All of My Actually Helpful Saving and Money Mindset Tips
Saving, finances and money are subjects that I once hid from at any opportunity. After all, these are taboo topics, right? Right?
Wrong. Talking about money is one of the most empowering things to me and, as we continue to navigate a Cost of Living crisis, it’s been a big talking point between my friends and I. So, I thought I’d bring our conversations here, to you. This is the first in my series about saving and getting savvy with finances, all about how to actually save. Stay tuned for features about investing, managing monthly income, my own money diaries, and more.
Money and me
Ever since I had a part-time job waitressing, I’d been told to live within my means and make sure that there’s ‘less out than in’. In my teenage years, this just meant that I had £5 left over before my next payday – absolutely fine when all you have to worry about it which Topshop top to buy next.
This laissez-faire attitude towards money continued as I snagged my first grown-up, full-time job. I had little financial commitments, bar a phone bill and some housekeeping money to my parents, and suddenly had grown-up money to spend. Score! Now I could save faster for the Chanel bag I’d coveted since I was 15!
Finally, this changed when I started my freelance copywriting business and I had to look after my own taxes. I learned to put away 30% of my earnings to cover income tax bills, I learned to save in an emergency fund for when client payments were late, and I learned how to live frugally when invoices became months overdue. Even so, it wasn’t until I was 28 that I decided to properly begin saving for a Really Big Purchase – a property of my own – that I realised I had no idea how to successfully save and be savvy about my finances.
As you might already know, I started 2024 in the midst of buying my first-ever solo-owned property and realising a dream I’d been working towards for six years. I saved beyond my goal, felt ridiculously proud and sailed through to being offered a mortgage and all the rest of it. In the end, I pulled out of that purchase, but now I feel more secure than ever in my finances and proactively saving for such a goal.
Lots of readers have since reached out to ask how I saved to buy solo, and to quiz me about my beginner investing girlie ways, and I am definitely not one to gate-keep!
Set goals
First up, it’s important to set a goal. Are you saving for a holiday? A house deposit? A wedding? Or just towards a rainy day fund? Money-related goals always feel tricky but, believe me, I’ve been there before. I’ve saved for all sorts of things and the key for me has always been to have a clear vision of what you want. My close friends have known this for years but I’ve even got a savings fund labelled ‘Taylor Swift’, which I save into monthly for merch drops, concert tickets and all the expenses that come with a gig. We’re focused, financially savvy Swifties here!
Saving for ‘nothing’ can leave you feeling unfocused and untethered, making it easier to slip back into old ways.
Saving for ‘nothing’ can leave you feeling unfocused and untethered, making it easier to slip back into old ways.
Use a budget sheet
Once you’ve set a goal, then you need to understand your budget. A budget sheet isn’t a miracle worker: it won’t conjure up magic money. You need to use it as a tool to get on top of your financial situation. Set an alarm on your phone and commit to updating this weekly for at least a couple of months. I’ve used the same spreadsheet since 2017 and it was instrumental for me in seeing where my money actually goes. Once you’ve filled in your income and expenses, you’ll be able to identify how much you can save (effectively, anything leftover). You’ll also soon see where you can cut back or spot how much additional income you could make in order to hit your goals sooner.
Pick up my easy Daisybutter Budget Sheet for just £8 to start getting on track. There’s a complimentary version for freelancers and self-employed people.
Automate your savings
I am a huge fan of automating my savings. This simply means that my money is ‘automatically’ saved when I am paid. Once I’d set up my budget sheet with all of my ins and outs, I added my saving sums into the sheet too (you can find this towards the bottom in the Daisybutter Budget Sheet). This was the ideal amount for me to comfortably save each month without impacting on my non-negotiable expenses (bills, car payments, rent) or my fun money.
To automate your savings, simply set up a Direct Debit or standing order to leave your primary bank account (where you are paid) on the day you’re paid. The same sum is deposited every time and you haven’t had to manually do this. I used to find that manually depositing my savings felt like a mountain to climb.
Reconfigure your bank accounts
On that note, reconfigure your bank accounts! It’s good to take a look at what your bank accounts are offering you in terms of interest rates, but also member bonuses and perks. In the current climate, many banks are offering saving accounts with incredible interest rates. Shop around, use Money Saving Expert, and save away!
UK savings bank accounts I use and recommend (correct as of February 2024):
- Chip Instant Access (4.84% variable AER):
- Join Chip with my referral code – CHIP-EWZ219 – and you’ll also get a 0.25% boost to your interest rate. This exclusive 0.25% AER boost is applied on top of your existing Chip Instant Access interest rate (4.84% AER variable) for 90 days. To qualify, you just need to join Chip, deposit £5000 or more into a Chip Instant Access account and keep your deposit for 30 days.
- NatWest Digital Regular Saver (£1-5000 – 6.17%, save up to £150 a month)
- MoneyBox Stocks and Shares ISA (automated weekly deposits into an investment ISA, where you can select low-, medium- or high-risk investments).
Consider investing
Next up, investing. Now I am about to get a bit The Wolf of Wall Street on you here, but I hopped and skipped into my investing journey last year and can’t believe I didn’t do it sooner. Investing is surprisingly accessible today and it isn’t as difficult as it seems. This is certainly more of a long-term option, but it is great for a ‘saving’ that builds up over time with minimal effort if done correctly. Put simply, you invest into shares of companies and hope to make money back – and then some – if the company does well in upcoming months and years. I began my investing journey on the Trading 212 app, which is great as it allows you to buy fractional shares, if you can’t afford one whole share of a stock. I’m publishing an entire post about investing on Wednesday, so please ask questions below and I’ll make sure I cover everything!
Join Trading 212 with my referral link and we’ll both get £100 worth of shares. This is a high-risk investment and I am not responsible for any financial losses or gains.
Change up your spending mindset
My final simple saving tip is to change your spending mindset, which will come hand-in-hand with setting goals and regularly using your budget sheet. Seeing your expenses in black and white helps you to confront your spending: you can still enjoy your special little treat iced coffees, but perhaps you’ve spotted that you can cut it back by a coffee or two and save it, a step towards your goal of taking a big holiday with your bestie. Again, this is where setting your goal is essential – even if that £5,000 sounds unfeasible, perhaps the fact it’s your Big Holiday 2025 Fund that makes it more palatable.
Note: please don’t take any of the figures, goal examples or numbers in my Budget Sheet as gospel. These are all examples and shouldn’t form the basis of what you’re aiming for! Finances are so personal and change all the time.
Pick up my easy Daisybutter Budget Sheet for just £8 to start getting on track. There’s a complimentary version for freelancers and self-employed people.
Found these tips helpful? Please consider sharing the post with friends, on Pinterest or on your social media platforms! And, I’ll be back with an investing post next in the series.
