After you get to know me, you’ll appreciate that I like to state the obvious.
Obvious: Saving money means saving money.
Explaination: Let’s say you go to the grocery store and you got specials on cereal and peanut butter so you stocked up and got 3 of each, reducing the total cost by $9. (Some stores even put a note at the bottom of your receipt ” you saved $9.06 today.”)
Did you save money? Answer: No – You spent less money. You didn’t save money. Not unless you transfer $9 to your savings account and actually save the money.
The rationale here is that your budget should include being able to purchase all of your needs at the regular price. If you get a deal that doesn’t mean you should be spending more on something else. It means that you should be saving more. So do it! Save the difference.
Challenge: Next time you get something for a reduced price and you save money, actually save the money. Right, log in to your online banking account and make a transfer to your savings account. I recently cancelled cable television reducing my costs by $46 a month. So, now I’m saving $46 a month extra by transferring what used to be a cable bill into my savings account!
That’s a savings of almost $600 a year. For real.
PS, I’m saving that extra $600 into my vacation account. Cable TV was entertainment, and so is a nice south vacation!
- Below Your Means (thisblogisforwomen.com)