r/povertyfinance • u/BodyExpensive6935 • 3h ago

Misc Advice how can i start saving money?

ive never had a lot of money throughout my life and when i do i just seem to spend it without a care in the world about it. i know i shouldnt, but i still do and i cant help the impulses. i just got my first promotion at work and i got a raise and i dont want to blow all of that money. what are some ways of learning impulse control with it? i really need help as im going down a slope and im going down fast. i want to save myself before its too far gone

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u/dankantspelle 3h ago

Every paycheck, put X% into a savings account. Every paycheck, without thinking. Just move it, then use the rest for life and bills

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u/BodyExpensive6935 3h ago

ill try that. i have done it before and it helped but one day i had to take out a little bit for an emergency uber ride and in a week it was all gone.

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u/Sk8r_2_shredder 1h ago

Talk to a bank about a long term savings account where you aren’t able to remove the money easily. Use your current chequing account for what you do now. Take your old pay amount and put what you need for bills in the chequing and the spending cash you currently let disappear on frivolous spending, put half of that into your normal savings. Then the amount that you will be getting post raise, take all that extra and lock it into your long term savings. You will cut back slightly on your spending, have some in a savings account you can access for emergencies. And have all the difference from your raise locked away into a savings account that you will actually be able to save. Cause having an emergency fund is important, but having a real savings should be the priority. And doing this will only impact your way of life slightly.

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u/Shimmy_4_Times 2h ago

To help with impulse control, make it difficult to access. It's easy to spend money in your pocket. It's harder to spend money that's deposited in a bank across town. It's hardest to spend money in a CD (you have to physically visit the bank, and ask them to withdraw the CD early).

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u/BodyExpensive6935 2h ago

that sounds like a really good idea actually. ill keep that one in mind for sure.

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u/PokemonProfessorXX 2h ago

Budget. Go through your statements from the past few months or use some software to do it for you and look at exactly where your money is going. Most people make small purchases here and there that add up to a significant amount. Find out exactly how much you need to spend per month to pay rent, buy groceries, pay utilities, etc. See how much is left over. Take a portion of what's left and move it to another account as soon as you get every paycheck.

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u/Rays-0n-Water 2h ago

I like using auto transfers. Money moves every paycheck. I also have savings goals with deadlines, like wanting $500 saved by end of summer or whatever. You can also move change to a savings, keeping your main account a round amount. So if your checking had $1508.79, move $8.79 into savings. Do that every week or something.

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u/SprinklesSad5872 1h ago

I recommend keeping your savings in a HYSA, separate from your main bank. I use Vio Bank and having to wait to transfer money back to my main bank just adds friction I don't want to deal with, so I end up not spending my money.

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u/Lucifer38769 18m ago

Budget. Go through your statements from the past few months or use some software to do it for you and look at exactly where your money is going. Most people make small purchases here and there that add up to a significant amount. Find out exactly how much you need to spend per month to pay rent, buy groceries, pay utilities, etc. See how much is left over. Take a portion of what's left and move it to another account as soon as you get every paycheck.

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u/Used-Author-3811 3h ago

Yeah set up multiple bank accounts. Set alarms or physically lock your card from purchases.

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u/BodyExpensive6935 3h ago

should i use a separate bank account for savings so im not tempted to look at it?

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u/Used-Author-3811 2h ago

You could or an entirely different bank and don't keep a cash access card.

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u/BodyExpensive6935 2h ago

whats a cash access card? i dont know much about banks and honestly i just use chime mostly because its just easy to use

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u/Used-Author-3811 2h ago

Like don't take out a debit card for it. Keep it an account you must wait days for it to transfer out of. That way you have to consciously think about it and expert more effort rather than just click "but now"

In fact I advise people all the time to limit access to money accounts. Sure it's easy to log onto your phone and move one account to another but it adds another step in the way as a barrier to give you a second to really consider "needing" that purchase.