What's your best saving tip?

MyLastFiver

Annualise your annual one-off expenses such as car insurance, home insurance, car tax, MOT TV licence, holidays, etc etc. Remember to add a generous amount for unexpected car repairs, and appliance breakdowns.

Add up the cost of these, divide by 12 then save this amount in an easy-access savings account. Then you have the peace of mind of knowing you will be able to cover these expenses when they crop up.

Whatever's left, that's your long-term savings to go in an ISA or whatever.

uzubairu

MyLastFiver wrote: »

Annualise your annual one-off expenses such as car insurance, home insurance, car tax, MOT TV licence, holidays, etc etc. Remember to add a generous amount for unexpected car repairs, and appliance breakdowns.

Add up the cost of these, divide by 12 then save this amount in an easy-access savings account. Then you have the peace of mind of knowing you will be able to cover these expenses when they crop up.

Whatever's left, that's your long-term savings to go in an ISA or whatever.

Exactly what I do and it works a treat.

Colincbayley

Keep a book.

Right down every single penny you spend, and I mean everything, right down to a newspaper.

You will then be able to do two things.

1) at the end of the week/month you can see what you have spent and where you can cut back

2) you won't spend as much because it will become a pain in the backside to keep writing it all down.

My old mum taught me this when I was 16, and I am still doing it now.

Look after the pennies.......

malik999

shebrett wrote: »

What are your savings tips? What small things do you do or tell yourself in order to save that little bit more each month? Anything, even if it seems weird or obvious. Anything to get me past this last little hurdle to become a proper saver!

I was always a saver. I worked for years with part time jobs saving £2500 and then watched it all disappear on my first car at 19

After my car I started saving all over again.

I soon realised in my twenties saving wasn't the answer, it was all about income. I completely changed my focus from savings to income and the rest is history.

StevieJ

Don't spend as much

gallygirl

Some great tips here :T.

My tip relates to reduced food & money off coupons. On the basis that if there were no reduced items or coupons I would have to pay full price then that is what I 'charge' myself. The amount saved gets transferred into a savings account (which I then pay off the mortgage). It all adds up . I transfer the money from coupons when I receive them - that stops me forgetting to use them

GlasWolf

Lots of good practical advice in this thread, but I agree with jamesd: your attitude to money is the most important thing of all. Like everyone else I allow myself the occasional little treat, but my personal pet peeve is similar to mostlycheerful: throwing away small amounts of money on stupid things. I despair at folk who come in to work every day with a starbucks coffee/tea, then go to the shops at lunchtime to buy sandwiches or salad (or a pie or pasty) and a bottle of water, and maybe a magazine to read while they're eating. That's £5 - £10 EVERY DAY just thrown away because they're "too busy" to make sandwiches at home and refill their water bottle. My individual daily food spend is probably less than their lunch budget.

So regarding this "money sense", well I don't know if this concept will work for anyone except me, but think of it this way: imagine I gave you £1 (which is pretty unlikely, but stick with me on this one ). Now say you don't spend it, and instead sagely put it in your savings account. The next time you look at your account balance, it will be £1 higher than it would have been had I not given you that £1. Obviously. But when you look at it again in a years' time, whatever your balance may be after all the incomings and outgoings, it will still be £1 higher. And it'll be the same in 5 years, 10 years... in fact, that £1 will now follow you around for the rest of your life!

Ok, so now imagine that tomorrow you're tempted by an impulse buy: say a magazine that you'll half-read then throw away, or a coffee that you don't really want but you have time to waste before your train arrives. This time, just remember: that £1.50 (or whatever) will be debited from your account balance; today, next year and for the rest of your life. Every time you look at your bank statement, it'll be £1.50 "short". Now imagine how much higher it would be had you not made all those daft purchases day after day. You'd be rich! Doh! Well it's never too late to start saving, so start now. Surely buying a house and food for your family is more important than a cup of coffee, or watching TV for 5 minutes instead of making a round of sandwiches for the next day's lunch? And if you're good at it, you'll very quickly find that you can buy yourself a little treat here and there and still make a profit on your overall balance. It's like free money!

The wisest financial advice ever, is "look after the pennies and the pounds will look after themselves". Or, if you're from my part of the world, "many a mickle maks a muckle".

Colincbayley wrote: »

Keep a book.

Right down every single penny you spend, and I mean everything, right down to a newspaper.

You will then be able to do two things.

1) at the end of the week/month you can see what you have spent and where you can cut back

2) you won't spend as much because it will become a pain in the backside to keep writing it all down.

This is genius! :T

Simon11

Santander has a first time saving account offering 5% or 4% after tax

Have a look on their website!

shaven-monkey

Don't buy magazines. Their sole purpose is to make you buy things and promote feelings of inadequacy and unhappiness because you don't have the latest great thing.

Don't buy newspapers. Their sole purpose is to sell you a political agenda, make you fear and hate and buy things.

Don't subscribe to TV channels. Their sole purpose is to waste your time, make you tense and cut you off from the real world.

Don't buy things on offer just because they're on offer. The offer is pretty much always a scam.

Don't buy fashionable clothes, buy things that will last more than an evening / month. Fashionable clothes are made in the same sweat shops as the resiliant clothes from cheaper materials because you're supposed to buy new fashion wear every season.

Learn how to do as much as possible Yourself. With a little reading you can learn to do almost anything, try it.

Don't take advice from random strangers on the internet. They're trying to sell some agenda or other.

sparrer

It may seem obvious but always have a reason for saving otherwise you just lose interest in more ways than one!

If you have a goal (my last few were a garden shed, a breadmaker, a patio, and the next is a holiday to India) research it as much as you can, look for similar items, cut out a picture and stick in on the fridge door, imagine the item in place and how you'll use/enjoy it when you've really got it.

There have been one or two emergencies (vet bill etc) I've had to dip into it for but then I think to myself I've paid the bill and the item I'm saving for from the one pot, so a double whammy.

Look on saving as a positive and save the way you spend - with enthusiasm!