If you’re like many students, majority of your money seems to leave your account just as fast as it enters. Well no more! It’s time to turn it around. If you want to increase your savings here are some helpful tips to assist you in accomplishing your dreams.
TIP ONE: Have a savings goal
One way to get on top of your finances is by having a goal to work towards. Many people find it a lot more difficult to save ‘willy-nilly’ rather than for a purpose. With a goal as your motivation it encourages you to be responsible and work hard.
If you’re looking for a platform to help you achieve your goal, a good resource to look for is the $1000 Project. The way the project works is pretty simple; Canna Campbell, the author of the $1000 Project, explained the approach like this:
“Each time I save money, make money or find money in my life, I will be putting it into a separate savings account and the moment there is $1,000, I am going to invest it by buying long-term passive income sources, which match my long-term financial goals. As the income builds up, with continuously adding to the portfolio with more $1,000 parcels and reinvesting the income for compounding growth opportunities, my goal for the challenge is that the share portfolio can pay for a designer handbag each year.”
Such a simple goal can manifest into a portfolio of incomes; meaning you don’t need to have a huge goal to create a habit, if you just want to improve your savings this is the exact approach to take! For further explanation you can check out the video below.
TIP TWO: Create multiple income avenues
Side hustles are about to become your new best friend. They not only allow you to have a second income but they also allow you the freedom to work with your schedule. You are your own boss, you dictate how much you work and how much you don’t.
Though you may want to save some money, it is also important to not overextend yourself. Taking on more than you can handle is only going to negatively impact on how much you can achieve. So when you pick your side hustle, just be wary of that.
Here are some examples of side hustles you may want to pursue:
- or nannying
- Freelance writing
- Start your own business (i.e. make up artist)
- Tutor high school or university students
- Sell unused items online
- Take part in market research
For a more detailed description of what you can pursue, check out the video below.
TIP THREE: Stop wasting money on fast fashion
As tempting as it is to go into a generic store, like H&M or Topshop, and buy a cheap jumper or skirt, the reality is that you are most likely only going to wear that item of clothing for one season and then throw it out.
If you start to accumulate quality pieces to make up your wardrobe, it may cost you more upfront, but in the long run you’ll have spent less because you aren’t buying the same t-shirt or coat or dress every season, you’re buying a piece that’ll last you years.
If you’re looking to update your wardrobe, good places to start include: David Jones, Seed, Cue or Zara. They offer sophisticated ranges at a relatively decent price (when put into perspective).
TIP FOUR: Find cheap ways to socialise
Let’s be honest, more often than not the thing we’re spending the most money on is socialising with our friends. Whether it be getting drinks, going for brunch or enjoying a comedy show, we like to spend our money on entertaining ourselves.
There is absolutely nothing wrong with wanting to have a good time, but I’m afraid our bank accounts can’t sympathise. This is when we need to start to be creative, what can you do in Sydney that does not involve spending money or just a small amount, well here are a few ideas:
- Spend the day at the beach
- Do a coastal walk (we live in one of the prettiest cities in the world, make the most of it)
- Utilise happy hours and deals (i.e. cheap tuesday at the cinema)
- Explore the parks in Sydney (incl. Centennial Park, Royal Botanical Gardens)
- Attend an exhibition at the Art Gallery of NSW (it’s free entry)
- Take a ferry ride around Sydney Harbour (it’s not that expensive)
- Go to the gym together (hopefully you’re both members at the same one)
And there you have it, four easy tips to implement that’ll help you start your savings goals. Remember it is always good to be conscious of your spending but don’t let it take over your life, you still need to have fun. Happy saving!