No matter how ambitious your financial goals are, you can’t reach them if you don’t have a realistic saving plan. Unfortunately, this is something most people are unable to achieve. With increasing life demands and money slipping into unnecessary expenses, it is not hard for you to end the month without saving a cent.  

So, which are the most effective saving habits you can do? Well, there are many money-saving habits that have been tried and found to work extremely well. If you have been trying to save money in vain, this guide is for you. We have rounded up 10 most effective money-saving habits you can do: 

1. Open a Savings Account 

The first step to saving money is opening a savings account. The mistakes that most people make is keeping their ‘savings’ in their current account. Some have their homes as their saving accounts. Start by opening a savings account. Having a saving account helps you to avoid temptations of withdrawing the saved money or using when things get tough. In some cases, the bank provides a specific period when you can get access to your money. That’s one of the best strategies to start a saving plan. 

2. Have a saving Goal 

Don’t save for the purpose of having some savings in the account. You need to have very elaborate saving goals. What do you want to do with the money you are saving? Do you want to buy a house or a car? Are you saving on advancing your education or travel tour? The trick is to have a convincing saving goal. The goal should motivate you to save more money into the savings account. If you don’t have a goal, then you will not have the motivation to keep setting aside more money for savings. 

3. Start Small 

One of the biggest mistakes that people make is thinking that they can save a huge chunk of their monthly income. That is wrong and does not work. Such an approach will get you disappointed. Starting small as you build your saving capacity is the best strategy. If you get paid on a weekly or monthly basis, save something small off your income. Even if it is 2% of your net income, you are saving something. Be consistent and keep adding more money into the account as you adjust your expenses. 

small scale finances

4. Try Automatic Transfer 

The most difficult part for most people, especially those saving for the first time, is depositing money into the savings account. So, the best trick is to set up automatic transfers. It allows your bank to send money to your savings account automatically. You can set up automatic a weekly or monthly transfer depending on your payment schedule. What you will be receiving is your net income, which makes it easy to manage your finances. This is a strategy that everyone having problems reaching their saving goals should try. 

5. Budget Your Saving 

If you want to avoid automated transfers and take control of your spending, then budgeting your savings is a perfect strategy. Budget saving includes putting savings as part of your budget. What you need is to prioritise savings. Have it as the normal bills such as the energy bill and make sure that have deposited it into your saving account as among the first bills. So, make sure that you have written saving on the priority list of your budget.  

6. Plan Non-Spending Days 

Another money-saving habits you can do is to set aside non-spending days in a week. If you usually take coffee and snacks every day, then you can skip such spending for two days a week. If you spend most of your evening drink, then you can have two days of walking in the park or watching a movie every week. Put the money that you have saved into the savings account. It is a money-saving habit that can make a huge difference. 

7. Save On Everyday Items 

Saving on every item you buy every day can make a huge difference in your savings account. For example, you can make a huge saving in the long run if you save on groceries. Using coupons or buy one get one deal saves a lot of money in groceries. Do you know that if you can save $10 per day on items, the figure would translate to $520 savings in a year? Well, that’s the kind of difference you can make. 

bank notes saving

8. Save Extra Money 

If you get extra money from your work, act like you received nothing and put it in savings. If you get a promotion at work or your salary is raised, don’t adjust your life by making it more expensive. A promotion makes people go for bigger cars or move to more expensive neighbourhoods. So, you can make a huge impact on your savings account by saving the extra money you receive. 

9. Avoid Paying For Services You Can Get at Home 

By paying for services you can get at home, you are wasting money. Why would you eat out when you can cook at home? Do you know that you can save more than 50% on your food budget if you start cooking at home and packing lunch? You can also save a lot of money of your brew at home and bring some coffee to work in a thermos. In addition to that, you can forgo gym membership and start running or exercising at home. 

10. Retirement Account 

For all the kinds of saving that you are doing, a good saver must always have a retirement account. This is one of the key saving tips that most people ignore until it’s late. Most people, especially the young ones, forget that they will get old and lose gainful employment. So, whether you are saving to buy a car or house, don’t forget to open a retirement account where you will be putting a small percentage of your monthly income.  


If you have been trying to save money in vain, these are 10 money-saving habits you can do. They have been tried and found to work extremely well. Therefore, you have no reason for not saving money. Try any of these strategies or combine a number of them, and you will see a difference in your savings account. 

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