Savings tips for your personality

By Citizens Staff

The way people view and handle their savings is as unique as their individual personalities. There’s no right or wrong way to save, only different ways to accomplish goals. So, if you’re a “swipe now, worry later” kind of person, your savings strategy is going to be different than someone who would rather die than pay an overdraft fee.

Take the quiz to find out what your savings personality is, and then check out the tips below to help you reach your goals.

Spendy McSpenderson

As a free spirit spender, it’s important to make room in your budget for the occasional impulse buy. If you’re too hard on yourself, you may get frustrated and abandon the plan altogether. Instead, start small, celebrate little victories, and always keep in mind that saving and budgeting is a process.

Here are some tips to help you get started.

• Cut the cord: Research shows that the average cable or satellite bill is $85-$100 a month. Compare that cost to a streaming service, like Netflix or Hulu, and you could be saving a significant amount of money.
  Pro tip: You can cut costs even further by sharing screens with a friend or family member!
• Get rid of subscriptions you don’t need or use: Look for any recurring drafts on your debit and credit card statements. Are you still paying for that Cosmo subscription you signed up for to get an extra 30% off? Or that website domain you’re definitely going to get around to setting up, eventually, maybe. Take a look and cancel whatever you’re not using today.
• Sign up for free rewards and discount programs: If you’re going to make purchases, then get the best deals. But don’t pay for a loyalty program or buy things you don’t need just to get the rewards — that would defeat the purpose of saving money.
• Use cash when you go out: This is a great way to reel in your spending. Visually seeing your money leaving your wallet is impactful and will help you determine if a purchase is really worth it. Also, never take more money along than you need, that way there’s no way to go over budget.

Rose E. Riskypants

If you’re constantly transferring money back and forth out of your savings account, are you even saving money? True, you’re making the effort to save — which is a big step in the right direction — so feel good about that. But it might be time to solidify your plan to make the most of your efforts.

These tips can help you level up your savings habits.

• Meal planning: It doesn’t have to be as cumbersome as expert dieters make it sound. It can be as simple as planning ahead, having an idea what you’re cooking, so you know what to shop for (just think of the leftovers you’ll have for lunch). Going in with a plan can help cut back on impulsive hangry purchases. It may even help you cut back on going out to eat as much, but if it doesn’t …
• Stop eating out so much: Statistics show that millennials eat out 127% more than any other generation. Take some time to review where your money went last month. If you’re surprised by how much of it you ate, then you may want to encourage your friends to come over for game night, instead of hitting a bar.
  Pro tip: If you’re spending $10 a day for lunch, you could save about $2,600 a year just by bringing lunch from home!
• Build an emergency fund: Although this tip won’t save you money directly, it is designed to help you keep your savings where it belongs — in your savings account. An emergency fund is kept separate from your regular savings, and it should hold 3-6 months of your expenses. Life happens, and you don’t want to be caught off guard when it does.

Penny D. Pincher

You’re smart with your money, so you’re already off to a strong start. Your financial plan might not be detailed, but you’re always putting away something and are serious about saving. Now it’s time to think strategy. What goals do you have? What are you saving for? How can you maximize your savings?

Here are a few tips that may help you solidify your approach.

• Maximize your credit card perks: Credit card rewards could give your financial plan a nice boost. A cash-back rewards card, with a flat percentage, is a low maintenance way to earn money to use for anything. Or, if you’re planning a vacation, a card that earns flyer miles could help offset the cost.
• Create a goal-oriented budget: Saving toward a specific goal(s) could make a world of difference. Creating a detailed budget not only gives you a visual representation of your finances, but it also sets smaller, feasible goals that you’ll feel great about accomplishing. So instead of blindly saving for “all the things” you could pay off your student loans, or purchase your first home sooner.
• Rent vs. buying: Now might be a good time to assess whether your money would be better spent on a mortgage rather than on rent. In many cases a mortgage could be cheaper than rent! The right decision depends on your savings and other circumstances, so take the time to thoroughly evaluate your situation before you make your decision.

Alda Franklins

All hail the savviest of savers! You’re focused on the future and have a detailed plan and budget to get you there. Where can you improve? You should think about adding some balance to your spending habits. It’s okay to occasionally reward your diligent efforts and even treat yourself when it’s appropriate. Additionally, there may be some ways to enhance your current strategy.

Here are a few tips to help you make the most of your financial plan.

• Talk to a financial advisor: Getting an experienced advisor in your corner can be a great next step in your financial plan. They can introduce you to different products and areas of wealth management you may not be familiar with. If you’re not already investing, a financial advisor can help you get started.
• Take advantage of credit card perks: There are a few lesser known credit card perks — like no-fee balance transfers, and 0% APR for a specific amount of time — that could help you consolidate debt and ultimately save you money.
• Supplement your income: While there is a limit on how much you can save, there’s no cap on how much you can earn. If you’re a diligent employee, then it may be time to ask for a raise. Additionally, if you’re willing to take on a business venture consider purchasing real estate for an AirBnB rental.

What to remember

The best saving and budgeting plan available is the one that works for you. By understanding yourself, you’ll be able to set yourself up for success. You can eat your avocado toast without shame, as long as you account for it in your budget. If you need guidance, then find a financial advisor who can ensure you are properly planning for the future you want.