Useful Ways of Creating a Money Saving Habit for Rainy Days

Saving sounds like such a good idea, and then we go out, see those shiny things through the glass window, and find something that we must have, and the money saving idea goes out the same window.

In my experience, I have found out people are struggling with saving due to many reasons. Everyone knows the importance and plans to start saving, find it challenging to stay on the path, and soon ends up on a downward spiral.

Most newly employed young adults are usually lousy at saving money. Well, if you are here, you do require some help in the savings department. If you know you have to do it, it is time to start today.

Lack of saving habits will draw more need for money, and you will need small short-term loans to meet your needs. Nowadays, getting loans has become easier thanks to the online lending processes.

However, one cannot expect swift funding from the traditional lenders as they have a tedious processes to follow. Small and short loans are much the possibility from the direct lenders.

They seem flexible in their approach and can modify the loan term according to individual circumstances.

Still, it is necessary to develop saving habits if you wish to improve your finances and gain financial control.

Importance of Saving Habits

There are many reasons to have a saving habit regularly:

  1. Emergencies: having money available in the event of an unforeseen situation can be very helpful. It would be best if you are relaxed that you have saved money.
  2. Big purchases or vacations: most people take loans to buy big things, such as a car or house or a vacation. However, if you save some money, you will need lesser loan amounts and will be able to repay earlier.
  3. Comfortable retirement: retirements are expensive, so that you can make some savings for the retirements. Having saved money will allow you to relax in your retirement days.
  4. Wedding: Wedding is a multi-billion industry. It is going to cost you a lot. Save some money for your dream wedding.

How Much to Save?

Saving has many benefits. However, you must know how much to save. As per the experts, after you have spent on necessities, you should save all of the rest. A habitual money saver will put money to saving first and then spend the rest on all kinds of stuff.

It is recommended to split the money into 60-40, where you save 40% and spend 60%. There is no hard and fast rule, and you can shift it to 70-30 or 50-50 as per your convenience.

Tips to save money are listed below:

  • Monetary Priorities

People often do not understand and get their priorities straight. It is essential to know where you shall and shall not spend. For example, if you require a laptop to do work, it becomes a very significant expense.

But buying a new laptop just because you liked it in the store is wasteful. Your priorities are likely to have the most significant impact on your savings. So, know your monetary preferences, plan ahead, and begin saving for them.

  • Keep your Earnings Separate

A word to the wise, always separate your money into different accounts. It is considerably more likely that you will end up spending all of your money if it is kept in one bank account.

Having multiple accounts have plenty of benefits, such as it aids in the separation of your savings. You will have many ATMs, which are undoubtedly convenient in specific locations and withdrawal limits.

You can get free subscriptions, discounts, or some freebies with new accounts. Many banks give the benefits and payment choices for online purchasing. You can earn rewards and points.

  • Make Saving Automated

You can choose to deposit a set amount weekly or monthly automatically. Almost all banks allow you to transfer money to a savings account automatically. It will enable you to save without trying hard.

You should set the transfer money date on the date of salary received. Also, you can decide the amount, the date, and the account. You can split the transfer to multiple savings accounts.

It provides you with the capability to administer multiple saving objectives simultaneously. It could be a contingency fund, a brand-new car, or a down payment on a new property.

  • Keep Monitoring Your Expenses

Keep note of all of your expenses. If it is difficult for you, my suggestion is to keep all the bills and receipts in one place for everyday expenses, big or small. It could include your coffee, groceries, cash tips, rent, fuel, and all other monthly payments.

You can add up all the expenses at the end of the month using a pencil and paper or a simple spreadsheet. You can categorize all the costs. There are plenty of free online expenditure tracker apps available to keep track of your expenses.

Your expenditure records will tell you where is your money going so you can keep a tab on it and know how much can be saved.

  • Slash Wasteful Expenditure

Keeping track of spending gives you the benefit of knowing about wasteful expenses. Reduce your spending on things that could be avoided. Identify non-essentials and cut back on them.

  • Start Small

The idea of saving can be overwhelming sometimes, so start small. Most people have a false impression that saving big only can be helpful. You can start with as little as £10.

Small savings today will become big tomorrow. So don’t put the pressure on saving big. Every penny counts when it comes to savings. Start small today so tomorrow you don’t have to take a 12-month loan from direct lenders with bad credit.

Although taking a loan is also a good option and it gives you a chance of keeping your savings intact. If you opt for a one-year loan, it gives you two advantages.

First, you can manage your savings by utilizing the borrowed amount to tackle that emergency.

Second, if your credit score is not good, you can improve it by repaying the amount under the given schedule.

Advantages of loans are there but it does not mean that you should not focus on savings. Try to keep small savings in your bank account, which can further help in fulfilling considerable financial goals.


Lack of saving habits will result in a greater demand for money, necessitating the use of tiny short-term loans to meet your necessities. There are numerous reasons to develop a regular savings practice. Keeping some amount aside for an emergency can be beneficial.

If you know you have to do it, now is the moment to get started. You must, however, know how much to save. Separate your money into various bank accounts at all times. Having different accounts helps to keep your savings separate. Almost all banks allow you to transfer funds to a savings account automatically.

You have complete control over the amount, date, and account number you want to use. It will enable you to save without exerting too much effort. Identify non-essentials and eliminate those that can be done without.

Saving money might be intimidating at times, so start small. When it is related to saving money, every penny counts.


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