Few people are passionate sceptics by nature. Our body chemistry is also to blame. More euro in the account? Rarely is it rewarded with endorphin production – unlike the hectic online shopping late at night in bed? Therefore, it is important to always keep in mind the goal of saving money. These can be specific expenses, such as a nice vacation, a home as security for old age, or school fees for children. But saving from consumerism, which only leads to full wardrobes and remorse, can be the driving force.
In this case, the reason for saving must be clear not only rationally, but above all emotionally. How will you feel when the goal is achieved or the debt is finally paid off? A short-term shopping euphoria probably takes on a bitter aftertaste right away. Even an effort that requires serious savings suddenly doesn’t seem so daunting.
Dismantle secret money eaters
If you want to spend less, you first need to know what the money is being spent on each month. Most people probably have a fairly accurate idea of how much they are paying for rent or cell phone plans. But what about other permanent items such as insurance, memberships, subscriptions, or variable expenses for online shopping and food delivery?
If you want or need to know exactly, you should write down all your expenses for the month to have a thorough overview of your potential savings. But even a rough overview can deliver moments of aha. Weekday coffee to go maybe a must, more expensive sandwiches during the lunch break may not be. The same probably applies to foreign health insurance, which has been paid for years, although in the summer it always goes to the Baltic Sea.
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Create a financial plan
The Finance Minister position may not be particularly sexy, but after all, even the Interior Minister is at the door as a petitioner. Anyone looking to control their private cash flow needs a budget. The budget compares income to expenses. As a result, you only spend as much as you want. The same applies here: not every tube of toothpaste has to be necessarily registered. It is enough for the budget book to specify fixed amounts, eg for nutrition, drugstore items and free time.
Automate your saving
When there is money, people like to spend it. On the other hand, every act of saving requires energy. It is unnecessarily overwhelming. The obvious solution is a constant order of savings. Creates an artificial shortage of money in the main account. Transfer your premium to a separate account every month. Important: Be realistic and start with small amounts to avoid payment problems and frustration about saving. On the other hand, anyone who started cautiously with the euro and was able to increase the monthly contribution to the euro after a year is rightly proud. In this way, the act of saving becomes a motivation in itself.
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