MONEY MANAGEMENT

15 Easy Ways To Save Money In Your 20s

Pinterest LinkedIn Tumblr

Saving money can be a daunting task, especially when you’re in your 20s and just starting out on your own. With so many new responsibilities and expenses to manage, it can be challenging to find ways to save money without sacrificing your lifestyle. However, building good money habits early on can help set you up for financial success in the future.

In this article, we’ll explore 15 easy ways to save money in your 20s, from creating a budget to cutting back on unnecessary expenses. By implementing these strategies, you can start building a solid foundation for your financial future, regardless of your current income or financial situation. Whether you’re saving for a big purchase, building an emergency fund, or planning for your retirement, these tips will help you get there faster and with less stress.

So let’s dive in and learn how to save money in your 20s!

How To Save Money In Your 20s?

Save Money In Your 20s

1. Spend Less Than You Make.

My very first tip may seem obvious but believe it or not many people follow it and that is to spend less money than you make.

Now you may be thinking duh I know that! but it is just so easy to just keep spending and spending without realizing that you are even doing it then all of a sudden you are getting that text from your local bank account that you only have $10 left and that is not a good message, we are aiming to get none of those this year.

2. Create a Budget.

A great way to make sure that you are spending less than you make is to create a budget for yourself. The best way to start here is to differentiate between your needs, your wants, and your savings.

  • So needs are like paying rent, paying bills, and buying groceries.
  • Your wants are things like buying that new bag that you have been looking at and going out to eat as often as you want to.
  • Savings are all the money that you have to put aside each month to pay down your debt or just save your money for rainy days.

Figure out how much money actually takes to sustain your needs in life and from there you can figure out how much spending money you have for those wants and how much money you can maybe set aside every month to help you pay down your debt for example.

3. Download a Budgeting App.

Download a budgeting app to help you stay on top of your finances. My personal favorite is Mint, I just really like that on the app you set goals to help you spend less when you get close to any limits that the app helps you to set then it sends a warning as a reminder that “hey you are kind of spending too much, cut it back”.

Having a budgeting app is like having a friendly little voice in your ear that kind of just keeps you on track and keeps you in check about how much you really have in your account.

4. Track Your Purchases.

Control your spending by tracking your purchases, this is one that I am really guilty of, I am just out there and spending and spending and spending, and then all of a sudden I am like  “Maybe I should check my bank account” and it is a lot lower than you would like to see and observe your flipping through your purchases like how did I spend this much money and when it adds up, it adds up big. This is something that comes with having debit cards and credit cards, it doesn’t feel like money so it’s easy to just keep swiping and you have no idea how much you are even spending.

At the end of every day, or if you don’t have time for that at the end of every week sit down with all your receipts always keep your receipts, and write down what all your expenses were. When you actually see in front of you how much money you are spending, you are probably going to want to stop spending that much.

5. Have an Emergency Fund.

There are so many reasons why you should have an emergency fund. Obviously, if you are in a pinch you don’t want to be like “I am completely broke and I can’t do this”. Even if you have the support of your parents and they are in a position where they can not help you, you wanna have that emergency fund so that you never have to ask for your parent’s help again.

You can do that just by setting goals for yourself, maybe at the beginning save $250 then after that save $500and then $1,000 and you just keep setting those goals and figure out how much money can take out of your paycheck every time you get one and set it aside for that fund. That way if anything bad happens you are not gonna be totally screwed.

6. Sell Things You Don’t Need.

One of the easiest ways to save money in your 20s is by selling things you no longer need or use. This could include clothing, electronics, furniture, or other items that are taking up space in your home.

You can sell these items online through websites like eBay, Craigslist, or Facebook Marketplace, or you can have a garage sale or sell items to a secondhand store. Not only will you make some extra cash, but you’ll also declutter your living space and make room for the things that matter most to you.

7. Live at Home.

Yes, you should live at home for as long as you can, so I am sure a lot of people are reading this article because they wanna know how to save money to move out or have moved and they want to figure out how they can better manage their finances, But honestly living at home will save you so much money.

There are so many huge expanses that come with not living at home anymore and it is a giant change, so if you still have the option to live at home I highly recommend doing that and saving as much money as possible for as long as possible.

8. Stop Hanging Out With Your Friends.

While it’s important to have a social life, it’s also important to be mindful of your spending habits. Going out with friends can be expensive, especially if you’re constantly dining out or going to bars.

