{"id":7476,"date":"2018-07-03T12:03:18","date_gmt":"2018-07-03T18:03:18","guid":{"rendered":"https:\/\/www.personalfinanceforbeginners.com\/?p=7476"},"modified":"2019-09-05T16:23:55","modified_gmt":"2019-09-05T22:23:55","slug":"start-saving-more-money","status":"publish","type":"post","link":"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/","title":{"rendered":"8 Powerful Reasons You Should Save More Money"},"content":{"rendered":"<p>What\u2019s the first financial lesson you remember learning as a child?<\/p>\n<p>If you were fortunate enough to receive an allowance from your parents (whether <i>gratis<\/i> or under the condition of completing your chores), they may have also tried to teach you the value of saving part of what you receive each week.<\/p>\n<p>Saving money is one of the simplest things you can do to start working on your personal finances. You&#8217;ll feel like you&#8217;re <a href=\"https:\/\/www.personalfinanceforbeginners.com\/how-to-adult\/\">&#8220;adulting&#8221; with your money<\/a> in no time.<\/p>\n<p>It\u2019s a valuable skill because it can improve your financial situation at any stage of your life:<\/p>\n<ul>\n<li><i>Childhood:<\/i> save money to buy toys and candy whenever you\u2019d like<\/li>\n<li><i>Adolescence:<\/i> save money to cover part of your college expenses or buy a used car<\/li>\n<li><i>Early adulthood:<\/i> save money to put a down payment on a house or start a family<\/li>\n<li><i>Middle age: <\/i>save money to invest in your retirement fund<\/li>\n<\/ul>\n<p>Unfortunately, many of us could be doing better when it comes to saving money. If you haven\u2019t made managing your personal finances a priority, there\u2019s a good chance you\u2019re spending every dollar that you earn \u2013 perhaps before the money hits your bank account.<\/p>\n<p>Saving more money isn\u2019t something that can be done overnight. The easiest way to save more money is to start small and start today, gradually increasing your savings when <a href=\"https:\/\/www.personalfinanceforbeginners.com\/i-got-a-raise\/\">you get a raise<\/a>, bonus, or tax refund.<\/p>\n<p>Not sure you\u2019re ready to start saving more money?<\/p>\n<p><strong>Learn More &gt;&gt; <a href=\"https:\/\/track.flexlinkspro.com\/a.ashx?foid=1140765.141693121&amp;foc=1&amp;fot=9999&amp;fos=1\" target=\"_blank\" rel=\"nofollow noopener\">Open a CIT Bank 2.30% APY Savings Builder High Yield Savings Account<\/a><\/strong><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_49 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Jump to...<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"ez-toc-toggle-icon-1\"><label for=\"item-647a0cc6eed12\" aria-label=\"Table of Content\"><span style=\"display: flex;align-items: center;width: 35px;height: 30px;justify-content: center;direction:ltr;\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/label><input  type=\"checkbox\" id=\"item-647a0cc6eed12\"><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-visibility-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#Reasons_why_you_should_save_money\" title=\"Reasons why you should save money\">Reasons why you should save money<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#1_You_don%E2%80%99t_need_to_%E2%80%9Ckeep_up_with_the_Joneses%E2%80%9D\" title=\"1. You don\u2019t need to \u201ckeep up with the Joneses\u201d\">1. You don\u2019t need to \u201ckeep up with the Joneses\u201d<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#2_Find_financial_peace_of_mind_during_tough_times\" title=\"2. Find financial peace of mind during tough times\">2. Find financial peace of mind during tough times<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#3_Avoid_inconvenient_cash_flow_issues\" title=\"3. Avoid inconvenient cash flow issues\">3. Avoid inconvenient cash flow issues<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#4_Make_large_down_payments_on_big_purchases\" title=\"4. Make large down payments on big purchases\">4. Make large down payments on big purchases<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#5_Capitalize_on_new_opportunities\" title=\"5. Capitalize on new opportunities\">5. Capitalize on new opportunities<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#6_Enjoy_guilt-free_travel_and_other_experiences\" title=\"6. Enjoy