Between rising housing costs and soaring interest rates, maintaining a healthy bank account has become a little trickier of late. You’re not alone if you’re one of the many people out there looking for ways to save money fast.
Here you’ll find a collection of solid ways to save money, even in a shaky economy. We’ll explore 12 spending habits that can help you stop wasting money and keep your long-term savings goals on track.
Use High-Interest Rates in Your Favor
As Federal Reserve interest rates hover at a 23-year-high, finding the best place to stash your cash can be a great way to earn interest. Now is a great time to consider parking your emergency fund in a high-yield savings account.
While the average savings account pays a paltry APY of around 0.57%, many high-yield savings accounts now offer 5% or more. The following banks are now offering top rates with no monthly fees or account minimums:
Make a Plan to Get Out of Credit Card Debt
Now to address the dark side of high interest rates. Unfortunately, in many cases, paying off your credit card debt is both the less fun and quickest way to start saving money fast.
Check out popular debt payment techniques, such as the debt snowball or debt avalanche methods. You may be surprised to discover that simply nailing down a solid plan can go a long way toward helping you pay off debt faster.
If you’re still struggling to stay afloat, you may want to consider booking a free appointment with a credit counseling specialist. They’ll be able to walk you through the best options for your situation.
Supplement Your Current Job With a Side Hustle
Finding ways to save money is a lot easier when you’re not living paycheck to paycheck just to make ends meet. Unfortunately, most companies will impose late fees even though you'd love to pay if only you had the cash.
If you regularly face this situation or are simply looking for a great way to reach your savings goals faster, then there are a few options. The first is to get a higher-paying job, which can admittedly often be easier said than done. Or you can find ways to make more money where you currently work (ie. overtime, bonuses, commission, etc.)
If getting a new job or making more where you currently work isn’t in the cards, then check out the many side hustles now available. It’s now possible to earn cash doing anything from selling on Etsy to hanging out with dogs. If possible, try to separate your two income streams and use your side hustle money specifically for paying off debt or saving money for your goal.
Find a Better Deal on Your Cell Phone Plan
JD Power recently revealed to CNBC that the average cell phone bill now comes out to $144. If you’re serious about finding ways to save, then it's time to shoot for better than average.
Resist the urge to assume that your recurring monthly bills are set in stone by taking the time to research your options. You may find a better deal through other providers like Tello, which offers an unlimited phone plan for just $25/month.
Best of all, Tello works on a prepaid set-up, so there’s no need to worry about contracts or hidden fees. Get a great deal on a brand-new phone or check to see if your current device is eligible for service.
Related Content: Tello Review: Why We Switched From Verizon To Tello
Use Auto-Investing to Save for Retirement
Technology has now made it easier to start putting away money for retirement than ever before. Many companies now offer both Traditional and Roth IRAs with “robo-advisors,” which invest any money you deposit into a diversified portfolio.
The beauty is that it’s easy to get started whether you understand the intricacies of the stock market or not. Just answer a few questions upfront about your age, goals, and risk tolerance and your robo-advisor will take care of the rest.
Consider a Next-Level Personal Finance Solution
The idea of spending money to save money may sound a bit contradictory at first, but stay with me. Some paid budgeting tools may be worth it if you’ve had it with your own failed efforts to stop wasting money.
You may even realize that paying a small monthly subscription fee (generally $10 or less) has a couple of perks. If you’re anything like me, you may wind up using a program more seriously when you have to pay for it. Not to mention that these tools can save you way more money than you’ll pay, provided that you use them.
The bonus is that many come with free trial periods that allow you to take them for a test drive. Some of the top-reviewed personal finance tools on the market include:
- Monarch Money: Monarch takes budgeting to the next level with a streamlined dashboard that allows you to track spending, investments, and goals all in one place. It’s also a great choice for couples because it can sync your accounts to create a comprehensive financial overview.
- You Need a Budget (YNAB): YNAB is one of those budgeting apps with a cult following that swears by it. It’s designed to give you a full overview of all your accounts and create a solid plan for every dollar you earn.
Cut or Renegotiate Monthly Payments
One of the reasons that budgeting tends to be so effective is that it makes it much harder for unnecessary subscriptions or impulse-buying sprees to fly under the radar. Don’t be surprised if you begin to unearth recurring expenses you may have forgotten you even had.
From streaming services to unused gym memberships, don’t be afraid to start making cuts. Another great way to save money fast is to look for ways to lower your monthly bills.
You may even discover that a surprising number of service providers are willing to renegotiate their prices on everything from cable to internet prices.