Consider other ways to hang out with your friends that are less expensive, such as hosting a game night at home or going on a hike. You can also suggest trying out new recipes and cooking meals together instead of eating out. By finding more affordable ways to socialize, you can still have fun with your friends while also saving money.

9. Don’t Go To Expensive Coffee Places.

If you’re someone who enjoys a daily cup of coffee, consider making it at home instead of buying it from expensive coffee shops.

Investing in a good quality coffee maker and some quality beans can save you a significant amount of money in the long run. Additionally, consider bringing your own reusable mug to work or school to save on the cost of disposable cups. If you do go out for coffee occasionally, look for coupons or deals to help reduce the cost. By being mindful of your coffee expenses, you can save a significant amount of money over time.

10. Stop buying Because It’s on Sale.

One of the biggest mistakes people make when trying to save money is buying items just because they’re on sale. While it may seem like a good deal at the time, if you don’t actually need the item, you’re not really saving any money. In fact, you may be spending more money than you intended.

To avoid this, make a list of the things you actually need before going shopping and stick to it. If you see something on sale that you don’t need, resist the temptation to buy it. Instead, save that money for something you really need or want in the future.

11. Meal Plan.

Another easy way to save money in your 20s is by meal planning. By planning your meals in advance, you can avoid impulse buys and unnecessary trips to the grocery store.

Start by making a list of the meals you want to make for the week and the ingredients you’ll need. Then, go to the grocery store and only buy the items on your list. This will help you avoid buying extra items that you don’t need, and will also help you avoid eating out, which can be expensive.

12. Buy In Bulk.

Buying in bulk is another great way to save money in your 20s. When you buy in bulk, you can often get a lower price per unit, which can add up to big savings over time. However, it’s important to only buy items in bulk that you know you’ll use. For example, if you eat a lot of oatmeal for breakfast, buying a large bag of oats can be a great way to save money.

On the other hand, if you don’t eat a lot of cereal, buying a large box of it may not be the best choice. Additionally, make sure you have enough storage space for the items you’re buying in bulk.

13. Buy used Furniture.

Furnishing your home can be expensive, especially if you’re buying brand-new furniture. However, you can save a lot of money by purchasing used furniture instead. Not only is used furniture cheaper, but it’s also a great way to find unique and one-of-a-kind pieces that can add character to your home.

There are several ways to find used furniture, including thrift stores, garage sales, online marketplaces like Craigslist or Facebook Marketplace, and consignment shops. When buying used furniture, be sure to inspect it carefully for any damage or wear and tear. You may also want to consider negotiating the price with the seller to get the best deal possible.

14. Cancel Subscriptions

In the digital age, it’s easy to accumulate subscriptions to various services such as streaming services, gym memberships, magazine subscriptions, and more. While these services may seem affordable individually, the cost can add up quickly, especially if you’re not using them frequently.

Take a look at your subscriptions and evaluate which ones you really use and enjoy. Consider canceling any subscriptions that you don’t use often or that you can live without. You can always resubscribe in the future if you miss the service.

15. Never auto-renew your insurance policy.

Insurance policies can be expensive, but they are necessary for protecting your assets and financial stability. However, you don’t have to pay more than necessary for insurance. One way to save money on insurance is to never auto-renew your policy.

Insurance companies often raise their rates over time, and you may be able to find a better deal by shopping around and comparing rates from different providers. Additionally, you may be able to negotiate a better rate with your current insurance provider by threatening to switch to a competitor.

By being proactive and shopping around for insurance, you can save hundreds or even thousands of dollars each year. Just be sure to read the fine print and understand what your policy covers before signing up for a new one.

The bottom line

Saving money is a crucial habit to develop in your 20s. By following some easy and practical tips, you can achieve financial stability and build a secure future. The 15 ways we discussed in this article, including budgeting, tracking expenses, reducing unnecessary spending, and investing in yourself, can help you save money without sacrificing your lifestyle.

It’s essential to remember that saving money is not about living a frugal life or depriving yourself of fun activities. Instead, it’s about being conscious of your spending habits and making smart choices that align with your financial goals. With some discipline and commitment, you can make significant progress towards achieving your financial goals in your 20s.

Hi, my name is Badr and I’m the creator of “Make Money For Sure”. Welcome to my blog! They say the best way to learn something is to teach it to others. And this is ultimately what this website is all about. I am more than happy to share with you the knowledge and experiences I have accumulated (and still accumulating) in my online journey, In the hope of somehow helping you in yours.

Write A Comment

Pin It