How and Why to Save $1 Every Day

October 23, 2017
Saving money can seem extremely difficult. You might be able to put a few dollars in the bank one month, but the next month you could be hit with unexpected expenses that could force you to withdraw that savings to cover the surprise costs. Sooner or later, everyone will have to deal with unexpected expenses. If you have a low or even a moderate income, these costs can make it seem impossible to build wealth.
How and Why to Save $1 Every Day

One option for building wealth is to put a modest amount of money in the bank and keep it there no matter what. If you are hit with unexpected repair costs or travel expenses, you can get an online personal loan to cover the bill. You can then use your income to pay off this loan in installments so that you do not have to touch your savings.

It only takes $1 per day

Your first goal can be to save one dollar per day. This should leave you with enough money to live, even if you have to pay back an online personal loan from time to time. The dollars will add up over the months and years. If you have the money in an account that draws interest, the amount will grow a little bit faster. When you have enough, you can transfer the money into an account or a mutual fund that will give you a higher interest percentage.

How can you save $1 per day? Here are some ideas to help you:

  • Buy generic and pocket the difference. Generic brands are often cheaper than name brands, but they are made from the same materials and ingredients. If you can go generic every time you buy food or clothing or household goods, you will save a few dollars each time. You can use the saved money to put towards your $1 per day savings goal.
  • Skip the coffee shop and make it at home. If you get coffee from a shop every day, you can save a dollar easily. Simply buy a bag of coffee beans to make at home. You may have to invest in a coffee maker at first, but over time you will save money.
  • Use cash and save your change. If you want to physically see your savings, you can use cash for all your purchases. Then, put one dollar worth of change in a jar every day. Eventually, you will want to take this coin jar to the bank and deposit it, but if you need motivation, seeing the jar fill up with coins as the days go by can help you stay excited to reach your savings goals.
  • Cut back on your cell phone bill. You could get a cheaper cell phone plan and use free wireless internet at work, at home or in cafes. When you have to do something that requires data, wait until you have a free Wi-Fi signal. If your cell phone bill is $50 or more per month, you may be able to save $1 per day by just doing this.

Some important things to do when saving $1 per day.

  • Eventually, you will need to put the money in an interest-bearing savings account.
  • Do not touch the savings for any reason.
  • Be consistent! Save every day with no “off days.” This is a worthwhile strategy ONLY if you are consistent and save every single day.