As someone who had just graduated from college and started a business, it was devastating to see my account go into negative balance at the end of every month. I knew I had to put an end to it, so instead of small savings, I set a big goal to save $5,000 in a year. Of course, this wasn’t easy, it meant saving $13 to $14 a day.
You don’t need an inheritance or a raise to do this. You just need to be consistent and spend consciously. Yes, it’s that easy, it’s possible to save more than 5,000 dollars a year just by adopting these two features.
“Mindset shifts were crucial—see my daily money mindset habits guide.”
I Tracked Every Dollar for 30 Days
First you need to understand where the money is going. To do this, track every expense for a month; it could be a cup of coffee, or even a $1.50 snack.
What I learned: After a few days, I realized that small and frivolous purchases were draining my money. When I cut out these frivolous and unnecessary purchases, I saved about $150 the next month.
I took the 30-Day No Spending Challenge
It was only 30 days, what could I lose. Yes, for a month I started spending money only for basic needs. I kept myself away from unconscious Amazon shopping, going to Starbucks, etc. Unbelievably, I realized that I saved about 400 dollars that month alone.
In that one month, I observed something more important: most of my spending was boredom and habits.
I Found a Weekend Side Job
Nowadays, many part time jobs can be found over the phone. That’s what I did and I got a pet sitting job through an app that paid me 200 to 300 dollars a month. I put the money from here directly into savings.
This additional income allowed me to be more comfortable spending on necessities.
I Made Saving Fun
I started to think twice about buying a product or service. I turned it into a game, I asked myself if I really needed this product, and I realized that it was usually an impulse purchase, not a need.
I want to give an example like this: When I don’t buy a top worth 20 dollars, I immediately direct it to my savings account. In this way, even if I save 20 dollars with small awareness, I am proud of myself.
Using Visual Followers for the $5,000 Goal
Here you will need a visual that will motivate you and stick it where you can see it all the time and I stuck it on the fridge. I drew a $5,000 thermometer, this thermometer has 10 levels and each level is $500. Every time I reached a new level I painted it and it really motivated me a lot. Each painting felt like a step towards freedom.
I Created a “No Pressure” Budget
Budget management has always seemed scary to me. I discovered that there is no need for spreadsheets or complex applications to overcome it. I overcame all my fears with the following simple but effective system.
- Needs (50%): Rent, utilities, groceries
- Aspirations (30%): Eating out, hobbies, subscriptions
- Savings (20%): $5,000 goal
I was very relieved to automate everything. Because; I almost didn’t need unnecessary fears and complicated tables for my goal of 5.000 dollars.
I Wisely Canceled and Replaced
I realized that I was spending too much time on digital media, so I canceled my subscriptions to five streaming platforms and devoted my time to reading books. I also implemented the following:
- I switched to a cheaper phone plan (saved 30 dollars a month)
- I negotiated my car insurance (saved $180 a year)
- I canceled my gym membership and exercised at home (saving $45 a month)
I was proud of myself for making such smart choices.
Breakdown of My Monthly Savings
If you want to see a table like the one below. You absolutely have to be consistent and adopt a mindset of conscious spending.
During the year it looked like this:
| Month | Amount Saved |
| Jan | $250 |
| Feb | $400 (no-spend challenge) |
| Mar | $350 |
| Apr | $300 |
| May | $450 |
| Jun | $400 |
| Jul | $500 (bonus month) |
| Aug | $300 |
| Sep | $400 |
| Oct | $300 |
| Nov | $200 |
| Dec | $250 |
| Total | $5,100 |
Final Thoughts: Small Choices Accumulate
What do you understand from this list: Is it impossible to save 5.000 dollars in one year or can I do it? You don’t need special skills and super strength to do it! Just being consistent, controlling some impulsive spending, and moonlighting if you can, will definitely get you to your $5,000 goal.
You don’t have to be perfect for that. Start now and never give up.
