Money Saving Journey

Money Saving thoughts

So you want to start saving more money? Here are a few of my top tips on how to either start saving money if you currently do not save at all, or save more if you are already putting some money aside.

In my early twenties, my train of thought was very different regarding saving money. With all the adverts on TV for pensions giving the disclaimer at the end “You may get back less than you paid in”. Hearing these adverts over and over a second thought was not given to pensions.

However, recently I discovered Vanguard and came to realize the power of compound interest. My whole view shifted as I began playing around with an online compound interest calculator. How seeming small amounts of money over the long term would compound into large amounts.

After learning that the average annual return of the S&P500 is around 8% after around 100 years. Now, of course, some years it may drop and some it may soar but over a period of say 10 years, an 8% average should be realized. Quickly I realized I had missed out on 14 years of growth, now being 30 and starting work at 16.

How to start saving money

I have been known in the past to have expensive taste in the past. It may be a nice swiss watch see Tudor North Flag here. Expensive handmade shoes from England, extremely expensive French headphones namely the Focal Clear. I could go on.

Obviously the first thing to do is not buy luxury items. Sounds obvious but what helped me was the following.

  • Pay yourself first every payday into a separate account than the one your salary goes into. Try and transfer 10-15% of your salary this way each and every payday.
  • Get rid of that car! Yes, I bet you drive a nice car that is costing hundreds every month in payments right? I have owned the same car for nearly 6 years and I paid cash for it – It has barely cost me a penny since. I suggest you do the same.
  • Stop spending money on Coffee and junk food while out and about – Or like me get a pre-paid card and give yourself a budget to spend guilt free. This way I can see how much I actually spend as a notification is sent to my phone instantly. Monzo is the card I use, coming to the USA soon – See HERE.
  • Evaluate ALL your subscriptions. Do you really need that expensive cable TV when over the air channel and online content such as Youtube provide endless hours of content. Netflix? I can let this one slide as it is pretty cheap for again countless hours of quality content. Spotify/Apple Music? No thanks, unless you are using them all the time then the free Spotify is fine especially at home. I bet you are paying for Spotify and barely using it right?
  • Invest – What I hear you say? Yes, start investing. For me this was a game-changer, I am still able to “spend money” but it is going to something valuable. Something that will make more money and appreciate over time. See my posts on Investing and Finance HERE.

Having enough money for the future

Money Saving

By doing all the above you and I will have an income for our future. It does not matter if you can only currently spare $50 a month, the best time to start this journey is now. Likewise, the best to plant a tree was yesterday – the next best time is today!

We live in a society of abundance it is all around us. Not all of us realize it, the vast majority of us live our lives well beyond our means. I am fortunate to have never been in debt, so although I started my Investment/Money journey later I have a head start as I’m not weighed down with debt, be that student loans or car loans.

My ultimate goal is to retire by 55! A big ask but I have 25 years to make this a reality. Guys, we only have one life do you really want to work until you are physically unable to? Not me I want to do more traveling, see the world, meet the people that inhabit it. Westerners are so lucky that we have the ability to do this, it is just most of us “We buy things we don’t need with money we don’t have to impress people we don’t like.” As Dave Ramsey said.

Generate more money

Start your journey now – Don’t just save more money, make more money! My passive income goal is $200 a month as discussed here and HERE. We live in such a time that making extra money is not all that difficult.

I do not want to work more hours in my day job as that would defeat the point. What I am proposing is earning passive income as discussed via the channels above – putting in a few hours here and there, then seeing the benefits while you sleep is the goal. Only a few months into this and small amounts of Passive Income are already being generated, I am confident that this small amount will continue to grow. Eventually allowing me to save and invest more, especially if you include dividend reinvesting to this it will snowball generating more and more income. Allowing me and you to either start paying bills with the money or if enough wealth is built up – go traveling!

If you have made it this far thanks for reading, why not bookmark my site? I aim to create new post roughly bi-weekly and will continue to improve my site. If you have any questions or concerns hit up my Contact page and drop me a message. Unrelated it may be, or travel based I’m always here to help if I can.


Sean C

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