Today I’m sharing my five tips for starting to save and saving when you are on a tight budget to get started as soon as possible with saving.

How good you are naturally at saving depends on your money personality; some of us are more prone to save easily than others. But no matter what your money personality is, you can start a savings habit.  You just need to start.

Automatic Savings

Start with regular savings. The set up of automatic transfers will kickstart your savings habit, and you only need to deal with it once!   Once set up, your savings are then on auto autopilot, with the money automatically coming out of your bank account each month.

Start Small, But Start!

If you think you can’t afford to save, then you just start small.  Small amounts, over time, add up to more considerable sums. Starting small is better than not starting at all. So even if the amount that you can begin saving does not warrant you transferring the money each month, because it’s such a low amount, you can start saving in something like a savings jar.

 Anyway, here are my five top tips:

Work out how much you can save

Your budget will help you work out how much you can save regularly. Even if this is just £10 a month, it is better to start saving this amount with automatic transfers than just forgetting ignoring savings.  Even with small amounts like this, just seeing money going into an account and starting to build up will help change your mindset and help encourage you to save even more.

Cut out unnecessary expenditure

You can cut out unnecessary expenditure when you are reviewing your budget after a month-end.  If you have not yet prepared a budget, you can carry out an expenses review.  How you do that, well, just grab the last three months’ worth of bank statements. And just look at the amounts that you regularly spend.

You might well be spending more on things that you can now cancel, such as unused subscriptions.

Also, look for ways in which you can save money.  Comparison website will allow you to find cheaper alternatives for your heating bills through to items such as your car insurance.  Any reductions in your bills is now money that you can start to save.

If it’s a substantial saving and you have debt, you should consider splitting the amount between your savings account and paying some extra off the debt.

Start a savings jar

A great way to start saving your spare change. It does require a little bit of discipline, though, which is why it’s a great thing to do if you’re not used to saving.  It helps you to build a money habit, helping you enhance that financial muscle of saving.  It’s also something where you can get the kids involved as well, encouraging them to save

There are some great looking savings jars on the market, but you don’t need anything fancy.  You can use absolutely any container that will hold coins.

This activity is about getting into the routine of actually saving. And when you’re doing that, you’re also telling your mind, it’s okay to have excess funds because you see those extra funds regularly. So it’s good from a mindset point of view as well.

Dealing with windfalls

Anytime you get a little bit of a windfall, maybe you get a bonus from work, perhaps you’re selling unwanted items in a garage sale or on eBay, you should consider savings.

If it’s in cash, put it in your savings jar. And if it’s via bank transfer, transfer the money from your PayPal account or wherever you’ve got the money from, don’t put it into your regular bank account; put it straight into your savings account. This way, you’re going to be less likely to spend the money because you’ve then got to withdraw it from your savings account to spend it. So it’s a great way of starting to save when money is tight.

Operate a simple saving strategy

This saving strategy works whether you’re just saving £10 a month, or you’re saving £100 or £1,000 or even £10,000 a month. And it’s for when you’re saving regular amounts.

All the system is, is to change the amount every three months by 10 per cent.

Please start with the savings amount you save each month; then, you increase it by 10% for the next three months. And then after that three months, you increase it again by 10%.

For example, if you save £10 per month, you’ll save that each month for months, one, two and three. And then in the next three months, you increase that by 10%. So that becomes £11 per month. You save that each month for three months. And then you increase it by 10% again, and it becomes £12.10 per month.

Even if your income stays the same, you’re starting to learn to manage with slightly less, each you’re your make the increase into savings.


So that’s my five tips for starting to save, even when you are on a tight budget.

Just to recap:

  • Work out how much you can afford to save regularly by looking at your budget.
  • Review your expenses, seeing what costs you can cut. And then let’s save in that amount as well.
  • Have a savings jar.
  • Put any windfalls or any sales of unwanted items into your savings account or jar.
  • Operate that simple saving strategy of increasing your regular savings amounts by 10% every three months.

If this has helped you kickstart your savings habit, please connect with me over on Instagram for more personal finance, business finance and money mindset tips, techniques and strategies.

5 Tips For Starting To Save

5 Tips For Starting To Save



Pin It on Pinterest

Share This