In this article, we’ll provide tips on how you can save money in 2023. Some of these tips may be new to you, while others are tried-and-true methods that you may have been using for a while. Regardless, we hope that you’ll be able to find at least a few helpful tips in this article that will help you save money over the next year.
- Make a budget and stick to it.
- Cut back on eating out.
- Make your own coffee instead of buying it from the café.
- Invest in some quality clothing that will last instead of buying cheap clothes that will need to be replaced often.
- Cancel any subscriptions or memberships that you don’t use or need.
- Set aside money each month into a savings account.
- Find cheaper ways to heat and cool your home.
- Cut down on your electricity usage.
- Rather than going on vacation, explore your city or town and find new things to do there.
- Sell some of your unused belongings online or at a garage sale
Create a Budget
Start by creating a budget. This will help you track your expenses and figure out where you can cut back. One way to make this easier is to automate your savings. Have a set amount of money transferred from your checking account to your savings account each month. This will help you stay disciplined with your spending and save money without having to think about it.
Another way to save money is to pay down your debt. If you have high-interest debt, focus on paying that off first. This will save you money in the long run.
Apps to help you with your budget:
- Mint, for just about everything.
- YNAB, for hands-on zero-based budgeting.
- Goodbudget, for hands-on envelope budgeting.
- EveryDollar, for simple zero-based budgeting.
- Personal Capital, for tracking wealth and spending.
- PocketGuard, for a simplified budgeting snapshot.
- Honeydue, for budgeting with a partner.
Automate Your Savings
Set it and forget it. That’s the idea behind automating your savings. When you automate, you’re essentially putting your savings on autopilot, which means you won’t have to worry about forgetting to save or finding the time to do it manually. And that’s important, because the more you can automate, the easier it is to stick to your savings goals.
Here are a few tips for automating your savings:
1. Make sure you have a designated savings account that is separate from your checking account. This will help you avoid the temptation to spend your savings on everyday expenses.
2. Automate your contributions by setting up a recurring transfer from your checking account to your savings account. This will help you stay disciplined and make sure you’re contributing to your savings on a regular basis.
3. If possible, try to find a bank that offers a triple tax break on contributions made to their tax-advantaged accounts (like a 401k or IRA). This will help reduce the amount of taxes you’ll owe on your savings in the long run.
Best High-Yield Savings Account Rates:
- MySavingsDirect – 4.35% APY
- Popular Direct – 4.16% APY
- CFG Bank – 4.15% APY
- UFB Direct – 4.11% APY
- Salem Five Direct – 4.10% APY
- Customers Bank – 4.05% APY
- CIT Bank – 4.05% APY
- My Banking Direct – 4.05% APY
- Ivy Bank – 4.05% APY
- Bask Bank – 4.03% APY
- Vio Bank – 4.01% APY
- Valley Direct – 4.00% APY
- Bread Savings – 4.00% APY
- First Foundation Bank – 4.00% APY
- Fitness Bank – 4.00% APY*
Review and Streamline Costs
Start by reviewing all of your costs and identify any that will increase or decrease in 2023. For example, if you know that the cost of electricity will go up, you may want to start conserving energy now. Or, if you expect that there will be a sale on your regular brand of detergent, stock up ahead of time.
It’s important to be proactive about these things so that you can budget for them in advance. Another thing you can do is reduce your debt. Pay off your high-interest loans first, and then work on getting rid of the smaller debts. This will free up more money in your budget each month.
Finally, follow a budget closely. This means tracking all of your expenses, not just the big ones. You may be surprised at how much money can be saved by making small changes here and there.
Consider Starting a Side Hustle
If you’re really looking to save money, why not consider starting a side hustle? That way, you can bring in some extra income while at the same time finding ways to reduce your overall expenses.
One option is that you could start a blog or an online course teaching a skill that you have. Other possible side hustles include freelance writing, graphic design, and web development services. Or if that’s not up your alley, there are also plenty of online surveys you can take and get paid for your opinion.
Regardless of what kind of side hustle you choose to pursue, just remember to be smart about it and set aside some of the money you make each month for either long-term savings or emergency funds. That way, not only will you be able to achieve your savings goals in 2023 but also prepare for the future!
List of side hustle sites:
Fiverr– See if you can make money by selling your design, web development, or social media savvy on Fiverr. It’s a great way to get into the gig economy and find extra work for people with creative talent.
Mercari– Do you have a lot of items at home that are no longer of use or necessity (garments, electronics, amusements)? Think about putting them up for sale. Mercari is an electronic marketplace to assist you in getting the most money for your unused or slightly worn goods.
SolidGigs– If you have the know-how in digital marketing, website creation, or graphic design, consider SolidGigs. Just enter your email address and their platform will search for a job that fits you. However, SolidGigs necessitate a subscription fee each month for its use, so be sure to read all the details before signing up.