guilt-free travel and other experiences\">6. Enjoy guilt-free travel and other experiences<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#7_Make_values-based_decisions_with_%E2%80%9CF-you_money%E2%80%9D\" title=\"7. Make values-based decisions with \u201cF-you money\u201d\">7. Make values-based decisions with \u201cF-you money\u201d<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#8_Retire_earlier_than_your_friends_%E2%80%93_if_you%E2%80%99d_like\" title=\"8. Retire earlier than your friends \u2013 if you\u2019d like\">8. Retire earlier than your friends \u2013 if you\u2019d like<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#Where_to_save_your_money\" title=\"Where to save your money\">Where to save your money<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#CIT_Bank_Savings_Builder\" title=\"CIT Bank Savings Builder\">CIT Bank Savings Builder<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#How_to_start_saving_more_money\" title=\"How to start saving more money\">How to start saving more money<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Reasons_why_you_should_save_money\"><\/span>Reasons why you should save money<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Here are eight powerful reasons that might change your mind.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"1_You_don%E2%80%99t_need_to_%E2%80%9Ckeep_up_with_the_Joneses%E2%80%9D\"><\/span>1. You don\u2019t need to \u201ckeep up with the Joneses\u201d<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>When it comes to wealth, it\u2019s all relative. In which situation do you think you&#8217;d feel richer?<\/p>\n<ul>\n<li>Earning $75,000 a year in a neighborhood where the average salary is $50,000<\/li>\n<li>Earning $100,000 a year in a neighborhood where the average salary is $150,000<\/li>\n<\/ul>\n<p>In one situation, you\u2019re the \u201crich\u201d neighbor, and in the other, you\u2019re the \u201cpoor\u201d neighbor.<\/p>\n<p>Even though <i>personal<\/i> finance is highly variable based on your upbringing, college education, career path, and more, it\u2019s really easy to dismiss this fact and instead ask yourself:<\/p>\n<p>\u201cAm I keeping up with the Joneses?\u201d<\/p>\n<p>This question fails to consider your own unique financial history, current circumstances, and future goals.<\/p>\n<p>Rather than following your own path to improvement, <a href=\"https:\/\/www.winningpersonalfinance.com\/keeping-up-with-the-joneses\/\">\u201ckeeping up with the Joneses\u201d is chasing a mirage<\/a> that not also keeps moving further, but also may not be reachable at all.<\/p>\n<p>In many cases, your peers are choosing to <i>look<\/i> wealthy instead of <i>becoming<\/i> wealthy, relying on credit cards and debt to buy clothing, cars, and a home to impress themselves and others.<\/p>\n<p>Don\u2019t fall into this money trap. Make sure you are spending less than you earn <i>and then<\/i> <i>some.<\/i> Saving this extra money will enable you to generate <i>real<\/i> wealth \u2013 not just a mirage.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Find_financial_peace_of_mind_during_tough_times\"><\/span>2. Find financial peace of mind during tough times<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>If you unexpectedly lost your job today, how long would you be able to survive without taking on debt?<\/p>\n<p>Unless you\u2019ve made saving money a priority, the answer is probably, \u201cNot long.\u201d<\/p>\n<p>That\u2019s one big reason why <a href=\"https:\/\/www.personalfinanceforbeginners.com\/save-rainy-day\/\">building an emergency fund<\/a> is widely recognized as one of the first steps to establishing your personal finances.<\/p>\n<p>The general guideline is that you should have enough money in a checking or savings account that you could cover three to six months of your living expenses if you stop earning income.<\/p>\n<p>This money should be kept in a place that\u2019s easily accessible and faces little-to-any risks. Your emergency fund is your safety net \u2013 not just in the event that you lose your job, but in case you find yourself with a major car or home repair, medical bills, or other unexpected expenses.