Making Saving Into A Habit

They say it takes between 25 and 30 days for the brain to build the neural links required to make a new behavior a habit. If you repeat this habit over and over, it will sink in. Better yet, practice your behavior for three months to ensure that it sinks in.

I'm talking about saving of course. If you save everyday, according to this advice, you'll have the saving habit in about a month. What do you save? The change in your pocket and if you don't have any change, the smallest denomination bill in your wallet. Do it everyday and after 30 days, you'll keep on doing it.

The bottom line beneficiary is YOU.

I stash my pocket change in the bedroom when I get home, then put most of it into a jar to be rolled and then deposited in my chequing account.

Every little bit helps.

I think a great idea, if your employer gives you the option, is to set up a seperate savings account with another bank and then set up a small percentage (just like 1 or 2) of your pay to be directly deposited in that account. It is much more easier to save if you don't have that money sitting somewhere that is easily accessable. Even if you don't set up the direct deposit still open the savings account to deposit your change into. SAVE SAVE SAVE!

Amen to every little bit helps. The idea is to make saving a habit and why not start with the easiest options whether they be pocket change or an employer option.

Hey sandalwood,

I never knew that! I will have to definatley try to do that, I just generally do my savings each month. My partner and I, have split up the bills to pay, and then one of my jobs, we designate that all into savings completely.

Now, I'm going to have to save that little bit extra each day, see how that goes. Thanks for the idea

Do you know that I was amazed by the amount that has been accumulated in the saving box by the daily pennies that I put in? I never think that the small change that I have can grow into a mountain of cash.

Now, I am starting to put a dollar away everyday in  a sliced cover jar. So if my calculations are correct, I will get 365 dollars a year. And multiply that with ten years, it will be 3,650 dollars. It is such an easy task that everyone overlook, if you keep it going, you will be very happy person in the your old age. And the figure above is without interest. Imagine how much more you will get by depositing the accumulated cash into the bank once a year.

Use the Rule of 72 if you want to discover how many years it takes you to double your money. The years it takes is found by dividing the number 72 with the annual interest rate the bank gives you.

All these talks about money make me want to save more.

It took me a long time to start saving money. I was so used to spending as soon as I got it. But once you begin saving money, it's like a totally different feeling. You feel alot more secure.

I've recently set up an online savings account with a standing order for a fixed sum per month from my current account.
It's an attempt to develop the savings habit, to build up an emergency fund, and to pay myself first like it recommends in The Richest Man in Babylon.

Since I'm an insurance agent, I will tell you of another place to put your money. It will not only grow tax deferred, it will enjoy the benefit of compound interest.

That vehicle is called an annuity. If you aren't familiar with this vehicle, enter it into your favorite search engine and research it. I like it better than CDs because of the tax deferred compound interest growth.

Yes, it is a vehicle that you shouldn't touch before your contract period is up but if you are a CD investor, you generally don't touch them till they mature. Thought I'd put it on the table for people to consider.