Are you a saver or a spender? I’m a saver now, but it wasn’t always that way. Flashback to 10 years ago and we were in debt up to our eyeballs and living pay cheque to pay cheque. Money was tight and we had no savings. I’ve done a complete turnaround since my divorce. I no longer live pay cheque to pay cheque, paid off debt, and even have some savings. Last year I bought a house and a car on my own. It was a year of financial milestones.
The old me thought saving money was impossible. Looking back now, I see that we were making frivolous purchases and not thinking about how we spent our money. I rarely ever eat at restaurants now, but back then we were eating out at least once a week. Changing that alone saved me a ton of money!
You may have already heard of the 52 Week Money Challenge where each week you set aside x number of dollars for the entire year. By the end of the year you have a small nest egg of $1,378! Last year I did the challenge in the traditional way – starting from a low weekly amount and increasing over the course of the year. However, I didn’t like doing it that way. It took way too long to see progress. For instance, 12 weeks into the year I only had saved $78. It wasn’t very motivating to continue on doing it.
This year, I’m doing it in reverse. I’m starting out with the larger weekly amounts and decreasing them over the course of the year. In comparison, by week 12 I’ll have saved $558! I think that will be more motivating to continue – it’s a little like weight loss where you lose the biggest amount of weight the first week. You see the results and want to continue with it because you know whatever it is you are doing is working. Same idea here with saving money!
I haven’t decided yet what I will do with my $1,378 savings. I might use it to buy a new washer and dryer set or add it to my emergency fund. Maybe you want to go on a trip next winter? This is an excellent way to save up for it.
It’s up to you whether you physically store the money in a jar or transfer it to a savings account via online banking. I’m doing the online banking method so I don’t have to keep cash laying around the house.
To help you keep track of your progress, use my free 52 Week Money Challenge printable. I’ve got mine on my fridge and will check off the boxes each week to track my savings.
Want to join me? Print off your copy and let’s save money together!