Amid the cost-of-living crisis, many households are looking for ways to cut down on spending. Starting a savings journey can feel daunting and difficult, especially with rent prices nearing all-time highs in many areas.
But with time, patience and consistence, almost everyone can set out on a successful and lucrative savings journey. In this guide, we’ve explained some of the best approaches to saving money every month.
Budget smartly with digital tools
There are plenty of tools you can keep in your pocket. Purpose-built apps are now available to help you track your expenses, plan your spending and automate savings. AI-driven tracking could supplement your own efforts.
Plus, many mobile banks now offer a feature that rounds up transactions to the next pound. This means you can save a little bit every day to put towards sweet treats or long-term goals.
Balance energy costs and home efficiency
Amid other strategies to choose from, it’s always worth going back to basics and considering your regular expenses.
Household bills and utilities are costly, and if they’re not managed carefully, they can take a significant portion of your spending power away. It’s time to think about installing smart thermostats and other technologies or switching energy providers.
Why not make the most of the Boiler Upgrade Scheme and replace your old gas-powered heating system with an air source heat pump?
Reduce your travel costs
Lowering your travel expenses could help you to keep a little bit more spare cash on the side. From finding cheaper public transport tickets to carpooling, shared options are typically the cheapest. But if you need a private vehicle, choosing the most fuel-efficient model will pay off.
If you have multiple cars registered at your household, choosing multi car insurance could be an effective way to save money. That means keeping more than one vehicle on the same policy and benefitting from a loyalty bonus as a result.
Making the most of savings accounts
You’re missing a trick if you’re trying to save money without a dedicated savings account. Whether you’ve got an ISA already or you’re only just starting your research, it’s never too late to find a better rate.
Use the latest data to compare savings accounts and find the most suitable deal for you. While some savings accounts allow you to withdraw money at any time, others will lock your money for a set period. Think about your priorities and choose accordingly.
Cut down on subscription services
Finally, if you pay for a membership but barely use it, now could be the time to make a sacrifice. Whether it’s a Netflix subscription or a payment plan at your local gym, even smaller commitments add up and leave you spending a considerable amount over an annual period.
Taking the first step can be hard, so it might be worth using tools to help you manager your subscriptions. These could include features offered within online banking platforms or purpose-built apps.
