If you put into practice all the best ways to save money , you can achieve good financial results, saving a lot of money and transforming your financial reality.
All the best ways to save money are focused on helping you have financial peace, that is, being able to fulfill your financial dreams and also being able to solve any financial problem without getting into debt completely.
In a few minutes, you’ll discover realistic and practical ways to save. See the tips, apply them and watch your financial reality change. Let’s go.
1. Control your cost of living (Best ways to save money)
Keeping track of your own money is not easy, but it is important and indispensable for those who want to save.
And the first step is simple: create a budget. With it, you will see where your income comes from, where it goes and how you can make smarter choices on a daily basis.
There are several ways to organize your finances, from apps, to spreadsheets or even the good old notebook.
The important thing is to find a tool that you feel comfortable with and, above all, to use it consistently.
Strategies for organizing the budget
Among the most popular methods, the 50/30/20 budget stands out for its practicality. His idea is simple:
- 50% of the net income is for their needs, such as housing and food;
- 30% can be used with desires, that is, travel, cinema, iFood, among others;
- 20% is reserved for savings.
This structure helps balance your financial life. In addition to encouraging the habit of saving money for the future.
However, not everyone fits this formula. If your financial reality does not allow you to save in this way, test the model, 60/30/10, stricter with non-essential expenses.
2. Pay your bills with higher interest
Few things weigh as much on the pocket as a debt that does not stop growing. High interest rates, long terms and that feeling that money is never enough. So, if you want control of your money, start by aiming at the accounts that drain it the most.
Concentrating efforts to pay off the most expensive debts, such as credit cards or personal loans with high rates, is an effective strategy to reduce the impact of interest in the long run.
If the current budget does not allow for an extra amount, do not be discouraged. Look for extra sources of income. For example, a freelance job, selling items you no longer use, or even a service you can offer on the weekends.
3. Switch your phone plan (Best ways to save money)
Switching cell phone plans may seem like a small change, but the impact on your budget can be significant.
Often, we continue to pay for services that we don’t fully utilize. For example, unlimited data that we never use or connection minutes that are left over every month.
First, you must analyze your real need. Do you really need a full postpaid plan or would a simpler prepaid already suit your routine well?
In addition, it is worth comparing operators: many offer promotional plans, packages with free applications or discounts for those who port the number.
4. Shop less online
Cutting back on online shopping is a smart way to control impulses and protect your budget. The practicality of virtual stores, with a few clicks and information already saved, makes it very easy to spend without thinking.
If you are going to do this, we recommend that you delete the shopping apps from your cell phone. Without constant notifications of promotions and flash offers, you reduce temptation and reduce exposure to unnecessary consumption stimuli.
5. Prefer to cook instead of going to restaurants
Swapping restaurant meals for home-cooked meals will save you at least $200.
By the way, cooking, in addition to reducing costs, also allows more control over ingredients, which can benefit your health.
If you still want to keep the habit of going out from time to time, try to go less often and opt for cheaper places.
Also, enjoy the benefits of your credit cards. That’s because many offer cashback or extra points at restaurants, which helps you save. By the way, one of the most interesting cards thinking about getting money back is the Chase Freedom unlimited card, we recommend that you get to know this option.
6. Have an emergency reserve (Best ways to save money)
Having an emergency reserve is crucial for you who are looking to save money.
This fund represents an amount saved to deal with unforeseen events without having to resort to debt or compromise your standard of living.
Basically, it works as a shield against unexpected situations. For example, job loss, medical emergencies, or car problems.
To function efficiently, the reserve needs to be liquid and profitable. This means that the amount must be available for immediate redemption and applied, preferably in post-fixed income investments.
The ideal is to accumulate the equivalent of at least six months of your monthly fixed cost.
For example, if you need $2,000 per month to support yourself, your reserve should be $12,000.
In more unstable contexts or with a larger family, it is worth considering a reserve of up to 12 times this amount.
More important than the exact number is the discipline of building this reserve with constancy.
Start small, but start. Over time, you will realize that this practice not only protects against crises, but also brings peace of mind to plan for the future with more freedom and less fear.
Best brokers for emergency booking
Thinking about building your emergency reserve, we have selected some brokers where you can keep your money, let’s see:
- Robinhood: this is an excellent option for those looking for practicality and competitive income on idle money. With a simple interface, it allows you to trade stocks, ETFs, and cryptocurrencies commission-free;
- Vanguard: Known for its reliability and solid track record, Vanguard is a reference when it comes to low-cost funds. It offers interesting yields on the uninvested cash amount, with order execution, making it ideal for those who want security and simplicity in building the reserve.
- Public: Public attracts new investors with an intuitive experience and also offers high interest rates on idle money. In addition, it has a transfer bonus that can be interesting for those who already have investments in other brokers.
Conclusion
Putting into practice the best ways to save money is the first step to building a more balanced financial life with the freedom to achieve your goals.
Saving money does not mean that you will give up doing everything you like, but that you will make smarter choices.
From controlling your cost of living, paying off high-interest debts, adjusting plans and day-to-day habits, to creating your emergency reserve. Each action, even if small, is already a great advance thinking about having an organized financial life.