Spend less, save more, is the typical ‘savings success formula’, we are expected to use. Sounds easy but is hard to do. So, how do you save money?
Consider a typical example!
Friday night, at the end of a very long day. Your goal is to only get takeaways once a month, and you had them last week. But this week has been crazy. You’re tired, someone says, “let’s get takeaways”, you don’t have the energy to disagree, and you say yes.
What happened? You had a clear goal, but now you are left wondering, how do you achieve your goals and save money?
Over the years of helping clients and developing financial plans, I have come to learn, that good intentions alone, don’t make you save money.
Behaviours and the right environment do.
Spend less, save more, is the typical ‘savings success formula’, we are expected to use. Sounds easy but is hard to do. So, how do you save money?
So how do we create those and how do we save money?
Don’t worry, I am not here to tell you to stop drinking coffee or buying shoes. Instead, I am here to discuss behaviours, which might be scarier! This blog is an introduction to a three-part series, covering what I have termed the ‘Savings Success Formula’.
Let's look at what we will cover over the 3-part series.
The Savings Success Formula
1. Savings Success Formula Step 1 - The Why, the Will and the Way
Goal setting is more than a statement of intent, success requires behaviour change and for very good reasons. Goal setting is about personal growth.
In Part One we explain why and show you ways to alter how you approach goals forever.
2. Savings Success Formula Step 2 - Know your numbers
At some stage you are going to have to look at what you spend. But you will be happy to know, that doesn’t mean setting a budget you will never achieve.
In Part Two, we explain what you need to know and why, and look at changes you can make to put you on the right path.
3. Savings Success Formula Step 3 - Understand your habits
“It is not what we do once in a while that affects our health, but what we do every day”.
The same ideas apply to our money. Our habits shape our lives, our spending, and our saving.
In Part Three we will delve more into our day-to-day behaviours and look at how to identify the ones we need to change, to put us on track to save money.
Before we finish up and I see you back here for Part One, here is something to ponder, to get you in the ‘zone’ for behaviour change.
Think about the last goal you accomplished (big or small in nature).
Name 3 new things you could do when you succeeded.
Put your answers in the comments section below and let's celebrate the journey to that goal.
If you want to discover more about money, catch our other articles.
How to Control Your Money…Find Your Focus – Inside My Money
How Much Does It Cost to Build a House in NZ? – Inside My Money
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Article by Kim Gabites (Inside My Money Founder)
www.insidemymoney.co.nz is an online financial learning hub, that provides courses, resources, and tools to help increase financial confidence and capability.