<\/p>\n<p>If you haven\u2019t already, open a high-interest saving or checking account and start making contributions. If you have three months saved, try building your fund up to six or 12 months, especially if you have children or a partner that depend on your income as well.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Avoid_inconvenient_cash_flow_issues\"><\/span>3. Avoid inconvenient cash flow issues<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>During a period of just over two years during college, I lived in seven different apartments (roughly four months in each).<\/p>\n<p>Aside from the constant packing and unpacking, one of the biggest issues with moving involved coming up with a security deposit for each new place.<\/p>\n<p>This was while I was earning a very modest student income and before I learned how to manage my money, so coming up with an \u201cextra\u201d $600-800 to put down as a security deposit wasn\u2019t easy.<\/p>\n<p>If you don\u2019t have any money set aside, it\u2019s really easy to run into cash flow issues like the example above.<\/p>\n<p>Although I never had any issues with paying my rent on time, I didn\u2019t have an extra pool of money to draw from.<\/p>\n<p>Instead, I\u2019d have to use an entire paycheck to cover that security deposit, forcing me to carry a credit card balance for spending on groceries, textbooks, <a href=\"https:\/\/www.personalfinanceforbeginners.com\/buying-auto-insurance\/\">car insurance<\/a>, etc., until the security deposit from my previous apartment was returned.<\/p>\n<p>While you may find ways to \u201cmake it work,\u201d have a decent amount of money in your checking account at all times can help you avoid these tight spots and headaches.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Make_large_down_payments_on_big_purchases\"><\/span>4. Make large down payments on big purchases<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Having enough money saved to make a large payment on your next car or home could make a huge difference in how the decision pans out over the next several years.<\/p>\n<p>Putting more down on your purchase upfront will reduce the amount of debt you have to take on.<\/p>\n<p>If you put very little of your own money down, it\u2019s easy to quickly find yourself upside down (owing more money than the asset is worth) as soon as you drive the car off the parking lot or the housing market hits a downturn.<\/p>\n<p>Making at least a 20% down payment on your house will also let you pass on paying private mortgage insurance (PMI) payments each month.<\/p>\n<p>Of course, saving up thousands of dollars to put toward a new car or house isn\u2019t easy. If a purchase is anywhere on your horizon, do some quick math to see if you\u2019re on track to hit your target down payment or if it\u2019s time to boost your savings.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"5_Capitalize_on_new_opportunities\"><\/span>5. Capitalize on new opportunities<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Most of the time, your personal finances are fairly consistent from month to month. This is especially true if you\u2019ve become an expert at following a budget.<\/p>\n<p>While hitting your personal finance goals is often a process that requires discipline and patience, you\u2019ll find that \u201creal life\u201d moves really quickly in comparison. Your most careful planning is quickly disrupted if you make a new major life decision, seemingly on a whim.<\/p>\n<p>Perhaps you:<\/p>\n<ul>\n<li>Go back to school so you can make a career pivot or qualify for a promotion<\/li>\n<li><a href=\"https:\/\/www.personalfinanceforbeginners.com\/how-to-move-with-no-money\/\">Move back to your hometown<\/a> so you can be closer to family<\/li>\n<li>Want to start your own business and see what it\u2019s like to be self-employed<\/li>\n<li>Decide it\u2019s time to get married or have a child<\/li>\n<\/ul>\n<p>Any of these decisions can require several months of planning in order to evaluate or minimize their financial risk.<\/p>\n<p>Sure, you can decide to take a \u201cleap of faith\u201d and assume that you\u2019ll find a way to make it work. If you\u2019re more risk-averse (or financially responsible? Or boring?), you may have to save up money for several months after making the initial decision before you\u2019re ready to take action.