How To Save Money After Lockdown
Lockdown has had its positives and one of them is the amount people have been saving; a survey by Moneybox found that nearly half of its users were saving more during lockdown than usual. Barclays Bank also found that more than a third of millennials have saved over £500 during these restrictions. However with a hint of normal life resuming, as shops, restaurants and bars reopen, everything you have saved may be in jeopardy.
So how can we take some of the good financial habits we’ve gained over the last few months with us to set ourselves up for a brighter financial future without undoing all the hard work we did in lockdown? This week we’re sharing some top tips on how to continue to save your money as lockdown continues to lift.
There are many simple ways to make saving and investing part of your everyday life. By starting with roundups on your everyday purchases, you can save and invest without even thinking about it. Round your spend to the nearest pound and add the remainder into a savings pot, every little helps.
It may be tempting to go on a spending spree now that shops are re-opening, especially if you have been lucky enough to be saving more than usual during the lockdown. However, an important rule when it comes to saving is to always pay yourself first. When people were asked about their biggest money lesson learned from lockdown, a majority said it was realising the importance of having emergency savings. Set yourself a weekly direct debit, or a payday boost to lock away some savings and avoid the temptation of spending it on anything else. This is a great way to build a savings habit without making huge changes to your lifestyle.
Picturing your goals can be a great motivation when you’ve been spending way too much money. Are you saving for a car, a house, or just a rainy day? Create different saving pots and add a certain amount each day. Working yourself towards a goal is always the best way and goals can be reached with the help of a little bit of saving.
Now this may sound too good to be true, but there are some great schemes out there that could actually give you free money. If you’re saving for your first home for example, you can get up to £1,000 every year from the government with a Lifetime ISA. With the Help To Buy ISA coming to an end last year, the Lifetime ISA is now the only product available to help young people get on the property ladder, so for the first time buyers out there this isn’t one you want to miss out on.
As you can see there isn’t much to it when it comes down to saving up all those pennies all you need is a little help and motivation. Through the hard times we think of our future good times, that house you’ve always dreamed of could just be right round the corner.
Got any more tips for us? Let us know in the comments!