A Great Year to Start Saving Money 8 Amazing Ways to Save Money in 2022
Saving money can be hard in today’s world, especially if you have high expenses from your lifestyle and a low income that makes it difficult to contribute much to save each month. However, the New Year presents a fresher opportunity for everyone, including those earning less income, to resume savings. In fact, 2022 may just be the best year yet to start saving money. Here are 12 amazing yet simple ways to save money in 2022 that will help you feel good about your life as you grow rich!
How much do you spend on your daily expenses?
Calculate your annual income and expenses using a simple calculator, such as How much do you spend on your daily expenses? You can also use a calculator to determine exactly how much money you’ll need for retirement. For example, if you’re hoping to have $200,000 for retirement by 2027, you should be saving about $31 per day ($1,260 per month). At that rate, it would take you about 17 years to save enough money for retirement. If that sounds like a long time—and it might if you’re young—you can pay yourself now by putting away small amounts of money each day so that it adds up over time.
1) Buy multi-purpose products and go from there
Buying multi-purpose products is a great way to save time and money. For example, try refilling a water bottle instead of buying new ones. Multi-purpose products are also good if you want to reduce your usage of plastic bottles or paper towels. Reusable water bottles and coffee mugs can be easily found online, at stores like Walmart, as well as at local retailers.
2) Set aside a small amount every day
It may not seem like much, but a small daily savings amount can add up over time. If you’re saving $3 per day, for example, you will have $365 set aside at the end of one year and $1,095 saved after three years. Make saving a habit by setting up automatic transfers from your checking account into a savings account. (Here’s how to do it.) Even if you only contribute 1% of your annual income each year—just $2 per day—you could have as much as $63,000 saved by age 65 through tax-deferred retirement accounts such as IRAs and 401(k)s. And that number would be even higher if that were invested with growth potential over time.
3) Reward yourself with a treat after every amount you manage to put aside
If you’re lucky enough to be able to save a few dollars each week, consider rewarding yourself with something small after every milestone, such as when you save $100 or $200. That way, a treat is only around every other month and it helps keep your motivation up over time.
You could go out for ice cream or take yourself on a shopping spree (just make sure not to go overboard). As long as it’s something affordable and doesn’t derail your progress towards your end goal of saving more money, it can be an effective strategy for getting into saving mode.
4) Use Cash more often than Debit/Credit Cards
When you spend money with a credit card, you don’t feel as bad. That’s because your brain doesn’t understand that you spent that much on a pair of shoes until later on. But if you use cash for most of your purchases, you can really feel your hard-earned money slipping away from your wallet.
If there’s no cash physically leaving your pocket, and only digital numbers going into it, it’s easier to stay within a budget. And next time you’re about to spend $100 at Target, using only one of those plastic cards at checkout will remind you how much cash that is—and will help make sure you want to buy it after all.
5) Set Up Automatic Deposits
It can be hard to think about what you can do now that will make a difference a few years down the road. But setting up automatic deposits of some of your income into a retirement account can be a great way to get started saving.
You might want to consider opening an IRA and contributing automatically each month. It’s really that simple—and if you can even set aside $10 or $15 each month, over time you’ll see how adding those small amounts really adds up. If that seems like too much for your budget right now, start smaller and work your way up over time.
6) Try Batch Buying & Bulk Shopping
Buying several items at once is a great way to save on shipping and packaging. When you have a big order, shop for your essentials all at once (think soap, toilet paper, coffee filters, and dog food). For example, Amazon sells everything from kitchen gadgets to gardening tools.
The store has a huge selection of bulk goods and even provides shipping when you meet a minimum threshold. Consider going small with your purchases—many mini-sized items are just as effective as their full-size counterparts at half or less of the price.
7) Avoid Impulse Purchases & Shop Around Before Buying Anything
Impulse purchases are easy to make, and before you know it, you’re on your way back from Target with a new flat-screen TV. In order to avoid impulse purchases and keep your spending under control, remember that shopping around is your best defense against overspending.
Do research online before making any major purchase; chances are, you’ll be able to find a better deal at another retailer nearby. Also, don’t be afraid of negotiating when making an in-person purchase—it’s perfectly acceptable these days. Finally, treat yourself occasionally, but do so only after setting aside money for savings first; that way you can enjoy more guilt splurges than if they were forced by an emergency or something else out of your control.