<\/p>\n<p>This is just one more reason why consistently saving up money is an advantage. If you\u2019ve built up an \u201copportunity fund,\u201d you\u2019ll be ready to make that big decision when it\u2019s placed in front of you.<\/p>\n<p>You don\u2019t know when opportunity will come knocking on your door \u2013 will you be ready?<\/p>\n<h3><span class=\"ez-toc-section\" id=\"6_Enjoy_guilt-free_travel_and_other_experiences\"><\/span>6. Enjoy guilt-free travel and other experiences<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Should you be going on vacation if you still have debt?<\/p>\n<p>In that case, you\u2019re not only paying for the trip \u2013 you\u2019re also paying an \u201copportunity cost\u201d by using that money for your own leisure instead of minimizing the interest you\u2019ll pay on your debt.<\/p>\n<p>I\u2019m not going to suggest that you shouldn\u2019t travel until you pay off all of your debts\u2026 I certainly haven\u2019t followed that advice myself.<\/p>\n<p>However, if you can\u2019t afford to pay for your vacation without taking on <i>more<\/i> debt, perhaps you ought to stop and reconsider.<\/p>\n<p>When I had <a href=\"https:\/\/www.personalfinanceforbeginners.com\/my-financial-epiphany\/\">my financial epiphany<\/a>, there were two major expenses that I didn\u2019t realize were draining all of my money:<\/p>\n<ul>\n<li>Eating out at restaurants almost every day \u2013 sometimes multiple times per day<\/li>\n<li>Traveling several times a year without saving up first<\/li>\n<\/ul>\n<p>Yes, you can use credit card points to minimize the costs of your airfare. However, don\u2019t let a \u201cfree\u201d flight or hotel stay let you believe that your vacation will be cheaper than staying home.<\/p>\n<p>Instead, make sure you\u2019ve saved up enough money to pay for your vacation before taking the trip. Coming home from a vacation is hard enough without realizing that you\u2019ll be spending the next few months paying for it.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"7_Make_values-based_decisions_with_%E2%80%9CF-you_money%E2%80%9D\"><\/span>7. Make values-based decisions with \u201cF-you money\u201d<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Saving up more money will allow you to make decisions based on your values rather than fear.<\/p>\n<p>\u201cF-you money\u201d is one of the middle stages of financial freedom \u2013 when you have saved enough money that you could abruptly quit your job without worrying about how you\u2019d cover your bills or feed your family.<\/p>\n<p>Imagine your employer is under new management. During a company meeting, the new leadership announces that you\u2019ll be expected to work an additional 15-20 hours per week for the same amount of compensation.<\/p>\n<p>You\u2019ll be asked to \u201cclock in\u201d and \u201cclock out\u201d to make sure you aren\u2019t cheating the company, and not only that, they\u2019ve scrapped some of your favorite perks: the kitchen is barren, the coffee pot is empty, and the company holiday party (and bonus) is no more.<\/p>\n<p>What would you do this in this situation?<\/p>\n<p>If you are living paycheck to paycheck, you might start looking for a new job with another employer, but in the meantime, you\u2019ll have to keep clocking in and out every day until another company gives you a chance.<\/p>\n<p>If you\u2019ve saved up six to twelve months of your living expenses, you might write up your resignation letter and head home to start exploring your next opportunities.<\/p>\n<p>One of the <a href=\"https:\/\/www.financialsamurai.com\/once-you-have-f-you-money-its-hard-to-tell-others-to-f-off\/\">hidden perks of having \u201cF-you money?<\/a>\u201d<\/p>\n<p>It\u2019s a lot easier to feel satisfied at work when you don\u2019t <i>have<\/i> to be there for the money \u2013 you show up each day to enjoy the company of your coworkers or your own personal development.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"8_Retire_earlier_than_your_friends_%E2%80%93_if_you%E2%80%99d_like\"><\/span>8. Retire earlier than your friends \u2013 if you\u2019d like<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Bad news: almost <a href=\"http:\/\/money.cnn.com\/2018\/03\/07\/retirement\/millennial-retirement-savings\/index.html\">two-thirds of Millennials have nothing saved<\/a> for retirement.