By adopting simple techniques and strategies to manage your income and determine your expenses, you can learn to save money quickly and effectively.
In a report published by the Spanish consumer magazine, Blanca Alvarez says that most families face difficulties in saving, and this is in many cases due to financial reasons, but it may also be due to a lack of organization, planning and prioritizing unnecessary expenditures.
And if you are facing problems of this kind, here are several effective ways to save and tips that will help you save day in and day out.
Many people try to save to be able to make future purchases or face unexpected expenses, especially in light of the pandemic and its consequences, but they do not always know how to do this, and their savings strategy is rarely effective, and with the help of these methods, you can Learn to save easily.
Japanese "kakibo" method of budget management
This method is based on recording expenses and fixed income (salary, water and electricity bills ...) in order to determine at the beginning of each month the amount of money that will be available to cover the rest of the expenses, and with each spending, the date and type of spending must be determined: clothes, food, entertainment or cultural activities.
You should write down every small and large of the expenses, and by recording everything in detail, you will be able to find out all the unnecessary expenses, and which ones you have to eliminate in order to effectively save money.
Created by financial expert José Carlos Alvarez Jimenez, founder of the blog What the Euro is worth, this method is very useful and effective, but requires strong will.
It is based on allocating a percentage of your income to savings and allocating the remainder to cover your expenses for the rest of the month.
In this case, the challenge is to find solutions to tally what you have in your balance after transferring a percentage of your income to a savings account.
It is necessary to determine the amount of money that you receive each month, along with the expenses and their area of spending, and the expenses should be divided into two parts, the first for necessities and the second for luxuries, after that, you must withdraw the amount you need for all these expenses in one payment from your bank account at the beginning of each month in order to avoid Temptations.
It is necessary to determine how much money you are getting in each month (Getty Images)
The 52-week challenge
This method is to save money for 52 weeks in a piggy bank or box, and this challenge imposes an amount of money for each week of the challenge, in other words, you should put one euro in the piggy bank in the first week, two euros in the second week, and so on until you reach To Week 52, where you should put € 52.
By the end of the day, you will have saved 1,378 euros. It is a form of gradual and continuous savings where you have to make an effort to find a way to cut out some unnecessary expenses.
30 day challenge
This challenge is similar to the previous method, but in this case you have to accumulate many euros in one month, which will help you get a "safety reserve" within a few months.
In this case, one euro should be saved on the first day, then two euros on the second day, and the same thing should be repeated for the rest of the month, up to the thirtieth day.
In this way, you will have in total 465 euros.
And if you have a low income, you can devote less money to saving every day, and the important thing is to get used to saving, because the results are worth the effort.
Harf Ecker method
In "The Secrets of a Millionaire's Mind," Harv Ecker suggests a simple system of distributing income by percentages so that you will be able to save.
You should divide your income each month as follows:
55% of the income is for basic needs: housing, water and food.
10% for savings (this money can never be touched).
10% for skill development: books, office supplies, courses, exhibitions.
10% for long-term investment: such as obtaining a driver's license, making a family trip, or renewing living room furniture.
10% for entertainment.
5% for donations.
This way, you can save without depriving yourself of anything.
Putting money in a piggy bank may be an old but effective method (Getty Images)
Envelope method
Although this method goes back about 80 years, it is still effective. You must receive your entire income in cash and then specify all the monthly expenses that you must cover, and once you know how to divide your income, put the amount allocated for each type of expenses in a special envelope.
Once the money has been distributed in the envelopes, you'll know how much money you have available for other less significant expenditures, along with allocating 10% of your income to savings.
traditional way
This is the most simple method ever, and is basically putting money in a piggy bank, this method may already be old, but it is effective, and while the money collected in the piggy bank may not be important, saving money in the bank is the first step towards getting used to. On savings, it is also advised to put the remaining coins with us after shopping in the piggy bank, and when the accumulated amount in the piggy bank becomes considered, it must be deposited in a savings account.