Even if the power company isn’t up to giving you a break on your electric bill, there are still things you can do to lower it yourself. By investing in energy-friendly devices like a smart thermostat, you may be able to save money in the long run.
Create a Separate Email Address for Loyalty Programs
You’re not alone if you’re hard-pressed to give out your email address, even to companies you enjoy. An easy workaround is to create a separate email account that you only use to sign up for discount programs or access gated content.
Many companies regularly send out things like coupon codes and discount offers that you can use to save money when you shop. Having a dedicated savings offer email can help you take advantage of all those bargains without risking turning your personal account into a spam fest.
Pro tip: Consider creating your loyalty program email account with a different provider than you use for your personal or work emails. That way you won’t have to sign in and out every time you want to check out the latest offers.
Audit Your Car Insurance
To some extent, auto insurance is an indisputable legal necessity. Most states require you to have liability insurance that covers any damages you may accidentally cause to someone else or their vehicle.
But in some cases, you may be paying for more coverage than you need. Don’t get me wrong – if you’re still making car payments on a brand-new Mercedes, then it’s perfectly justifiable to insure it inside and out.
But if you're cruising around in an old beater you’d be hard-pressed to trade in for a six-pack of soda, there’s not necessarily any need to spring for premium auto coverage. If it’d likely cost more to fix damage to your car than it’s worth, then it may make more financial sense to downgrade your plan.
That said, be sure to check your state laws to ensure you maintain the minimum amount of coverage required by law. Staying on top of oil changes and regularly checking for things like air leaks will also go a long way toward keeping your car running as long as possible.
Find Thrift Store Savings Online
If there’s one thing the internet got right, it was making it easier to find a good deal on pretty much anything. Knowing where to find bargains on used or refurbished products can turn online shopping into a great way to save money fast.
It’s important to note, however, that not all bargain sites work the same way. For instance, sites like Amazon Warehouse and Bed Bath & Beyond’s Overstock.com allow you to buy gently used or overstocked items directly from their respective companies.
Then you have a class of sites that serve as internet middlemen that more or less oversee deals between individual consumers. Etsy and eBay are prime examples, as Poshmark, a popular online used fashion marketplace.
Last but not least, you’ve got sites that function more like online yard sales, such as Facebook Marketplace and OfferUp. While these sites do what they can to ensure safety, it’s important to be aware that you’ll be responsible for arranging a time to meet up with the seller and pick up your purchase.
Make sure you always play it safe by arranging to meet in a well-lit, public area – preferably with surveillance footage. If you’re buying a high-ticket item, then wait until you’ve checked it out in person to complete your purchase.
Map Out a Meal Plan
While one of the obvious ways to save money, sticking to a solid meal plan can be one of the hardest to stick to. You’re not alone if you’ve ever set out determined to enjoy significant savings by swearing off fast food for a month – only to answer the call of Chipotle a few days later.
If you want to cut spending in the food department, several tricks may be able to help. The first is to sit down and pre-plan your meals for the week before you even head to the store for the ingredients.
Keep your meal plan handy, so that you can sit out items to thaw before heading into the office in the morning. For whatever reason, the lure of the average drive-thru tends to fade when you know you’ve got a freshly thawed chicken hanging out on your counter.
If this method fails, then it’s worth testing the following:
- Try setting a reasonable monthly restaurant spending limit rather than trying to go cold turkey. Curbing your fast food enthusiasm may prove a lot easier than cutting yourself off altogether.
- Consider signing up for a meal delivery service.
- Pre-prep and freeze your meals for the entire week each Sunday
Create a Calendar of Free Events
Free events are sort of like public transportation – we all know they’re a great idea whether we take advantage of them or not. But if you’re looking for ways to save money fast, then it's worth putting a little more effort into finding free ways to have fun.
One helpful tip is to create a free events calendar, whether physical or digital. At the beginning of the month, set aside a few minutes to check out upcoming free events or festivals. You might even dedicate a blank calendar page to a list of free activities you can do at any time.
Whether you end up going to all the events you record or just one or two isn’t super important. The idea is to avoid ever finding yourself at a loss for budget-friendly options.
Final Thoughts on How to Save Money Fast
Hopefully, this list has given you a few creative ideas for saving money and generating more disposable income. One quick and easy way for how to save money fast is to lower your cell phone bill with a company like Tello. Their $25/month unlimited plan can save you over $1,000 this year when compared to the average cell phone plan.
Best of luck on the journey to your savings goal!
Are you looking into how to save money fast? Which of these money-saving ideas do you like the most?
Please let us know in the comments.
