Skip to Content

4 Better Habits For Your Money

4 Better Habits For Your Money

Everyone wants to save money – but sometimes we have to spend some e.g on repairs, bill payments, hobbies, fun money, and more.

While ideallt you would set aside money on a regular basis for this and have an emergency fund, with the rising cost of living, this isn’t practical for everyone.

Saving can be a small way to help you avoid taking short-term loans, hire purchases or worrying that you can’t replace big items if they were to break (think washing machines, cars, windows and other big-ticket items).

Even if you can save $10 a week or start with 1% of your income and build on it each month as you get used to living on less, this can help.

Those small amounts add up and by being consistent you will build a nice nest egg as well as develop a great habit for your money.

So what four small habits can you start to build into your money management that will allow you to start saving a little better and a little more often?

1. Tracking

As boring as it is, tracking your money, even for a short period, can help you see where you are wasting it and what you can do to improve your finances.

Often people forget the small purchases and impulse buys they make here and there.

It might be a drink or snack when you fill up your car with petrol, daily coffees at work, Friday night drinks with the team, extra junk at the supermarket etc.

Those expenses are easily forgotten and not usually tracked but can add up to hundreds, even thousands of dollars quite quickly.

To track effectively, you need to track everything you spend even when you think it’s too small to matter.

Every cent spent needs to be accounted for.

Keep all of your receipts and get into the habit of adding them all to a total at the end of the week so that you can see what your real spending is.

It might be much more than you initially thought. 

An added bonus of keeping your receipts is entering competitions. In one year I won thousands of dollars worth of gift cards and items through entering competitions attached to things I buy.

2. Cashback and Discounts

If you need to buy something, check if there are cash back options or other discounts you can get.

Cash Rewards, Shopback, Honey and Swagbacks are my 4 favourites, which you can read about more here. They are all free to join and have different offers at times so be sure to check them before spending any money.

Along with the cash back, join any loyalty programs available, check for discounted codes and use these tips to get discounts on everything.

There are ways you can combine cashback, loyalty, discounts and other offers to save even more as well.

Lastly, learn these 9 frugal habits to save you thousands if you want to push it further.

3. Treat Savings as a Bill

When you look at savings, don’t just plan to save whatever is left at the end of the week because chances are, you won’t have anything left.

Instead, treat your savings as a bill and pay yourself first.

It might be hard to start, especially if you are already behind on your bills but it is worth it to develop it as a habit ASAP.

Start to build savings into your budget, which prevents you from spending what you had intended to save. 

When you start saving, you might be paying down debt too, so what starts as a few cents should ideally turn into 15-20% of your income. 

Even 1% each time you get money is better than nothing. Start with that for the first month, try 2% in the second month and so on.

Adjusting your habits and lifestyle to account for the 1% then 2% makes saving easier and easier.

4. Priorities 

What are your financial priorities? Why are you saving, and what will it go towards?

Knowing what you in life, what you value and having clear financial goals makes it much easier to save.

For example, if you have kids, you might want to save for their education or a family holiday.

Maybe you own a home and want to do some renovations to make it more suitable for everyone.

Or perhaps your big appliances have seen better days, and you know that you will need to replace them soon. 

Think about all the things that matter to you and you need or want to pay for from the ones mentioned through to retirement.

Create a financial plan that covers all your goals then use it to create a budget and stick to it.

By keeping your priorities in mind, you can make solid financial decisions easier and save more.

Check out these 24 ways to save money easily in 2024, these 9 savings challenges you can try as well as how to save $10,000 in a year to give your savings a boost.

4 Better Habits For Your Money

This site uses Akismet to reduce spam. Learn how your comment data is processed.

This site uses Akismet to reduce spam. Learn how your comment data is processed.