A smiling couple works out their finances at the kitchen table.

A big worry on people's minds is having savings. Whether you are saving for an item or project or just want a stash of cash for the rainy day; everyone thinks about the concept of having a savings but not many people have one or know how to work towards having one that is anything substantial.

Here are some easy steps and tricks to get off on the right foot.

1. Know Your Expenses

Knowing where you spend your money is the first thing you need to understand. There are your necessities like rent, utilities, transportation, and food (this does not mean going out to eat). Then there are the wants, entertainment, eating out, subscriptions, and anything that is not vital to your living. Knowing what these numbers are is the start to not only saving but seeing the state of your financial health.

2. Deciding on Cuts

Are you going out to eat more than you should? Do you have subscriptions to things you just don't use very often if at all, is online shopping eating your paycheck almost as fast as you get it? You are not alone, just about everyone has something that they are spending too much money on every month. At this point, you have to choose which things to cut or restrict to get yourself into a better place.

3. Budgeting

Lots of people think about what budgeting might look like but how many actually take the time to make one. Start with your average income then your necessary expenses (just the needs not the wants) and sub-track those expenses from the income. An easy way is to take what remains and split it in half. Half can be used for the wants and half for savings. Another way is to decide how much money you want to spend each month (should always be less than what you make in lean months) and that is your budget. Anything you make over that is considered excess income, all excess income goes into savings.

4. Paycheck Splitting

Most workplaces have a direct deposit option and if they do there is a good chance that they have an option to deposit parts of your paycheck into different accounts. You can usually choose either a dollar amount or percentage of the paycheck to go into your savings. This can be great if you know you want to be setting aside a certain amount and you don't want it to even be an option or you have trouble setting that money aside when given the option.

5. Spare Change

Some banks have this as an option but if they don't you might have to police yourself. It's really simple, every purchase you make is rounded up to the next dollar and that spare change goes into savings. Again, some banks have this as an option and if they do that makes your life so easy because it makes it passive, but it is going to be a slower building of that savings. If your bank doesn't have the option, then you can keep track of it for yourself then transfer it at the end of your month.

These are just a few things you can do to get yourself on the right track and start saving, it's more than just putting money aside, it's about knowing where your money is going, to begin with. Start there and work your way up and you will get it.

If you are burdened with high amounts of credit card debt and are struggling to make your payments, or you’re just not seeing your balances go down, call Timberline Financial today for a free financial analysis.

Our team of highly skilled professionals will evaluate your current situation to see if you may qualify for one of our debt relief programs. You don’t have to struggle with high-interest credit card debt any longer.

Call (855) 250-8329 or get in touch with us by sending a message through our website https://timberlinefinancial.com.