If you're wondering how to save money, the best place to start is with a review of your current situation. Perhaps you are already saving some money but want to step it up a notch, or you are starting from scratch.
Take some time to understand and map out:
Use your budget as a tool to help you visualise where you are sitting financially.
Achieving your savings goals can be made easier by using the right accounts. While there are many account products around, you need to understand the difference between a transaction account – the one you access for everyday spending or bills, and a savings account – where you add funds to regularly, not make withdrawals, and see your money grow over time.
You will want to consider the fees and features offered by different accounts, based on their purpose.
For example, some accounts are designed for saving money over a period of time, such as our savings account with bonus interest. This account rewards you with bonus interest when you make regular deposits and no withdrawals.
On the other hand, everyday transaction accounts such as our everyday bank account with no monthly fee, are designed to allow for easy transactions and simple access to your money.
Here are some changes to consider making to help you save more:
It's important to get your accounts to work in the right way for you. A good way to manage both your spending money, and the money you want to save, is to consider having separate accounts to track your money. This could be a daily transaction account for everyday spending, a bills account for all your direct debits, and a high interest savings account to put your savings into.
You could have your pay deposited into your daily transaction account, and commit to transferring a certain amount into your savings account each pay cycle.
Check out our infographic on how to save without trying for simple changes you can start making now.
Review your current debt and, if suitable, consider whether debt consolidation could help you. Be careful when taking out loans, such as payday loans and in-store credit. Our Manage your debt financial tips can help you get started.
It's important to keep up your good savings habits and make alterations as your circumstances change.
For example, if you pay off a debt you could consider putting that money into your high interest savings account, rather than spending it because it seems available.
Things to consider into the future with your savings habits:
If you're still stuck on where to start with your savings plan, consider seeking financial advice about your personal situation from a trusted professional.
Find out how you compare when it comes to saving money in Australia.