<\/p>\n<p>With that piece of information in mind, it should come as no surprise that millennials are projected to retire at a much later age than their parents.<\/p>\n<p>Between <a href=\"https:\/\/www.personalfinanceforbeginners.com\/minimum-student-loan-payments\/\">student loan debt<\/a>, changes in social security, and more, it\u2019s expected that many Millennials will have to work until the age of 75 before building a safe retirement portfolio.<\/p>\n<p>By starting to save for retirement early (aka\u2026 <i>now!<\/i>), you can shave off years from your own personal retirement timeline.<\/p>\n<p>If you can start contributing a little more now to your retirement accounts \u2013 whether it\u2019s $50, $100, or $200 a month \u2013 you\u2019ll be rewarded with additional years of retirement to spend pursuing your passions, spending time with loved ones, or seeing the world!<\/p>\n<p>Even if you don\u2019t want to retire early, it\u2019s in your best interests to start saving more money toward retirement while you\u2019re young. Due to the power of compounding interest, <a href=\"https:\/\/www.personalfinanceforbeginners.com\/investment-truths\/\">investing a dollar now<\/a> is as effective as investing $2-4 will be in your forties or fifties!<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Where_to_save_your_money\"><\/span>Where to save your money<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Do you already have a savings account with your local bank branch?<\/p>\n<p>If so, it&#8217;s tempting to keep your money there out of convenience, but you should also consider an online savings account.<\/p>\n<p>Most brick-and-mortar banks offer an interest rate of 0.01% \u2013 or essentially nothing.<\/p>\n<p>If you&#8217;re storing a $5,000 emergency fund at your local bank, you may be earning as little as 50 cents per year in interest.<\/p>\n<p>Meanwhile, online savings accounts offered by companies like CIT Bank and Ally Financial are offering interest rates over 2.00%.<\/p>\n<p>By putting that same $5,000 emergency fund into a high-yield online savings account, you could be earning $100+ in interest every year.<\/p>\n<p>Moving your money into an online savings account can increase the return on your savings by over 200 times!<\/p>\n<h3><span class=\"ez-toc-section\" id=\"CIT_Bank_Savings_Builder\"><\/span>CIT Bank Savings Builder<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The CIT Bank Savings Builder is one of the top high-yield savings accounts on the market today.<\/p>\n<p>The minimums are simple and easy to meet:<\/p>\n<ul>\n<li>$100 minimum opening deposit<\/li>\n<li>$100 minimum monthly deposit (or maintain a $25k balance)<\/li>\n<\/ul>\n<p>There are no fees to open or maintain your account, and you can use the CIT Bank mobile app to easily deposit and transfer your money.<\/p>\n<p>And course, your CIT Bank Savings Builder account is FDIC-insured, meaning you can feel confident that your money is safe and secure for whenever you may need it.<\/p>\n<p><strong>Learn More &gt;&gt; <a href=\"https:\/\/track.flexlinkspro.com\/a.ashx?foid=1140765.141693121&amp;foc=1&amp;fot=9999&amp;fos=1\" target=\"_blank\" rel=\"nofollow noopener\">Open a CIT Bank 2.30% APY Savings Builder High Yield Savings Account<\/a><\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_start_saving_more_money\"><\/span>How to start saving more money<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>You\u2019ve seen how saving more money can help increase your financial situation, so how can you get started?<\/p>\n<ul>\n<li><b>Create a budget.<\/b> If you don\u2019t know where your money is going, it\u2019s time to <a href=\"https:\/\/www.personalfinanceforbeginners.com\/make-peace-finances\/\">make peace with your money<\/a> and create a plan. A budget will give each dollar a specific purpose and help you identify areas where your spending might be surprising you!<\/li>\n<li><b>Pay yourself first.<\/b> If your employer offers direct deposit, ask them to automatically send a percentage of each paycheck into a savings or checking account that\u2019s separate from your other money. Out of sight, out of mind!<\/li>\n<li><b>Start small.