what is the best way to save money?

Answer 1

Dont Spend It!

Answer 2

Make a budget that you can track where your money goes. List your monthly living expenses first like rent/mortgage, insurances, car payments, utilities and communication expenses, groceries and then credit cards. Look for ways that you can cut some of your expenses whether by consolidating loans/credit cards or refraining from charging more than you can pay off when the bill is due.

Once you know how much you actually need to live on excluding spending money you should have a better idea of how much you have available to save.

Make a new budget and list savings at the top so that it becomes a priority instead of an after thought. Realistically, everyone who works and has expenses should have at least 4-6 weeks of savings that equals your weekly expenses incase of emergency. This way if you are unable to work or unexpectantly unemployeed you have a cushion to get you through until you can get back on your feet.

Once you have 4-6 weeks of expense money saved do not touch it unless it is to cover daily living expenses (that doesn't include new clothes or having fun). Only after that can you really start saving money for other reasons. Banks will allow you to open an account for any reason like vacation clubs, christmas clubs, etc. Have auto deductions withdrawn from your paycheck even if it is $10 a week for these types of savings. Over time it will add up and you will have the cash when you need it. The secret is don't spend more than you have saved or yu will be in a vicious cycle.

I know people who open up several of those types of clubs for things like yearly house taxes, christmas shopping, home repairs/enhancements, car insurance, etc.

It works if you treat it the same way as a bill. Each payday treat it as an expense that must be paid.

Answer 3

all the answers you've gotton so far are very good;but consider the 50/30/20 plan: 50% of your earnings goes to necessities; 30% to do what you want, and 20% for saving and investing;; or, you could tweak it so 30% goes to saving and investing and 20% to spend on what you want; then, take the 20 or 30% and put it in a CD (when you reach the qualified amount) and go from there; again, the other answers are good ones, once youve acquired some bucks.........you have to be consistent, and not spend on any old thing; but then, that's what the 20% could be for; don't deny yourself everthing, just keep your fun spending within certain limits; then when you splurge, you still know you've set something else aside for savings/investing!!!!!!!! it works,. I've been using this system for over a year now...........

Answer 4

Reduce your expenses and toss that money into a savings account you dont have access to. You should have 3 areas for every dime you make... (a) necessary bills and living expenses; (b) long term savings and short term savings (well diversified); and (c) fun money.

Answer 5

I buy some groceries in bulk (cheaper) and store extra in freezer. Also, I take money from each pay check and put into savings account that requires two signatures to withdraw monies.

Answer 6

Make up a budget and make savings an expense in that budget. Put the funds in a good balanced fund and leave it grow. By adding to it ina steady unifrom manner you will end up with a nice nest egg.

Answer 7

Have your company take money off the top of each check and deposit into a savings account.

Answer 8

In a money market account. The best interest rates with the greatest liquidity.

Answer 9

what kind of question is this. Don't spend the money in the first place.

Answer 10

Dnt spend it on good-for-nothing goods.