Money-Saving Tips for Spenders

If saving doesn’t come naturally to you, don’t worry I have some money saving tips for spenders like you. I also happen to be the right person to deliver this message because I’m a recovering train wreck that has learned to implement systems that have helped me get my life together. I’ve managed to do the same with money.

Research has shown that family upbringing, mothers spending habits and life experiences can contribute to one’s spending habits. These also contribute to your “money story” or your beliefs and emotional ties to money. But the good news is that if you are a spender there is hope.

Here are some strategies and money saving tips for spenders.

Automate your savings

The single most intentional and simplest way of saving money is to automate it. The less work you have to do on an ongoing basis, the more likely that it’ll happen.

Employer Direct Savings Deposits

If you are already getting direct deposits from your employer, see if your job gives you the option to divide part of your paycheck. If they do, set a certain amount or percent to go directly to your savings account. This way, you don’t have to think about it or remember to do it and you won’t have to deal with the ramifications of spending all of your paycheck.

Automatic transfer

You can also set up automatic transfers through your bank account. You can set up transfers to auto transfer money from your checking to your savings account on specific dates. If employer direct savings deposits isn’t an option this is a great alternative to help you automate your savings.

Use Cash envelope system

Cash envelope system is a system that uses cash stuffed in envelopes in the amount set forth by a budget. This system is beneficial to helping you stay within your budgeting parameters. It is also helps by visually seeing how much money you have to spend in certain categories each month and how much you have left.

The goal is to use it for discretionary or non-essential expenses that you may struggle with overspending on. Examples of this can be personal spending for hair and beauty, shopping, groceries, or eating out. By identifying struggle areas you can adopt habits like this to help you curb spending which can help you save more.

For more tips on using the cash envelope system, check out my blog post.

How to implement the cash envelope system

Budget your expenses
Label your envelopes with categories (ex: food, shopping,etc)
Stuff the envelope with an allotted amount to use for the month or by paycheck period.
Once the money is gone it’s gone until the following month or paycheck period.

Keep Credit Card Use at Bay

If you can’t resist swiping your cards, leave your credit and debit cards at home a few times a week. If you think you’ll need to spend some money, take a set amount of cash with you.
This method can be useful in circumstances where you’re likely to overspend such as when you go to the mall or go out with friends.

Visible Reminders

Lack of awareness contributes to overspending. Having it consciously on your mind or view can help you make better decisions when it comes to spending.

For those who need visual reminders, use a budget and expense tracker to track your progress. Update it weekly. Having that visual reminder of your budget or confirmation of your spending can help curb your spending.

If you find this to be too much work, consider the use of an app on your phone that links to your bank accounts and visually shows you how much you are spending on different categories.

Share your money saving tips for spenders. Let me know about it in in the comments below.