<\/b> Saving up enough money to put toward a wedding, car, or house can be overwhelming. Try not to feel overwhelmed if you can\u2019t save as much money as you\u2019d like right away: start with an amount that\u2019s barely noticeable and then try to bump up the money you save whenever you can!<\/li>\n<li><b>Get the big things right.<\/b> Not sure how where you\u2019ll find money to save each month? If your budget is really tight, take a step back and focus on getting the \u201cbig three\u201d right: your housing, transportation, and food. These categories cover the majority of your expenses each month. Getting a roommate, riding public transit (although it might require <a href=\"https:\/\/www.personalfinanceforbeginners.com\/waking-up-earlier\/\">waking up earlier<\/a>!), or reducing the frequency that you eat out can each have a huge impact on your ability to save.<\/li>\n<li><b>Start a side hustle.<\/b> Sometimes, it\u2019s not reasonable to trim your expenses any further. If you consider this to be your situation but need to save more money, it\u2019s time to side hustle! <a href=\"https:\/\/www.personalfinanceforbeginners.com\/side-hustle-benefits\/\">Side hustling has many benefits<\/a>, not the least of which is some extra cash in your pockets \u2013 or \u201cpiggy bank.\u201d<\/li>\n<\/ul>\n<p><img decoding=\"async\" loading=\"lazy\" class=\" wp-image-7480 alignright\" src=\"https:\/\/www.personalfinanceforbeginners.com\/wp-content\/uploads\/2018\/07\/Reasons-to-Save-More-Money.jpg\" alt=\"8 Powerful Reasons You Should Save More Money\" width=\"297\" height=\"546\" srcset=\"https:\/\/www.personalfinanceforbeginners.com\/wp-content\/uploads\/2018\/07\/Reasons-to-Save-More-Money.jpg 735w, https:\/\/www.personalfinanceforbeginners.com\/wp-content\/uploads\/2018\/07\/Reasons-to-Save-More-Money-163x300.jpg 163w, https:\/\/www.personalfinanceforbeginners.com\/wp-content\/uploads\/2018\/07\/Reasons-to-Save-More-Money-558x1024.jpg 558w\" sizes=\"(max-width: 297px) 100vw, 297px\" \/><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><b>Conclusion<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Did reading this article make you feel like you\u2019ve fallen behind on saving money?<\/p>\n<p>If so, you won\u2019t not alone. After all, the average savings rate in the United States <a href=\"https:\/\/tradingeconomics.com\/united-states\/personal-savings\">is less than 3%<\/a> of one\u2019s personal income.<\/p>\n<p>Just like \u201ckeeping up with the Joneses\u201d will quickly burn holes in your pockets, so will following their savings behavior keep you from living a stable and prosperous financial life.<\/p>\n<p>That\u2019s why it\u2019s important to find your own reasons to start saving more money, whether it\u2019s an item from the list above or something that\u2019s unique to you.<\/p>\n<p>If you aren\u2019t currently saving any money, find a way to start now \u2013 even if it\u2019s just a couple dollars per week.&nbsp;<\/p>\n<p>If you <i>are<\/i> saving, look for opportunities to increase the amount you save (or make additional contributions from time to time. Your future self will&nbsp;thank you!<\/p>\n<p><b>Did this post help motivate you to start saving more money? If so, please consider sharing this article on Pinterest to help others get inspired as well!<\/b><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What\u2019s the first financial lesson you remember learning as a child? If you were fortunate enough to receive an allowance from your parents (whether gratis or under the condition of completing your chores), they may have also tried to teach you the value of saving part of what you receive each week. Saving money is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7477,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0},"categories":[36],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>8 Powerful Reasons You Should Save More Money<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.personalfinanceforbeginners.com\/start-saving-more-money\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"8 Powerful Reasons You Should Save More Money\" \/>\n<meta property=\"og:description\" content=\"What\u2019s the first financial lesson you remember learning as a child? 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