Nextdoor– Is an application and website which links you with whatever occurs in your neighborhood. They have a “on sale” section where you can offer goods you desire to dispose of. Furthermore, neighbors also place remunerated jobs, such as assisting with house renovation and orderliness assignments.
Upwork– If you like to write, do clerical duties, or have some impressive creative design abilities, take a look at Upwork. With more than 8,000 opportunities posted daily, you are sure to come across a side job that fits your talents and interests.
Care.com– Is a website that enables families to obtain the assistance they require. From babysitting, to pet care, to educational support, explore care-related positions suited to your skillset. You must be 18 or older to sign up and a background screening is mandatory.
Urbansitter– In the same way as Care.com, Urbansitter is an online site for locating babysitting and nannying positions in your area. In addition, they have virtual jobs in childcare, such as reading to children (or elderly adults) and conducting virtual physical activities and gym activities. People who are 18 or over can join and must pass a background check.
Rover– Do you adore the company of cats and dogs? Then you might want to look into Rover! It has multiple side hustle opportunities such as strolling pups, looking after animals, house-sitting, grooming, and providing drop-in visits for pets who have to be by themselves all day. Individuals over 18 years old are able to enroll and must pass a security review.
Steady– Steady is an app that searches the web, discovers short-term jobs and opportunities, and organizes them into one platform so it’s swift and straightforward for you to locate a side job close to you. Steady also has remote employment options so you can make funds from your own residence.
Pay Your Bills on Time
Timeliness is key when it comes to paying your bills. Setting up automatic payments for recurring bills like rent or utilities is a great way to avoid late payment fees and maintain a good credit score. Consider signing up for autopay with your bank or credit card provider so that you’re never late on a bill again.
You should also focus on paying off any existing high-interest debt, such as credit cards. If you can’t pay the full balance each month, make sure you pay at least the minimum payment. This will help you avoid accruing interest and other late fees, which can hinge on your ability to stay on top of timely payments.
Remember to follow a budget too, as this will help you reduce unnecessary spending that could otherwise be saved.
Invest Regularly in a Portfolio
Investing in a portfolio is one of the best ways to save money in 2023. You can start by finding a portfolio manager or automated investing platform that works for you. Many investment companies offer low-cost options, so shop around and find the one that gives you the most value for your money.
Once you find a portfolio manager, make sure to invest regularly. Even if it’s just a few dollars each month, it adds up over time and can help you reach your financial goals faster. Plus, you can take advantage of diversification across different stock and bond markets to create a more balanced portfolio and reduce risk. And as always, be sure to do your own research on any investments before committing.
Automate Transfers
If you want to up your savings game for 2023, then automating transfers from your checking accounts to your savings accounts is a great way to do it.
You can set up a recurring, monthly transfer from your checking account and the exact amount that leaves will depend on how much you can afford. You might find that transferring smaller amounts more frequently is easier than one large sum.
And if you’re an employee, consider setting up an automatic transfer from each paycheck to your savings account as soon as it hits—that way you’re not tempted to spend it all right away.
Plus, this approach takes the guesswork out of saving: no more trying to remember when or how much money should be transferred into savings. It’s a great option if you want to start the year off right and establish some financial discipline without having to think about it too much.
Create A 50/30/20 Budget
One easy way to save money in 2023 is to create a 50/30/20 budget: set aside 50% of your income for needs, like rent, groceries and utilities; 30% for wants, such as entertainment and eating out; and 20% for savings.
This way, you’ll be forced to keep your spending in check while still having enough room in your budget to do the things you enjoy. For example, if you have a $3200 monthly income, $1600 would go towards needs, $960 towards wants, and $640 towards savings.
Creating a budget like this can also help you keep track of your spending habits and make sure that you’re staying on the right track with your financial goals. Make sure that you’re regularly reviewing and updating your budget when necessary—while it may seem like a daunting task at first, it can actually be quite satisfying once you get the hang of it!
No Eating Out Challenge
You’re looking for ways to save money in 2023? Why not try the “no eating out” challenge? By making a conscious effort to avoid restaurants, you can save big.
Now, I’m not suggesting you never eat out. But if it’s an everyday occurrence, the costs can add up quickly. Instead of going out to dinner or lunch multiple times a week, why not challenge yourself to make meals at home and use up whatever ingredients you have in your pantry?
Try writing down what food you have on hand at the start of the week and planning meals accordingly. A little meal planning and prepping can go a long way towards saving money on groceries. It can also help reduce food waste, since you’re only buying what you need for the meals your making.
In addition, this no eating out challenge gives you an opportunity to get creative with recipes and expand your cooking skills!
So, these are six tips to save money in 2023. We hope that at least one of these tips resonates with you and helps you save money in the new year.
Of course, these are just a few suggestions, so be sure to tailor your approach to your own personal financial situation.
But remember, it takes commitment and perseverance to save money, so be patient and stick to your plan. And most importantly, enjoy your money while you save it!
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