How to Hold On to Your Dough by Martha Wild King

Saving money is a goal many individuals strive to achieve, yet it often proves challenging to hold onto those hard-earned funds.  We live in a consumer-driven society that encourages us to spend, which can make saving seem like an uphill battle.  However, with the right mindset, strategies, and discipline, you can hold onto your savings and achieve your financial goals.      This blog post will explore practical techniques to help you maintain your savings and build a secure financial future.

By using these disciplines, you will have more dough to save.

Set clear financial goals:

Establishing clear financial goals is crucial to effectively retaining savings. Define your objectives, whether creating an emergency fund, saving for a down payment on a house, or planning for retirement. Having specific goals in mind makes it easier to stay motivated and resist the urge to spend frivolously.

Track your expenses:

Another critical step in holding onto savings is understanding where your money goes.  Start by tracking your expenses diligently.  This can be done through budgeting apps, spreadsheets, or even a simple pen-and-paper method.  Categorize your expenses and analyze your spending patterns.  Identifying areas where you tend to overspend will allow you to make necessary adjustments and save more effectively. Captain Mike has kept track of our expenses for 45 years by using the same type of notebook budget book. Pen and paper are a basic bet.

Create a realistic budget:

Once you have a clear picture of your spending habits, create a realistic budget that aligns with your financial goals.  Differentiate between essential and non-essential expenses and allocate funds accordingly.  Remember to prioritize saving by setting aside a predetermined portion of your income each month.  Stick to your budget as much as possible, and if adjustments are needed, make them mindfully.

Automate your savings:

Automate the process of saving to make it a habit. Set up automatic transfers from your checking account to a separate savings account each time you receive your paycheck. By making saving a priority and removing the temptation to spend that money, you are more likely to hold onto your savings and watch them grow over time.

Minimize unnecessary expenses:

To preserve your savings, you must critically evaluate your expenses and identify areas for reduction. Look for ways to reduce monthly bills, such as negotiating lower interest rates on credit cards, canceling unused subscriptions, or finding more cost-effective alternatives. Minor adjustments in your lifestyle can add up to significant savings in the long run.

Avoid impulsive spending:

Impulse buying can be detrimental to your savings efforts.  Before making a purchase, give yourself a cooling-off period to consider whether it aligns with your budget and financial goals.  Differentiate between wants and needs, and ask yourself if the purchase will bring long-term value or provide short-lived satisfaction.  Developing self-discipline and curbing impulsive spending are crucial for holding onto your savings.

Seek ways to increase income:

Another effective strategy to bolster your savings is to seek opportunities to increase your income.  Explore side hustles, freelancing, or part-time work to supplement your primary source of income.  Consider investing in your skills or education to enhance your earning potential.  The more you increase your revenue, the more you can save and secure your financial future.

And if all of the above suggestions fail, you could do as my son Mark did to increase his earnings.  He put his money in a cash box that required two keys to open.  One key he placed in an old log across town, and the other in the opposite direction under a rock by the creek.  Now, I'd be afraid one of the lock openers would be carried off by a squirrel, but so far, this scheme has accrued some savings—just an idea.

Two keys are better than one for keeping savings safe!

Thus, holding onto savings requires commitment, discipline, and a shift in mindset.  You can build a solid financial foundation by setting clear goals, tracking expenses, creating a budget, automating savings, minimizing unnecessary costs, avoiding impulsive spending, and seeking ways to increase income.  Remember, saving is a journey; it may take time to see substantial results.  Stay focused, remain consistent, and celebrate small victories along the way.  With determination and perseverance, you can hold onto your savings and achieve financial stability for a brighter future.

Proverbs 15:22--Without counsel, plans go wrong, but with many advisers they succeed.

__________________________________________________________________________________

Martha Wild King, M.Ed., Author

The Frugal Catholic: Learn to live on less to give and save more.

Frugality gave us wealth, but the Catholic Church made us rich!