Do you feel like you may never have enough saved for a down payment or your retirement? You’re not alone! Thousands of Canadians are struggling to get a handle on their savings accounts too. But it’s easier than you think – with some dedication and a strict financial plan in place, you can reach your financial targets in no time. So when you’re ready to roll up your sleeves and get to work on your savings, try these seven tips to help get your savings back on track.
Create a Strategy
First and foremost, it’s important to have a financial goal that you wish to achieve. Once you have a better understanding of what that is you can create a strategy for how you will save each month to reach your goal without burdening your lifestyle.
Review Your Options
There are plenty of financial tools you can utilize to save money than just through a savings account. You may find that a Registered Retirement Savings Plans (RRSP), Tax-Free Savings Plans (TFSA), and Guaranteed Investment Certificates (GIC) are better options for your goals.
One way to get your finances back under control is to consolidate your debt. By moving all your debt instruments under one credit line, you can obtain a lower interest rate and one easy monthly payment. This will give you more control over your money and help turn your financial situation around.
Setup Automatic Payments
To get back on track with your savings, you need to put a proper payment strategy in place for both your credit accounts and your savings accounts. The best way to do this is to set up automatic monthly payments. This way you are paying a little debt down each month and putting some money away in your savings at the same time.
Search For Better Rates
If you believe you’re spending too much money on your mortgage or bank fees, it may be time to shop around for a better deal. To find better rates, hire a professional advisor who can look through all your expenses and help determine what better options are available to you.
Make Lump Sum Payments
It may be tempting to go out and spend your tax return or bonus money on some fun activities or new clothes, but it’s best to put it into your savings account. By adding lump sum payments to your savings, you will reach your goals much faster.
Manage Your Books
By tracking how you spend your money on a day-to-day basis, you’ll start to see what areas you can trim down on to save more money. When your books are properly managed, you can get a clear picture of where you’re overspending on your expenses, and find ways to cut back without impacting your lifestyle.
When you’re ready to get your savings in order, we can help! At Priti Lad, our registered chartered accountants have the expertise to manage your books, create a financial plan that works, and give you the guidance you need to reach your financial goals as fast as possible. Call us today!