Although it’s not always easy when you have a family, if you can afford to save some money each month it’s a great idea to get into the habit of doing so. Whether it’s for something specific like a holiday, a car or a deposit on a home, or just so you can have some money aside for a rainy day, having savings means you and your little ones are more secure and prepared for the future.
The first thing you need to do is make sure you’ve got a dedicated savings account. Keeping your savings in a separate account makes it easier to save as you can’t accidentally eat into your savings and you can easily set up a direct debit so that a set amount of money gets transferred into the account every month. Barclays offer savings accounts which allow you to save a set amount over a given period, and they also have a mobile banking service so you can easily transfer money into your savings if you ever want to top up the pot.
One of the best ways to ensure you stick to your savings plan is to set goals. Having something you are working towards and getting the reward of meeting particular milestones is a great motivator, as it reminds you that putting that money aside is going to pay off in the long run.
There are several ways to set goals to help you save. If you are saving up for something specific like a big family holiday you’ll know what your ultimate goal is, but setting interim goals for booking things like flights and accommodation can really help. If you establish exactly when you need to have each chunk of money you can plan ahead for how much you need to save each month.
If you’re saving for something more long term such as a deposit on a home you can still set goals for monthly or yearly saving, and it may be particularly helpful to have a direct debit so you don’t need to think about putting money aside every time you get paid. Saving for a deposit is a little less concrete because you probably don’t know exactly how much money you will need or exactly when you will need it. Instead it will help to set a rough time by which you want to have saved enough cash, and when you get closer to the decision you can set more specifics goals.
Goals are a strong motivator and they help you to keep track of how your saving is going, so you can plan ahead and know when you are going to reach your targets. For more tips on saving, have a look at the Money Advice Service website.
