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How To Save Your First $1,000!

Do you have $1,000 in the case of an emergency or unplanned expenses?

This year, give your savings a boost with the Savings Challenged.

The idea is simple, and there are multiple ways to get there. Sure, it might seem intimidating to save up that initial $1,000 – but it becomes easier to save once you’ve done so!

This could be your first step on your way to savings $10,000 or $100,00 so let’s get this challenge started right by covering 5 tips to help you save your first $1,000 and grow from there.

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5 Quick Tips To Help You SAVE Faster!

First off take comfort in the fact that you are in good company and that an estimated 69% of Americans have less than $1,000 in savings, and 34% have no savings at all

These 4 tips are going to increase your chances of finally hitting that goal and soaring beyond!

1. Create A Budget

Do you have a decent handle are your finances?

Most like to think so but without a budget, you will have a much harder time tracking your income and expenses and finding room to save which is instant cash in your pocket.

Do you know that an estimated 41% of Americans follow a household budget? So if you are not one of them, it’s time to get started online with google spreadsheets.

Once you’ve started your monthly budget using their template, it’s time to add up your expenses which include your online subscriptions, games, rent, mortgage, car payment, and anything else you spend monthly or annually to begin tracking your expenses.

2. Make Small Changes To Spending

Once you have a budget in place, take a look at your non-essential spending categories, such as eating out and entertainment, and commit to reducing them. Cutting out your daily coffee or lunch trip won’t make you rich, but it can help you accumulate $1,000 a lot faster.

Do you pack your lunch to work, or go out for lunch daily? This isn’t to say you should cut back 100%, but instead of going out every day, you should cut back enough to slowly but surely reach your $1,000 goal.

Americans spend an average of $10 each time they go out for lunch, so if you pack your lunch 5 times a week it is estimated to save you over $50 or $200 a month with that one change, cutting back on your daily coffee is another way of increasing your savings too.

3. Work A Side Hustle/Job

Do you have a side hustle?

This is one of my side hustles along with a few others, this is all on top of my standard 8-5 and while the idea of a second job seems unappealing it is used to generate more income to save more money.

If you have looked over your budget, and there is no room to cut any more expenses, then you may need to generate more income to start saving money.

There is good news, and that is you don’t have to get extreme if your essentials are already being met. Working a few days during the week or two weekends a month could be enough to help you reach your $1,000 goal.

There are also plenty of opportunities online such as starting your Website, YouTube Channel, or other talents you can convert into cash on sites such as Fiverr, Freelancer, and Upwork.

4. Put It On AutoPilot

Are you committed to socking away $1,000 this year?

If you are then it is time to start setting up an automatic savings plan. All you need to do is arrange to have a portion of each paycheck directed into a separate savings account, check my post for the Best Online High Yield Savings Accounts, this way it will eliminate the opportunities to spend that cash in the first place.

It is best practice to save at least 10% of each paycheck, If you want to save $1,000 over 12 months, that is roughly $84 a month or just $21 every week.

If you make those small changes in Part 2 and get a side hustle you can easily save $21 weekly to take you to your $1,000 goal in a year!

Reaching Your $1,000 Goal

Savings $1,000 is great, but unfortunately, it is not enough for most people.

This is the first step of saving an emergency fund that covers three to six months’ worth of living expenses, so once you hit that $1,000, do not stop.

Keep it going, it gets easier as you cut unessential spending, increase your income, and watch those digits grow in your savings account.

It should give you a great sense of security knowing if something goes sideways you have a safety net to fall back on, and as it grows you become more financially secure.

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