Eager to improve your home but short on funds? It’s easier than you might think to stash cash for a renovation project. Try the following money savings tactics, and you’ll be listening to the music of your home remodel or makeover before you know it.
Save Money by Automating
If you’ve ever tried to save a chunk at the end of every month for your home project only to discover there’s little to nothing left after you’ve paid your bills, you’re not alone. Change tactics and pay yourself first with small automatic savings withdrawals throughout the month that are transferred from your checking into your savings account.
Breaking the savings up into smaller payments often works, because there’s less of a chance that you’ll miss $50 taken out once a week or $25 taken out twice a week compared to $200 at the end of the month or $600 every three months.
Earmark Unexpected Income
When you get unplanned money like a tax refund or surprise cash gifts, remain focused on your home improvement project goal and mentally and physically deposit the money into your home improvement savings account without even considering spending it on anything else.
Spare change may seem small and insignificant, but talk to savers who have amassed jars full. They’ll attest that when you empty your pockets on a regular basis, just a handful of coins can add up to big money over time. For instance, save just one loonie a day and you’ll have about $178 in six months’ time. Increase that to three loonies a day and you can spend the resulting $534 on that new appliance you’ve been wanting.
Save Money by Rounding up Your Checkbook
Rounding up every time you record a check or use your debit card is another easy and painless way to set aside small sums of money that end up amounting to large savings. If you write a check for $47.03, rounding up to $48 saves another loonie for your home improvement fund. Total the rounded up money at the end of each week and make a deposit into your savings account.
Bring in Extra Money
Look at your hobbies and skills and consider starting a business based on what you like to do. For instance, are you good at certain academic subjects? Put the word out that you’re available for tutoring. Or maybe you’re an expert with home repairs and can moonlight as a handyman.
Also consider selling items that you no longer want or need. Search your closets and pull out unwanted and unused items and resell them online.
Save Money on Food
Of course, you need food to live, but this is one area where you have a little leeway. Take a look at your food bill and then set a budget that is 10 to 20 percent less than what you are currently paying. Then challenge yourself to meet your new food budget by getting creative with meals, clipping coupons and paying close attention to sales.
Shaving $20 a week a week from your food bill for six months will save you about $480 for your home improvement savings fund.
While all of these savings tricks are powerful on their own, combine them together and you’re likely to see your home improvement savings account fill up in no time.
By Julie Bawden-Davis
Are you trying to save money for your home improvement project? Then you should speak to the Financial Experts on EiEiHome.com.