How to save money fast

Have you found your savings pool exhausted? Building up your cash pile fast can be a bit difficult when economic times are tough. But what strategies can you take beyond just getting a promotion?

Here are some ways you can save cash quickly. 

Money saving actions you can take

How fast you save money is dependent on the kinds of actions you take. For the most part, you'll need to either reduce spending or increase earnings. Some of the things you can do to increase your savings include: 

1. Reduce discretionary spending  

By reducing the amount you’re spending on non-essential items, you can leave yourself with more available income. This can include streaming subscriptions, take-away, or even going to the movies.

2. Change how you eat

Considering the total cost of eating is another way to cut back on spending. Generally, cooking your own food will be the cheapest option. You can find plenty of budget recipes online that can help you save while keeping up the amount of variety you have available to you. 

3. Automate your savings

Since most savings apps are online, many of them come with handy features that can help you automate your savings. One example are round-up tools which will round purchases to the nearest dollar and deposit the difference. There are also automatic transfers which can be another helpful way of saving money. 

4. Get a budget

Budgeting is often talked about in personal finance circles, but a lot of savers neglect it. You can make them fairly flexible, acting as a spending guide that helps you keep on track. Check out how to make a budget or use our handy budget calculator to plan yours out. 

5. Build an emergency fund

An emergency fund is a pool of cash meant specifically for unforeseen financial situations like surgery, car repairs, or temporary unemployment. This is important for savings as well, since some high interest savings accounts require no withdrawals for the maximum rate. 

That’s why both savers and investors want to make sure they’ve got an emergency fund set up. That way, if anything goes wrong, you won’t have to withdraw from your main savings account, term deposit, or brokerage account. 

Get a high interest savings account to save faster

A high interest savings account is one of the best ways to save at a faster rate. With a higher interest rate, the benefits of compound interest take effect sooner. That’s why it’s important to compare savings accounts and make sure you’ve got an account that works for your situation while still maintaining a high interest rate. 

You can compare some savings accounts on our hub page or check out some of the best savings accounts for the month.