When the economy is on the upswing, we spend money like water.
However, when the headwind comes, how to stabilize the money bag and make it bulge is a university question.
It is often said that it is not easy to make money, and it is even harder to save money. As an ordinary person, cotton sauce has been constantly practicing and trying, and has successfully saved 100,000 in a year.
Share with you 6 useful tips, it is recommended to collect.
1.Autopay.
The "payment automation" of finance is really too worry-free!
When my monthly income arrived, I set up autopay to my savings account.
This makes saving money feel like a "passive" investment, and it feels very easy not to worry about forgetting to save money due to negligence.
2.Account categorization
The "account classification" of psychology is also my killer feature! I have a separate account for each savings goal, including travel**, emergency**, etc.
In this way, I can see the progress of each goal at a glance, and I don't mix up funds, and I feel like I have a "personal system" for financial management, which is full of efficiency!
3.Allocation of funds
Based on the principle of "allocation of funds" in finance, I developed a super-detailed budget.
Rationally allocating your monthly income to consumption, savings, and investment not only ensures basic living needs, but also leaves enough room for savings and wealth growth.
It feels like you're building a safe for a small vault of the future, and you're building up little by little.
4.Behavioral feedback
The principle of "behavioral feedback" in psychology is also my right-hand man! I keep track of every spending on my phone, so I can track my spending anytime, anywhere.
It's like setting up a little "financial monitor" for myself, which makes me more alert to unnecessary expenses and stop spending impulsively. Well, it feels like every dollar is worth it!
5.Goal motivation
Psychology tells us that visualizing goals increases motivation to achieve them. So, I posted some visual reminders of my savings goals in the work area, such as the ** of the vacation location I want to go to.
Whenever I see these **, it's like instilling in myself a dose of motivation to "stick to the savings plan", and I feel more motivated to stick to it.
6.Compounding effect
Finance tells us that the compounding effect is really good!
Not only do I save, but I also invest some of my money in low-risk financial products. The compounding effect can actually make the capital grow exponentially over time.
Even if it is a small amount of regular investment, you can accumulate considerable wealth, which is simply the gospel of investing in Xiaobai!
[Summary].
Through these simple and efficient methods, I have not only managed to save an extra $100,000 in the past year, but I have also developed good financial habits.
I hope my experience can inspire you to move forward on the road of financial management together and work hard to achieve your financial goals.
February** Dynamic Incentive Program