While studying at uni I managed to save enough money to go on a two month adventure around Europe. People have often asked me “how did a broke uni kid manage to pull that off??” Well today friends, I intend to tell you exactly how I saved up. Most of these tips I still use today. You’re welcome.
A really good savings account. I opened a ‘Serious Saver’ account with my bank. The deal is, deposit at least $25NZD a month, make no withdrawals, and you will get 3.5% interest at the end of the month. Being an overachiever, I decided $25 a week sounded like a better idea. That interest starts to add up big time! Pretty soon the monthly interest was more than the monthly requirement. Um hello, free money, yes please.So, make sure you look into different saving accounts options and shop around if need be. Trust me, it’s worth it.
Holiday job. I was fortunate enough to keep my after-school job as holiday work in-between semesters. The majority of the money from this job went into my savings account, giving it a nice boost. This boost was especially noticeable over the long summer holidays.
Second job. Semesters are long however. For more of a boost I got a part time job that fitted into my uni schedule well. I spent NOTHING from this job. Every single cent went into my savings. I only worked this job for a month or two before going to Europe but this still added up to an extra $1000NZD which I was more than happy to have.
Cut back on spending. As soon as I realised I wanted to travel, shopping became a lot less appealing. Saving to get traveling became my priority. I no longer wanted new clothes or any other material thing. Every time I thought about buying something that was not a necessity, all I could think about was how there was now going to X amount of dollars less in my travel savings. I started drinking the cheapest wine I could find (don’t you dare try and tell me wine isn’t a necessity), mending my own clothes, and taking more time to research cheaper options for my necessities. This habit has still stuck today and is how I save a lot of my money for travel. I still shop with the mind-set of a broke student.
Pay Day. As soon as new lot of allowance/pay was in my bank account, anything left from the previous week went straight into savings no matter how much was (or wasn’t) left. Even if it was just $1. Every dollar gets you closer to your goal. Again this is still something I do today and is responsible for a large amount of my savings.
Budget savings into your weekly expenses. Make a commitment to save $X every week and set up an automatic payment for this amount. Set the payment up so it goes out the same day (or the next day) that you pay comes in. This way you will hardly miss the money as it feels like you never had anyway. After a while you won’t notice, I promise.
If you have an automatic payment that is not related to travel, and this payment comes to an end, add that amount on to your travel AP amount. For instance, say your weekly travel AP is $20 but you’re paying off a laptop at $30 a week, once the laptop is all paid off, up your travel AP to $50. You have already gotten used to not having that $30, might as well put it towards travel. I am so excited for my car to be paid off so I can do this (is it sad I’m excited about something like that?).
Change jar. I’m doing this at the moment, whenever I end up with loose change I put it in my change jar. I have also started selling my clothes I no longer wear (or fit. It’s a tough life). I’m selling them on facebook market places but am also going to start selling on TradeMe (NZ’s answer to Ebay). So far I have made just over $100NZD. Whoo!
Do you already follow any of these tips? Do you have any tips you would like to share?
As always, let me know in the comments!