Saving at the end of the month
How many times have you reached the end of the month with your account at zero? Almost certainly more than once, and this is the risk of trying to save at month’s end. Instead of saving what’s left over, decide how much you want to save and do it at the beginning of the month, as soon as you get paid.
Relying on your willpower
Saving is a matter of regularity and if you depend on your memory or willpower, there will be many months that you will not save. The solution? Create a system that automatically saves for you with a regular transfer or products like PIAS (Individual Systematic Savings Plans).
Confusing bargains with saving
Taking advantage of a special offer makes you feel good, but it doesn’t necessarily mean saving. On the one hand, three-for-two offers will make you buy more, while on the other true savings are what reach your savings account. The rest is managing your money better.
Focusing on the budget and not your savings
A budget is a tool for your finances, not a goal in itself. Keeping to your budget is fine, but only if it helps you save more and better.
Saving without a goal
Saving for the sake of saving rarely works. Those who do so end up losing interest or finding ways to spend those savings. Setting one or more savings goals will help you draw up a plan, which is how you will save in the short term.
Saving only for the short term
Changing your smartphone, getting a new TV, taking a vacation… having short-term savings goals is fine. But focusing all your efforts on them is not such a great idea. Learn to combine these goals with others in the medium term (buying a house) and long term (enjoying a golden retirement).