A MUM has revealed her tips on how to save a huge £780 a year challenging herself on payday – and you can do it too.
The trick, which was shared by Emma Gill who writes for the Manchester Evening News, involves putting a different amount of money aside every month on pay day
To start the challenge, savers should write a list of cash sums in multiples of 10, starting at £10 and finishing with £120.
Then every month, you put one of the amounts of into savings and tick it off the list as you go.
Essentially, you add an extra £10 onto the previous month's savings for each new deposit but you don't have to do it in that ascending order.
By the end of the year, you will have put aside £780.
Other ways to save cash
SAVING money can seem like a slog, but it doesn't have to be with our simple tips below:
- Cut down on your spending: An obvious way to save money is by cutting down on how much you spend each month. Go through your transaction history and set yourself a budget. Are there any bills that you don't need or use that you can cancel?
- Haggle down your bills: You should also try and see if you can get a better deal on any regular bills you’re paying. Do your research, see if there are better deals available for new customers. Then call up customer services and explain you want to leave because you’ve found a better deal but is there anything they can do for you?
- Open a savings account: The first steps to actually saving is then opening an account that will give you the most benefits – you can find the best options here.
- Download apps: There are loads of apps you can download to your smartphone, which can help you budget properly and save a fortune. These were some of the best apps released last year.
- Plan your meals in advance: By making a list before you go grocery shopping and then sticking to it, you'll avoid picking up products you don't really need.
- Pay off debts: The interests on your debts is always higher than the interest earned on your savings, so you should consider paying off any debts with your savings to be better off.
The technique will help those who struggle to tuck away the same amount of cash every month, or whose income varies.
"It wont be easy," Emma wrote on Facebook, "especially when it comes to the £120 month – but it's worth a go.
"I reckon I'll start with the £10 in January."
Emma suggests sticking the note to the side of a money tin but you can also open a savings account when you can transfer the cash into.
That way, you can make the most of your savings by earning interest.
You won't be able to pay into a fixed rate account – which typically pay better interest – as many of them require a minimum of £1,000 to open.
But you could opt for an easy access account or an Isa. We've put together a guide to the best savings accounts to help you find the one that best suits you.
Posting the money saving challenge on the Manchester Family Facebook page, Emma wrote: "So I've seen lots of ideas for saving money but none of them will really work for me – I never have change in my purse to do the penny challenge for example.
"That's why I'm giving this a go. Every pay day – or at the end of a month – you put in one of these amounts and then cross it off the list. By the end of the year it's a whopping £780!"
If the idea of putting aside more than £100 into savings for three months of the year isn't possible for you, you might want to consider taking on the £10 a week challenge.
By saving a tenner a week for all 52 weeks of the year, you'd have £520 in the bank at the end of the year.
Alternatively, you could save £1,500 this year with the 365 day challenge by putting aside £1 every Sunday, followed by £2 on Monday, £3 on Wednesday and so on.
And the bingo money saving challenge could see you £1,378 richer come December.
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