120.00|
Total saved: £ 780.00.
You can adapt this table to your reality. For example, if possible, save 2% more monthly or up to 5% if you have low expenses and / or an income higher than a minimum wage.
The important thing is to save your salary and learn to invest your money as soon as possible.
9. Ensure extra income
We know that many people have a highly compromised income and it is difficult to save. If you are in this situation and find yourself stuck, check out some extra income tips to help you save your salary:
- Make homemade masks to sell (the vaccine against the new coronavirus is not yet being applied, so we will need to protect ourselves at least, until the middle of 2021);
- Use the internet to your advantage: you can work as a freelancer in the area of social media, editor, video editor for social networks and YouTube;
- If you know how to crochet, sweets and crafts, create an online store on Instagram and Facebook. In addition to showing your products, you can make sales to any part of the country and ensure profitability.
10. Set your priorities and focus on them
It is essential that you have goalsotherwise, you will easily get lost in the face of difficulties. After all, why do you want to save your salary? To take a trip a year from now? Or do you want to pay off your cash debts in 6 months?
Write down your priorities in your calendar or financial control app and keep your eyes on them. Thus, you will be able to resist temptations more easily and the chances of being frustrated are infinitely less.
I don't have a fixed salary. And now?
If you are working as a self-employed person and cannot save your salary, as you do not receive a fixed amount, stay calm!
Thinking about this portion of the population, we list some tips so that you can make savings and guarantee a emergency reserve. Check out some suggestions:
Set a daily or weekly amount to save. For example, you can save £ 20.00 per week. This will give you £ 100.00 per month;
If you receive weekly or fortnightly (many freelancers act by project), you can always separate a percentage that you will send directly to your savings (or to the investment account).
So, keep in mind that whenever you receive 5% or 10% they are for your pre-established goals.
Bonus tip: let's talk more about money!
Many families do not talk about money and that is totally wrong. In the end, this is a theme that involves everyone's life and that directly impacts our quality of life.
In this way, talk to your husband (wife) about the expenses and insert the children in the socioeconomic context of the house.
If they want a puppy, explain that there are expenses involved in adopting a pet and that it will need care (and this will involve expenses).
If your children want to travel to Disney, have a frank conversation and explain that a trip to the beach is what fits in the family's pocket in 2021. Thus, they will now learn the importance of financial control.
Financial health: why it is so important
Having good financial health is not only useful for paying bills on time. This reflects on our psychic and even physical health.
Studies point out that people in debt sleep poorly, tend to eat poorly and are more stressed. Furthermore, being in debt, with low earnings and with no money available for an unforeseen event, will prevent you from having peace of mind.
After all, at any sign of crisis or recession, you may fall into despair and even suffer from despondency, panic and depression.
In that sense, if you are afraid of the future, it is time to save your salary, shake off the dust and get organized. Remember that only with planning and good choices can we achieve our dreams.
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