Today, the average North American puts only 3% of their income into a savings account. So, imagine saving up to half of your next paycheck, and still having enough money to pay your bills and enjoy a comfortable life. You don’t have to be super-rich to do that. Just follow these secrets of super-savers that we found in Money magazine:
- Secret #1: Wait before you buy. Research shows that we spend an average of $10 on impulse purchases, every time we shop. In a year, that can add up to tens of thousands of dollars! If you give yourself a 24-hour “cooling off period” before buying something, super-savers tell us you’ll realize most impulse items are things you just don’t need.
- Another secret of super-savers: Give each of your accounts names like “Retirement,” “Hawaii Vacation,” or “Brittney’s College Fund.” A study from the University of Virginia found that when people labeled an account with a personalized name, the amount of money they saved DOUBLED. Researchers say it’s because when you’re always reminded of what you’re saving for, you’ll feel regret if you stop adding money to the account.
- Super-saver Secret #3: Live BELOW your means. In other words, even if you can afford a bigger home, or a flashier car, downsize anyway. Experts say most of us spend half of our income on those two items alone, and most millionaires buy used cars.
- The next secret: Earn two salaries, but survive on one. The thinking here is that you can pay your bills with one income, and then put the 2nd salary directly into savings. You can find part-time job opportunities through Websites like Elance.com or Guru.com.
- One more secret of super-savers: Take advantage of every deal possible. It may sound like a lot of work to clip coupons, and compare prices, every time you go shopping, but these days, you can do most of your super-saving online. For example: The Website BillShrink.com will help you get the best deal possible on your cell phone or cable plan. Coupons.com will link grocery coupons directly to your grocery loyalty card. For anything else, type what you’re looking for and the word “coupon” into Google – you’re bound to find it.