Turn Your Saving into a Wealth-Building Habit

By Sharon Cook, SVP/Chief Marketing Officer, Mountain America Credit Union

Saving money can be a challenge. There are several factors that can contribute to our inability to save. We may not prioritize our savings account or choose to spend our money elsewhere. During the journey of wealth-building, it can be difficult to know how to start saving money. One of the most relevant factors we have found is inconsistency.

That’s right—financial success can often come from developing a few simple habits and staying committed to achieving the goals that you’ve set. We all recognize what it takes to save money, but it is definitely worth it to put in the effort to build up your savings! The trick is to start early, stay focused, and keep the end goal in mind while keeping the procrastination beast at bay. Take a look at some of our top money-saving tips that are sure to help you establish healthy wealth-building habits and help you keep your eye on the prize as you focus on building wealth.

Look for opportunities to save

If saving money is at the top of your list, it’s time to look at your money flow a little differently. Consider looking at it this way: every purchase you make is potential savings lost. We’re not talking about essential purchases; you should definitely continue to purchase groceries and fill your car up with gas. Look at some of your extra purchases—here are some easy ways to save money.

If you’re saving for a honeymoon, for example, it may make sense to give up your gym membership through the warmer months. Review the number of times you spend money on fast food. Maybe you could cook at home more or pack a lunch to work. Eliminating these little expenses can help your savings grow.

These types of wealth-building trade-offs may not be worthwhile for every expense. However, we are confident that it will be worth your time to take inventory of your purchases and see where you can cut back to meet your savings goals.

Revisit your savings plan and make adjustments frequently

There isn’t much in this life that we can truly set and forget. Life changes, needs change and new opportunities arise. Just because you decided to pay for premium cable channels ten years ago doesn’t mean you need to keep paying for that decision the rest of your life. If you no longer have time to watch television, or your needs are being met with a streaming service, get rid of those extra cable channels. Take the extra money and reroute it straight to your savings account! Regularly reassessing your needs and current situation is key to staying on task and maintaining your goal of saving money. Remember that small changes can go a long way!

Reduce, renegotiate, or replace

It’s not always about eliminating an expense. Saving money can also come from finding better, more cost-effective alternatives for things like household supplies, car maintenance, or creative hobbies. Consider swapping out your name brand products for the store brand, or adjust your monthly subscriptions to a less-expensive option. There is plenty of space to make simple cutbacks and send funds to your savings account, a little bit at a time.

Automate your savings

A big reason for falling short on your savings goals comes down to user error. You rely on yourself to manually move money to your savings account each month. Before you know it, the money is spent on something else. Set up an automated transfer from your checking to your savings account. Whether you set it up to automatically transfer when you get a new paycheck or even just once a month, this automation will help you to achieve your wealth-building goals.

There’s an app for that

Feeling like you could use a little extra help? There are several apps that can automatically send small amounts of money to your savings account. How do they work? Some apps round up all of your purchases to the nearest dollar and transfer those extra pennies to your savings account, while others analyze your spending and income, and automatically set aside small amounts straight to your savings account. There are plenty of apps to choose from that can help to simplify your goal of building wealth and creating a money-saving plan—do your research and choose an app that will work best for you and your needs and goals.

Remember, they say it takes 21 days to form a habit—that’s all that stands between you and achieving your goal of building your savings! Start now to give yourself a better future through intentional saving. Check out our different savings account options and get started on achieving your goals.