29 July 2016 2:42 pm / Road Trip Drivers Buy a Car Finance a Car

If You’re Doing These 5 Things, You’re Not Putting Enough Aside for Your Car

If you’re trying to set aside money for that dream car but continually find you’re falling short, it may be time to reign in those latte’s and think about changing to Foldgers. Here are five things you’re doing wrong if you’re want to save money.

Shrugging Off Your Budget

You know what goes hand in hand? Milk and cookies. You know what else? Debt and budgeting. We know, that’s less fun. But if you want to continue treating yourself to milk and cookies in the future, you need to start thinking more seriously about sticking to your budget. Don’t rely on your technology to tell you when your account is low, and don’t wing your finances either. We know it’s easy to forget about making timely payments with your credit card statement tucked out of sight/out of mind in that spam folder, but the reality is that you can’t afford to shrug off a budget.

Solution? Use an app! Create a digital assistant to help you visualize your finances.

 

Pretending Your Debt Isn’t There

Ignoring your debt is one way of keeping money in your account, but it’s going to eat away at your financial health in the long run. Just because you can’t really see it, doesn’t mean it’s not there. We know the sticker shock is overwhelming, but it’s never good to dodge and ignore – all that will do is eat at your stress levels. And don’t think that paying it off is futile, either. You can get there. It just takes time and perseverance, two things that look really good on a resume. Not to mention, once you pay off your debt, you’re free to explore the things you really want to do with your money, i.e. travel, buy a car, invest in that clown college.

Solution? Take on a side gig!

 

Overspending with Plastic

Credit cards are great! They afford you a lot of things when you’re waiting for that paycheque, like food or being able to make timely bill payments or those shoes you probably need. But if you find you’re reaching too much for it because you have no more money in the old bank account, it’s time to start thinking seriously about those spending habits of yours. Sure, it’s nice to rack up those Airmiles points. But splurging and overspending when you don’t have the funds to back it up is a dangerous way to let your debt get out of control.

Solution? Take out cash each week. The physical money will let you see just how much you’re spending.

 

Not Setting Clear Financial Goals

Goals are great. Everyone should have one. Maybe you want to be the next Pokemon Master. Maybe you want to travel to space. So how are you going to get there? Goals shouldn’t stop at where you see yourself going or what you see yourself doing. How you plan on getting there should be part of the process, too, and that means setting some realistic financial goals. Start defining what they look like. If your goal is “I want to buy more expensive coffee” then you’re doing your goals right. But if your goal looks more like “I want to save for my dream car”, then buying expensive coffee no longer makes sense.

Solution? Make your coffee at home, and really minime your spending on the little things – they add up big!

 

Not Having a Clue on What You’re Spending

We all know which ones are the big bills each month. But do you know how much you’re spending on the smaller items? We aren’t talking rent or your cell bill here. Things like groceries, new clothes, and coffee. How much are you spending on those? If you’re not paying attention, you’re probably spending too much. Keeping tabs on where your money is going is a great way to set money aside for that dream car and it helps you set realistic spending habits that are within your financial means.

Solution? Set aside a designated amount for groceries and other items each month, and stick to it. Saving money for that dream car is easy if you focus and pay attention to the big and small picture. 

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