There seems to always be those people who are great at saving. Whether it is for retirement, a vacation, their children’s college, etc., they have the right habits to turn savings goals into a reality. What is their secret? Here are some of the tricks they use:
- Set Goals and Visualize Them
Although it seems simple, setting a goal is a great way to stay motivated while saving. This can apply not only to retirement savings, but saving for any type of goal such as a vacation or paying off debt. Visualizing the goal helps make it seem more real and attainable. Create a dream board or a savings tracker and mark it off.
- Look at Monthly Statements
Comb through everything and see where extra expenses can be cut. There might even be magazine subscriptions being taken directly from the account without the account holders noticing. This is an easy way to find out where money is being spent, and what spending to cut.
- Buy Nothing Challenge
Need to stop a spending habit? Take the challenge to not buy any clothes or gadgets for a certain period of time like three months. It might be hard, but the money saved will be well worth it.
- Plan Ahead
This idea can apply to almost all facets of life, but especially when saving for retirement. Planning a separate account for emergencies can help workers when the need arises. With an emergency fund, they will be less likely to dip into their retirement savings.
- Do not Increase Spending
When raises or bonuses are awarded, do not let that be an excuse to spend more. By putting it away, workers can give their retirement savings an extra boost.
Saving for retirement does not have to be hard. Consider a self-directed retirement account from Mountain West IRA. These accounts give savers a variety of investment options and the ability to create their own financial future.