8 answers
12
Updated 386 views

How do you make enough money to save money?

One thing I realize is: People can make a lot of money yet they may not have enough left over to actually use on themselves. (even with six figure salary money)

This can happen due to debt or necessary living expenses. (I totally get that)
But the fact that someone making 250k a year can't use their hard earn money to live life is crazyyyy. 🤯

So my big question is: How do you make enough money to save money? Whether its for retirement, traveling to take time off, or something else.

How could I, or someone else, do it?

career business money career-counseling career-path finance job careers jobs advice financial-planning salary money-management financial-savings living-advice
Answer This

+25 Karma if successful
From: You
To: Friend
Subject: Career question for you
12

8 answers

2
Updated
Share a link to this answer
Share a link to this answer

Harry’s Answer

I found a small paperback book titled "The Richest Man in Babylon." You can buy it on eBay for about $5 or less. It is written is easy to read dialogue. The bottom line is "Pay yourself first." Put something away all the time. Another piece of wisdom comes from what Warren Buffet does. Never follow "Get rich quick advice" it almost always fails. The best way to accumulate wealth is slow but sure plans. Also remember the value of compound growth. Invest early, often and regularly. Good luck.
2
1
Updated
Share a link to this answer
Share a link to this answer

Howard’s Answer

You have to be disciplined. Do not think about how much you need to make in order to save money.
First, think about how much you need to live. Food, rent, car, insurance, electricity, etc...
Now the best way to be successful is to save first. Then spend what you have left over.
If you spend first you will almost never have money left to save. Set a goal to save X amount each week or month.
Then do that without fail.
1
1
Updated
Share a link to this answer
Share a link to this answer

Rebecca’s Answer

Hi Natalie, this is a good question. This is a financial management question. Firstly, you need to distinguish what you need and what you want.
What you need is something is essential to you, eg your text book, expense to travel to school, etc
What you want is nice to have, eg your online games, fancy stationery, etc
Below are my suggestions:
1. Put done what you need to spend every month
2. Define a plan on how much you want to safe
3. Divide your income into 3 potions: 1. Spend on what you need 2. Save the money- you consider to use this for investment when you grow up 3. You can use this to buy something what you want
4. Review your financial plan against what you have saved on regular basis and adjust if necessary
Hope this helps! Good Luck!
1
1
Updated
Share a link to this answer
Share a link to this answer

Warisha’s Answer

To make enough money to save, you need to focus on two key aspects: increasing your income and managing your expenses. Look for ways to increase your earning potential, such as advancing in your career, acquiring new skills, or exploring additional income streams. Simultaneously, practice smart budgeting and prioritize saving by reducing unnecessary expenses, tracking your spending, and making conscious financial decisions. By finding the right balance between earning more and spending wisely, you can generate surplus income that can be allocated towards savings and long-term financial goals.
Thank you comment icon Thank you so much, Warisha! Vercetti
1
1
Updated
Share a link to this answer
Share a link to this answer

Douglas’s Answer

Just like the valuable advice given in previous responses, I'd like to emphasize their key points. Starting small and living within your means is a wise strategy for your future. This way, you'll be able to afford anything you desire one day. By taking on tasks yourself, you can save a significant amount of money. Whether it's cleaning your own house or washing your car, try to avoid paying for services while you're young and building your savings. Do what you can on your own and save money wherever possible. This will allow you to start investing, even if retirement seems far off, and you'll get to experience the magic of compound returns over time.
1
1
Updated
Share a link to this answer
Share a link to this answer

Steve’s Answer

Number 1 anything you can have removed from your paycheck before you see it is always a good start. If your employer offers a savings plan (especially if they match) that is always a good start as the money is never in your hand so you can't spend it. Depending on your Insurance plan an HSA or FSA is also good as it helps cover any of those unexpected large charges that can derail savings (although if it is FSA be careful as it is a use it or lose it proposition). The most important thing though as Douglas had alluded to is live within your means, I have seen people that can spend 110% of their income no matter what they make, this leads to not only a lack of savings potential but consumer debt and undue stress. If you can learn to live on 90% of your income (and take some off the top before it hits your wallet you not only build up a nest egg but also the discipline and freedom to be able to move if you need it.
1
1
Updated
Share a link to this answer
Share a link to this answer

Dan’s Answer

Stay on top of your income. Pay bills first and then put away part of what is left over. You will always need food and fuel. Stay away from credit cards! They can get you in a deep hole quick. Even if you only save 10% of your income it will add up over time, and at todays interest rates it will grow fairly quick. I know people that make a lot of money. They shop for clothes at thrift stores and only eat out once or twice a week. It all adds up over time. Be patient and don't "binge". It all works out if your careful. Take care!
1
0
Updated
Share a link to this answer
Share a link to this answer

Carmina’s Answer

Having more than one income source, investing smart, and reducing waste ( food, electricity, clothing).
0