With economic uncertainty on the horizon, it’s always a good time to ramp up your savings.
What are some big moves you can make to accelerate your savings rate?
Let’s explore the best saving tips to grow your nest egg fast.
This article was written by a Financial Horse Contributor.
1. Embrace minimalism
Minimalism is a great lifestyle mindset to embody.
You don’t need to get rid of everything you own, but the first principles are useful to inspire you towards a healthy savings goal.
Minimalism inspires you to buy less, own less, and use the things that you already own.
This type of intentional thinking will help you curate your spending choices.
Minimalism also helps you to evaluate your spending habits.
If you can re-look at your buying choices, and streamline what you choose to buy carefully, you’ll find cutting down expenses easy.
More importantly, a long-term shift towards spending intentionally, which will really help your savings in the long-run.
2. Consider cost per wear
If you do want to buy something, you need to seriously evaluate cost per wear.
Once you get this principle into your psyche, you will find that you save a lot of money in the long-run.
You’ll only buy things that you get a lot of use out of.
3. Multiply your money
The best way to accelerate your nest egg is to grow your money.
Any cash you have should always be maximized.
Money should be making you money while you sleep.
This means:
- High yield savings account
- Maximizing your Singapore Savings Bonds
- T-Bills
- Fixed deposit
- DCA your investments
- Re-investing your dividends
- Eliminating unnecessary fees (including late fees)
4. Can you get it free?
Savings experts are masters are finding great deals.
Not only are you trying to get a good deal, can you get it for free?
Think outside the box.
In many cases, asking yourself if you can get it for free may be the more environmentally friendly option.
For instance, borrowing books from the library, getting second hand deals, swapping things with a friend/neighbour etc.
Free things to do in Singapore:
- https://thehoneycombers.com/singapore/free-things-to-do-in-singapore/
- https://www.timeout.com/singapore/things-to-do/free-things-to-do-singapore
- https://www.klook.com/en-MY/blog/free-things-to-do-in-singapore/
At the same time, you should always be mindful of the value of your time.
If you are spending hours just to save $5, is this a best use of your time?
You could be improving yourself, reading etc, which are all worthwhile investments, that will actually bring you major returns in the future.
Alternatively, subscribe wisely to websites/apps that track deals:
- https://sg.finance.yahoo.com/news/10-food-discount-apps-every-235517985.html
- https://divedeals.sg/
- https://www.singsaver.com.sg/credit-card/best-deals
- https://greatescape.co/
Be careful not to fall into a trap of buying things you don’t need just because it’s on sale!
5. Get serious about your end goal
The best saving tip is to get real about your WHY.
Why do you want to save money?
This motivation will keep you going, and encourage you to take the big & small actions to snowball your savings.
