How do I know how much money I can save each month?

Question

I put money into savings but at the end of the month I end up having to put it back into checking because I don't have enough. But when I subtract my income from spending I always have money left over. any suggestions?

Answer 1

Take a certain amount to pay yourself each week. The amount should be standard. Say $10.00 ..Put that in a low interest making account and soon you will have $520.00 to invest after just one year.
If you have low balled yourself you can always raise the amount but you should take at least 10% of your money and save for a rainy day.
You pay all the other people in your life. Food Stores, Car Payments, Insurance Co, rent , house payments ..etc etc
why are you not paying yourself? If you do not set aside a little of your own money you will always be a victim to high interest and a shaky lifestyle. The U.S.A. has a negative saving plan as we spend more then we make by 1 %. Like Dieting it takes Discipline

Answer 2

This is what I would do If I were you Salary: $2000/Month Unavoidable Expenses like rent, cell phone etc: $1200/Month Savings: $800/Month Every Week Transfer $150/Month to your savings as recurring for next 12 months. In this way your checking account would always be at minimum level based on paycheck and you are keeping $50 as an extra for additional expenses. If you think you need more expense then change the transfer to $125/Month. If you think you can save more then change the transfer to $175/Month. You would hesitate to have any additional expense because your checking account has minimum balance. If you keep all the money in one single account, then you wouldn't even know when or where it was spent.

Answer 3

Hi,
Great question & definitely worth taking some time out to thing about. As with other serious decisions this one requires some advanced planning & consideration.
I personally look after my family budget and all spending items need to be accounted for so that at any point in time you know where you are. Requires discipline but that's the only way.
To help you with budgeting I'd recommend a personal finance software by Australian business Parcus Group.
Easy to use program with features including budgeting, financial planning, real estate analysis, shares valuation, life insurance...
Costs US$24 so it's not a huge investment but a good value for money.
You can get it on
http://www.parcusgroup.com/index.html

Regards

Answer 4

Quit taking the drugs. lol Just kidding. If you have 50 left over after subtracting your spending from your income, then put half, or 25, into savings.

Answer 5

Keep track of every single purchase you make for an entire week. You probably don't realize how much you are spending on little things like drinks, snacks, lunch, eating out, drinking, etc. That should give you a better idea of what you are actually spending in addition to your regular monthly bills.

Answer 6

Subtract the amount of money you had at the start of the month from the amount you have at the end of the month. That's how much you've saved. lol

Answer 7

Stop spending money outside of your budget and you will have that extra money.
You are doing the right thing though. For some reason money just disappears and sometimes you just don't have an explanation for it.

Answer 8

gotta budget, im 15 and I budget. i dont have income. but i can tell you how much money ive made. every month for the past 6 mo. or so

also. dont put as much into savings. that way u dont have to keep withdrawing it.

Answer 9

Look closely at your bank statement and keep all your receipts. Get a program like Microsoft Money, or Quickbooks and create a budget.

Answer 10

by subtracting the money you spend on bills.