When it comes to reaching your long-term financial goals, you’ve probably heard that saving is key. While controlling your spending may seem like no fun, saving does much more than build financial security and boost credit scores.
Saving enables people to afford the experiences and items they truly want. Think about it: which would you prefer, a pair of new shoes, or a vacation to a tropical island? While one may be possible this week, you make the latter truly achievable once you start saving for it. Instead of reward spending, get ready to do some reward saving!
If a memorable and relaxing reward appeals to you, save strategically now in order to set yourself up for some much-needed downtime. Try these three tricks that make reward saving even easier:
Create a Specific Account: Meaningful time off from work can not only be enjoyable, but it can also improve our ability to perform and earn once we’re back to the daily grind. These major rewards, of course, often come with considerable price tags. With a little planning, you can build the funds you need! Start by designating a separate account for your reward savings. To add fun and motivation to your goal, name the account after the reward, such as “Hawaii, Here We Come!” By setting up a separate place where you can put your “fun money”, you save yourself the temptation of spending this money.
Automatic Transfer: Are you someone who forgets to save? Set up a monthly transfer from your checking account into your reward savings account. This guarantees that your reward fund will be growing behind the scenes, while you focus on your work!
Make Room in the Budget: Unsure how much you can afford to put aside for your vacation each month? Assess your monthly spending budget. One example of a healthy budget breaks down to 50% on necessities, 30% on personal and discretionary needs, and 20% toward savings goals. Vacation spending falls into the latter two categories. Once you have built an emergency fund and have your credit under control, the amount of money you put aside for your future reward fund will be up to you! If you struggle to find room in your budget to save, considering pursuing an additional source of income, even temporarily.
You work hard and deserve to reward yourself. Delayed rewards are often the most worthwhile.
To learn more ways to accomplish financial gratification now and in the future, visit our site at www.syncis.com/blog.