By: Select Preferred Network
How To Save An Extra $10,000 In One Year
Saving money is something that should be a part of anyone’s financial plans. Typically speaking, however, saving is an ongoing activity with no clear end goal or end amount in sight. But what if you need to save a lot of extra money in, say, a year? This is certainly no easy task, but there are ways you can save up to $10,000 in just one year if you make the right moves.
Download Budgeting Apps to Start Off
If you are going to save $10,000 in one year, you will have to set a strict budget. To budget accurately, it will be highly important to understand where your money is headed and what categories you can cut back on to start projecting where the $10,000 is going to come from. There are many apps to help you set a plan, but I recommend Mint or PersonalCaptial personally.
Separate Ongoing Savings From Primary Checking Account
One of the most difficult parts of saving $10,000 in one year will be avoiding the temptation of simply using your savings when finances start to inevitably get tight. To avoid this urge, place all of your savings into a high-interest savings account. Not only will this help your money stay in one place, as it takes several days to withdraw your money; but it also can earn you a few extra dollars through interest.
Look For Ways to Lower Bills
Simply put, saving $10,000 in a year is an aggressive savings plan, so it is going to take some sacrifices and changes to your current financial situation. Look for bills that you can either eliminate or get a lower price on. Get creative with your fitness and cancel your gym membership. Ask a friend to split subscriptions for streaming services. See if you can get a lower quote on car insurance. All of these things will add up if you can find where these potential savings lie.
Pick Up A Side Hustle
An extra source of income, even if it's just $50 extra per week, may be the most important thing you can do to save $10,000 in a year. If you plan your budget correctly, you could be able to pocket every dollar you earn from your savings directly into your savings. Generally speaking, you will find that when you need more money, the best option is to make more money rather than save more money.