It’s as simple as this…
When you find out how simple it is to save an extra $1825 a year, you are going to wish you started years ago! The only effort required in this incredibly easy tactic is consistency.
Starting today, take a $5 dollar bill and put it in a jar. If you do not carry cash consistently, open a simple savings account and transfer $5 dollars into it. Complete this task every day for 365 days and you will find a jar of cash totaling $1825, or a savings account with a balance of $1825!
Don’t worry about counting your cash or checking your savings balance until you reach the year mark. You don’t want to be tempted to spend the money. If you do open a new savings account, make sure it has little to no fees to get the full effect of your daily saving.
Utilize the better interest rates offered by Credit Unions or online banks to earn more interest off of the money you save each day! For the price of a latte or a fast food meal, you can create an extra cushion for yourself. Take a look at the chart below to see the full power of saving a simple $5 dollars a day.
Just look at the chart!
If you saved $5 dollars a day for 5 years, you could have over $9000! This could be your down payment on a new car! It could be whatever you wanted it to be, because it is extra money that you did not previously account for. It won’t cost you much, but it will take some dedication. If you miss a day or can’t make it one week, don’t give up. Challenge yourself to be consistent and you will reap the benefits.
Here are some suggestions to keep you on track:
1. Set a daily reminder to add $5 dollars to your jar or savings account.
2. If daily becomes too overwhelming, set a day of the week to transfer the week’s amount to your savings or put cash in your jar. For example: Every Sunday transfer $35 dollars to your designated savings account ($5 dollars a day x 7 days a week= $35).
3. Do your best to not go over a week, as the amounts may be too high for you to part with.
4. Complete this savings challenge with a friend or family member to keep you committed and motivated.
5. Mark all of your calendars to check your savings at the 1 year mark, to remind yourself what you are working towards.
6. Read 25 Things to Do Instead of Spending Money, 5 Ways to Make Saving Money a Habit, and 11 Ways Saving Money Can Impact Your Life.
A year may seem like a long time away, but putting $5 dollars away each day will help you focus on the changes you are making in the present. The team at City Girl Savings is taking on this challenge; join us in taking the right steps on the path to financial success