It’s January. Everyone is either hitting the gym, dumping the bottle, or binning the cheese and chocolate. All admirable ambitions, and after the excesses of Christmas you may need to also get yourself back in the black too.
First off, if you're serious about balancing out your finances and making any savings at all we highly recommend organizing a budget. Read our New Year, New Plan: Creating your 2018 Budget post to get some inspiration and guidance on how to best set up a budget that works for you.
Additionally, whilst saving the same amount of money each week or month is a good plan for anyone wanting to put money aside, it's not always possible. Sometimes just adding a few pounds to your savings account here and there you can is the best you can do. If that’s the case, then maybe joining me in my new 2018 challenge will be just what you need.
I’ve set myself the goal of saving £1,000 in 1 year.
It’s as simple as it sounds.
I intend to save £2.74 a day for the next year. Alternatively, that’s £19.18 a week, or, £82.20 a month.
Looking at the monthly costs initially bowled me over a bit (£82.20 isn’t an insubstantial amount to come out of my earnings). However, I tried to break it down for myself in a different way. Think of it like this…
£2.74 a day looks like:
1 x grande latte at Starbucks
1 x pint of beer or cider
1 x Boots Meal Deal
£19.18 a week looks like:
1 x Mighty Meteor pizza from Dominos, plus one set of potato wedges
1 x new top from Topshop
1 x ticket to the IMAX
£82.20 a month looks like:
1 x cleaner cleaning the house for 2 hours a week
1 x ticket to see Chicago (or similar big name show) in the West End
8 x pack of cigarettes
It depends on what your vice is, or where you want to cut your spending, but thinking about it in real terms makes it easier to visualise what you can cut out.
If you are doing dry January, take that £19.18 you would have spent down the pub on Friday and put it in your bank account. Maybe your New Year's resolution was to cut back on smoking? If your average price of a pack of cigarettes in £10 then buying 2 fewer packs a month helps your body and you wallet – put that £20 into savings.
If you think you can't be relied on to remember to put the money away each week, then set up an automated savings step that sweeps the money straight into your Oval wallet for you, so you don't even have to think about it. If you do this, then come December 31st 2018 you will have pocketed £1,000.
And that’s £1,000 more than you’d have had if you hadn’t tried this little 2018 challenge.
So go on, lets do £1,000 in 1 year.