Best tips to save money for future

1. Make a spreadsheet to save money

For one thing, know exactly how much you are spending. Set up a spreadsheet for the following data: how much you make monthly, what have you been paying monthly on your fixed expense items – that is to say, water and electricity bills, transportation, debts, food – what you spent the previous month on those expense items and how much you have left over – or how much you would like to have left over.

With this kind of information under your control, you are able to predict how much you need each month and how much has been spent superfluously.

2. Pay your debts on time

The ideal is to avoid debt, but if you have to, try to pay it on time. Delays can result in interest and fines, as well as compromising money that could be spent on more important things like your health, education and leisure.

And most importantly, avoid accumulating debt. If you are having trouble paying everything, contact your bank manager and discuss the best alternatives so that you can pay everything without compromising too much of your salary and preventing the interest amount from becoming greater than the debt itself.

3. Have savings and reserves for money for future

We never know what is waiting for us tomorrow; that is precisely the reason for having one or more savings accounts. What you can do is take a percentage of your salary every month and save half of it into a savings account for emergencies and make the other half realize a dream-whether buying a car, going on a trip, or possibly a down payment on a house.

4. Pay cash as much as possible and preferably in cash.

Credit cards, debit cards, checks and bills have made shopping much more practical and secure, but on the other hand, they also give us the feeling that we have more than we actually have in our accounts.

Pay in cash instead of paying installments for your purchases. That way, you will be able to understand correctly how much you spent, and what your limit is, and would definitely not get into debts in the future. Besides, it serves as a good reminder that credit cards have very high interest rates that automatically gets a discount with the store if you pay in cash.

Another way is to pay in cash, since you will feel better how much you are spending and how much you have, and if you carry less then you would have if you were using a card, you save money by reducing unnecessary expenses.

5. Avoid temptations

It’s healthy to treat yourself every now and then and use your money to buy new clothes, electronics, and shoes.

The danger is when you do this excessively and end up spending more than you have. If you are the type of person who cannot resist temptation, then it is best to stay away from stores, unsubscribe from emails with offers and promotions, and online catalogs. If you are addicted to using your credit card, cancel yours or only have one for emergencies (and keep it safely at home).

It is worth noting that buying material goods brings a false sense of happiness that is fleeting; invest in experiences that will enhance you as a person and meet your real emotional needs.

6. Change your daily habits

This is how subtle changes in habits and daily choices can make a big difference by the end of the month. Long-term results are the most astonishing. You need to know how much time you spend in the shower with the water running, unplug appliances once you’re done using them, do not open the fridge unless you really need something from it, and when shopping for groceries during the month, do your research in advance to find the best deals in supermarkets.

Transportation cost will drag down your pocket too. Explore ways to travel to work without this cost. Some people enjoy cycling which, along with helping health and fitness, is free and also beats traffic.

If you have coworkers who live near your home, arrange to take turns. Each week, one person drives their car and offers a ride to the others, so you can share the cost of gas. Everyone saves money and takes advantage of the opportunity to strengthen relationships.

7. Select your leisure activities

Leisure time is what makes for a good quality of life, but it is absolutely possible to have a good time with inexpensive or even free leisure activities. Look for cultural events in your city, visit a library, with the family have picnics in the park, the party at popcorn at home, and invite friends over. All you need is creativity to make your life more fun, balanced, and full of good experiences.