How to Start a Budget That Will Help You Save Your Money

Money Saving Mom

Save Time and Money with these money saving tips.

With today's uncertain times, it is imperative that you have 3-6 months of expenses set aside.

Are you like most American's who live paycheck to paycheck? Or do you have some savings, but feel like you can never reach that 6 month mark?

Mama, we need to talk. From one Money Saving Mom to another, I want to share my secrets with you

Why is it, we are comfortable talking to our girlfriends about everything EXCEPT money? We can talk about recipes, how to handle potty training, and even sex. But money is just not on the table.

Today, we are changing that. Here on Relative Growth, I'm not going to hold back; I am going to show you the tips and tricks on how to become a money-saving mom. We are going to talk about Budgeting, Savings, Groceries, and everything else to help you Stop Dreaming and Start Living a Financial Free Life.

I have been there, and for some steps, I am still working towards our financially free goals. I want to share how we got out of $15,000 in debt, saved up enough money to buy a house in the Bay Area in California, and started a family. All debt free, traveling to fabulous places like Hawaii and Disneyland, and making great memories.

If you want to hear more of my easy systems, make sure you subscribe to our weekly letter.

5 Secrets to Save Your Money

Money Saving Mom

1. What's Your Why? – Before we even talk about how to save your money, you need to know your why. Why are you budgeting? What are you saving for?

  • Financial Freedom

  • Working Through Dave Ramsey's Baby Steps

  • Dream Vacation

Whatever it is, you need to get crystal clear on why you are budgeting. When you know to your core that you are budgeting to be able to have a "Rainy Day" fund, it will be a lot easier to walk past the $10 latte.

2. Create A Budget – Go ahead say it, I know what you are thinking it. Creating a budget is hard and boring. BUT it's the foundation to your financial success. Knowing how much you are currently spending in each category will help you decide what can be cut and what can be redirected over to savings or paying off debt. This takes some time upfront to set up and gets faster every month. I promise! Check out this article to help you put together a budget.

Save Your Money

3. Pay Cash – This is, by far, my favorite tip to save your money. I go back and forth on using cash and credit cards. I love getting my Costco rebate check at the end of the year because it feels like free money. BUT we always pay off our credit card at the end of the month.

When to switch over to a "Cash Diet":

  • Spending gets out of control

  • I want more control over the money

That means all expenses, except for bills, are paid in cash. Yes, that includes amazon (just buy an amazon gift card with cash at the store). It is a lot harder to spend cash. You separate wants versus needs really quickly as you visually see your monthly cash allowance disappear.

 Save Your Money

4. Don't Put All of Your Eggs in One Basket. Have Multiple Accounts – This took me a long time to figure out, but when I did, it was the best aha moment I had.

We currently have 5 accounts:

  • HSA Savings *

  • "Rainy Day Fund" Savings *

  • FSA Dependent Care Savings

  • Regular Savings that holds money for our annual bills, travel, and holidays. This savings is easily accessible and attached to our Checking Account.

  • Regular Checking Account

*Helpful Tip- Keep rainy day and HSA at different banks or not connected to your online banking, this makes it harder to transfer money to cover your behind when you overspend.

Save Your Money

5. Pay Yourself First – If you do anything, this is the one thing you need to do to save your money! Remember those two savings accounts from above, the HSA and "Rainy Day" fund? Well, every paycheck money automatically gets pulled from my paychecks and goes straight into the accounts. I never even see or touch the money until I get my monthly statement. As for the regular Savings Account, I have an automatic transfer set up from my checking to the savings account. To make sure that I am saving the right amount I have broken down how much our annual bills are, how much I want to budget for holidays and travel and divided that # by the number of paychecks I get (we are bi-weekly which is 26 a year).

On the learning path to budgeting and savings, you will 100% be over budget some months, and there will be a time when you 100% will have to dip into your savings. Here is my message to you: that's 110% ok. This journey is not about perfection it's about progress.

Stay Curious, Be Brave, & Always Believe in Yourself.

Other Articles You May Like

Tips to easily save $2000 a year

3 easy ways to save money on groceries

The everyday guide to meal plan

Money Saving Mom

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