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If you’re earning a consistent income, chances are you have more money than you think.  What does your savings account look like?  Doesn’t have as much as you would like- well, you’re not alone.  Most people wish they could save more, but just don’t see that they have any money to spare.  The reality is- we probably all have an extra $100 to $200 every month that could be saved, if you just know where to look for it.

I’m not talking about the handful of change you might find under the couch cushions, either (although if you look and find money in there you may as well put it in your piggy bank!)  First, consider where your money is going.

Make a list of all the things you pay for each month: your car loan, insurance, house payments or rent, utility bills, gasoline, phones, etc.  At this point, you should see that you have money left over from your income after you pay each of these expenses- and you’re probably thinking that you definitely don’t have all of that money every month!

That’s normal.  You forgot to write down the “extras”.  Do you get a cup of coffee on your way to work every morning?  Do you grab lunch every afternoon someplace?  How often do you order take-out as a family or go out to dinner?  While you may think your coffee is only $1.50; if you get one cup a day, five days a week, you’re looking at  $7.50 a week, or $30 per month. (What about those of you who grab two cups of coffee out every day?!)  As a coffee adict myself, I would never recommend anyone skip their morning coffee- but it certainly makes financial sense to make the coffee at home and put it in a travel mug on your way to work!

Getting take out once or twice a week is common in many families.  If the average take-out dinner is $35 for the family and you did this just once a week- you’ve spent about $140!  Cut back the take-out to just once a month and save the rest and you’ll see a considerable difference in the amount of money you have available for saving each month.

The point of this exercise is to show you that there are places you spend money that you probably don’t think about, and could easily be altered to save that money.  What do you do with all of your loose change? Most people would find at the end of the week they’ve accumulated an extra $5 or so in change- or $20 a month.  Small change adds up when it’s saved, and if you’re looking to build a savings now for when you retire, getting into good habits will help you grow your savings faster.



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