Newly married couples take savings too lightly, thinking that it is not the right time to save just yet. The truth is that the more you procrastinate on your saving, the more are the chances of not being able to save enough for your future.
Savings are essential for young couples in relationships, young married couples and even new couples, for it is never too early to save. It is said that your saving goals are more achievable when you are in your 20s and 30s. Hence it is necessary to start saving early.
15 clever ways of saving money as a couple
Poor money management skills can wreck a marriage early on. Some relationships simply collapse because of money management issues. You might feel that managing your own money is itself a huge challenge, think about including your partner’s earnings and bills!
However, with right planning, commitment and dedication to save should help you get your finances straight. Start with the below tips, and give yourself and your partner some time before you start seeing results.
1. Setting saving goals help
It is very important to set goals when it comes to saving money. Make a list of the goals you want to achieve as a couple in future. Think about things like family planning, children’s education, family vacations, retirement, etc. and make the list accordingly. Make sure to pay off your debts first through savings.
Periodically review your goals and make changes if needed.
2. Attain financial compatibility
Both partners need to be on the same page when it comes to financial planning. The needs and wants of both need to be taken into consideration in order to attain financial compatibility, or else reckless planning can hamper the harmony of your relationship in future and lead you to uneven spending with more debts than usual.
3. Differentiating between needs and wants
You need to keep asking yourself whether you want something or you need it. Some people have a craze for clothes, gadgets or accessories and end up buying a lot of unnecessary stuff. Some often get trapped into deals that look very attractive but are not worth the money.
Thus, differentiating between your needs and wants can help in saving big and helps you focus on what is essential.
4. Do fun things indoors
Avoid eating out more frequently. Most couples, especially young married couples and new ones, go out on frequent dates by eating in fancy restaurants or going to expensive concerts. Staying in and cooking is a better option. You can cook together and enjoy each other’s company. Have a romantic dinner at home while watching a movie of your choice.
The idea is not to always stay indoors, but to minimise the frequency of your outings.
5. Go local, ditch branded
Buying locally manufactured items instead of expensive branded products can tend to great savings. Remember that in an attempt to look rich, you might be draining your riches. Local products are comparatively cheaper and worth the money.
Related reading: 8 fights every couple will have at some point in their relationship
If there are only two of you living together, then there is no need to live in a big mansion with unnecessary rooms. A big house runs more expensive in maintenance. Rent a flat with lower rent rates. Tiny houses are also a good idea, as the builders customise your house according to your needs. You can easily maintain a small house, and it looks warm and cosy too.
7. Tracking bills
Take some time out of your daily routine and check your bills. Tracking bills and expenses continuously helps you monitor your expenses. You see where your money is going and can eliminate unnecessary spending. Remember, spend money only on things you actually need. Moreover, you can opt for family plans when it comes to phone bills which have cheaper rates.
8. Look out for sales
You can save big during sales. Stores have attractive offers to fit your budget. It is beneficial to buy in bulk at this time. At the same time, do not go overboard. Make a list of the things you need to buy and make sure you stick to that list.
9. Remove unnecessary subscriptions
I have a friend who has a gym card which he hasn’t used in years. Its subscription fee is deducted from his account for something he doesn’t even use. Try avoiding unnecessary subscriptions like gyms, beauty boxes, magazines, journals, etc. if you are not a regular user.
10. Move in together
If you are a young couple and live separately, then moving in together is not a bad idea. You can save so much on rent, utilities and groceries. You can combine your finances and share the load. Plus, it gives you more opportunities for seeking financial advice and having financial discussions with each other.
11. Avoid using credit cards
Having a credit card just makes you more spendthrift. Remember what happened to the girl in the movie Confessions of a Shopaholic. The idea of having short-term credit can tempt you to spend more than your usual income. There are more chances of ending up in debt with the use of credit cards. Not to forget the high-interest rates charged on them. Use cash or even debit cards instead.
12. Cheap vacations
Go on cheap vacations; make use of travel coupons and offers. Look out for the best packages to fit your budget. There are places where you get special couple discounts. Book cheap motels instead of pricey hotels, because anyway you are not going to spend much time in them. Homestays in towns are also a good option as you get to eat local food and get a glimpse of local culture.
Locking up your savings in long-term investments seals the deal. You are not tempted to drain out your savings. At the same time, making safe investments helps you earn a fair amount of interest on them.
14. Setting a budget
Setting a weekly or monthly budget is one of the most effective saving strategies. You can be your own budget planner. Budgets help you cut down your expenses, and at the same time, help you focus on your financial priorities. You can do an in-depth analysis of your income and spending and set your budget accordingly.
15. Opening a joint account
Opening a joint account can be helpful for you and your partner to pay for bills and utilities. It makes it easier to split the expenses. Moreover, both at regular intervals can contribute a fixed sum so that both share the burden.
Other ways, like buying furniture from yard sales or flea markets, selling unnecessary items for money, can also contribute to your savings. Remember, saving money doesn’t mean cutting down on everything. It simply means spending smartly and managing your finances more efficiently. Savings will only bring you closer to your long-term dreams. As Warren Buffet says, “Do not to save what is left after spending. Spend what is left after saving”.