How to save money when you feel like you have none to save

We all know saving is important, but let’s be honest, it can be hard to know where to start. Plus, with the cost of living going up, it sometimes feels like we don’t have much to save even though we want to.

Whether you’d like to set up that emergency fund, plan for a future vacation, start a small business, or simply regain a bit of financial security, we’ve got you.

We’ve teamed up with Coast Capital to bring you some practical, straightforward tips on how to start saving your hard-earned cash — even when you’re convinced there’s none to spare.

Mindset makes all the difference

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Before you set out on your savings journey, remember that the secret to successful saving lies in your mindset. Instead of thinking of it as taking money away from yourself, see it for what it really is — putting yourself first.

Once you realize this, saving becomes a fixed expense in your budget, just like utilities, groceries, and so on, allowing you to achieve your financial goals and pave the way for a more secure and fulfilling future.

Create a budget

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The first step to saving is to create a monthly budget. No, we’re not going to tell you to cut out avocado toast or stop treating yourself to your favourite latte — because budgeting doesn’t mean restricting everything — it’s all about smart financial planning.

Start by considering your net monthly income (the amount of money you get after taxes and other payroll deductions) and your essential expenses like rent, debt repayments, car payments, etc. Next, factor in the expenses that change from month to month, such as groceries and gas bills.

Be sure to build in a reasonable amount for discretionary spending, which includes things like eating out with friends or going to see a movie. Remember that it’s still okay to treat yourself; just don’t go overboard.

When you’re done, you’ll know exactly how much you have left over to save. Even if it’s a modest amount of $30 per month, it’s still a great place to start.

Organize your accounts

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This may sound obvious — but you’ll need to open a savings account. If all of your money is just sitting idle in your chequing account, it can be difficult to remember what’s for savings and what’s for everyday spending. And unlike savings accounts, money sitting in a chequing account won’t earn interest.

With Coast Capital, you can open a high-interest savings account which allows you to earn interest with no monthly fees.

You can even open multiple savings accounts that are labelled for specific goals. For example, you could designate one account as a vacation fund, one to save for education, and another as an emergency fund.

Whatever your goals are, designated savings accounts are a great way to help you set clear targets and get closer to achieving your financial goals.

Automate your savings

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After figuring out how much you can afford to save, automate your contributions. This means setting up a preauthorized deposit that transfers a lump sum from your chequing account into your savings account on a scheduled day that suits you.

Try setting it up for the first Friday of the month, or even bi-weekly if that matches your pay cycle. By doing this, you’re removing the temptation to spend any excess cash on random or impulse purchases. And, chances are, you won’t even notice the money going out.

Use Coast Capital’s online money management tools

If figuring things out on your own seems a little overwhelming, Coast Capital can help.

Its Money Chat tool helps you set and reach your financial goals. It takes a unique approach to understanding your current financial health, where you want to go, and
how to get there.

You can complete this chat online or over the phone with a financial advisor, who will help you go over how to best manage, save, grow, and protect your money, and help you put together a savings plan that works for you.

You could also use Coast Capital’s Money Manager Tool, which helps you learn about your spending habits, set budgets, track your progress toward your goals and more. This gives you the control to make smart, informed decisions with your money.

Coast Capital is all about redefining the traditional relationship Canadians have with their bank and showcasing how a real partner can support them in the moments that matter.

Ready to start your savings journey? For more information about how Coast Capital can help you save, click here, or book an appointment with an advisor today.