It’s easy to spend money without thinking about it. Daily coffees, taxis, clothes and subscriptions all add up and affect your ability to save.
The first thing you’ll need to do when you decide to start saving is to analyse exactly where your money is going. To begin with, go through your bank account and make a note of every dollar that you’ve spent in the past month. You can use our budget planner to help you get started.
Here are some changes you can make now to help you save faster.
Move back home or into a share house
If it’s a realistic option for you, sharing a home with family or friends could be a good idea. Living in a sharehouse could help to potential save some money by cutting down on the cost of rent and bills.
If you’re already renting or considering renting, check out our Renting vs Buying calculator. This calculator shows you what size home loan repayments you may be able to service based on your current rental payments.
Get rid of your car
It's easy to underestimate how much your car costs to run. It's more than just petrol. Add in insurance, repairs, maintenance and depreciation. That can add up to thousands of dollars a year. If you're in a city with decent public transport (and good bike lanes), you could possibly save some cash by going car free.
If you have no other choice than to drive, read our cost saving tips for running a car. Or, check out your state or territory’s car club website. For example, the RACV has put together some handy cost guides to help guide you on the real cost of owning a car.
Review your lifestyle
Minor lifestyle changes, like limiting takeaway meals and coffees, can incrementally add up. That might mean drinking the instant coffee at work each morning for a while.
Reduce your nights out and entertainment costs. Start finding some cheaper ways to have fun. If you have friends in the same situation, consider taking it in turns to host dinner parties at home, or movie and games nights.
Cut out things you don't use
A simple way to save is to stop paying for things you don't use or need. Start looking for discounts and cheaper options on things like memberships, subscriptions, utilities and insurance. It's worth taking the time for the longer-term gain.