You’ll know by now that saving is one of the three basic things you can do with money, the other two being spending and sharing.
You might think that spending money is the best part and, you’re right, it can be fun. But it also feels terrific when you’ve put the time and effort into saving up for something special.
Knowing what you’re saving for makes a big difference. If there’s something you really want, you could print out a picture of it and put it on your wall or in your diary to remind you why you’re saving.
Name your savings goal
It’s also a good idea to have an achievable goal.
Don’t aim too high or too low when you’re starting to save.
You want to give yourself the best chance to succeed and feel the satisfaction of reaching a target that’s challenging to keep you interested but not too difficult that it puts you off.
Short Term Saving Incentives
Short term savings goals are things that aren't really that expensive - things that you could save for in a short period of time. Generally, short term savings goals won't be worth more than a hundred dollars or so.
Even if you're only able to put aside a small amount of money in savings regularly, you should be able to reach your short term saving goals before long.
These types of savings goals can include:
- a console game - PS5, Xbox or Switch
- a gift for someone you care about
- beauty products or cosmetics
- music subscriptions or gift cards
- new footwear or clothing
Medium Term Saving Incentives
Medium term savings goals are usually a bit more expensive, and have the potential to take a bit longer to save for.
Don't forget, as you're in control of your budget, if you want to reach your savings goals sooner, you can raise your regular savings contributions to compress your timeline.
Some medium term savings goals may include:
- new sporting equipment and gear
- a special occasion, like a meal out or concert
- a day trip with friends
- a small getaway
- a new wardrobe for summer or winter.
Long Term Saving Incentives
Long term savings goals are usually worth multiple hundreds of dollars - potentially even thousands. They require dedication and focus to reach, and one great way to take the pressure off yourself is to automate your savings contributions through online banking or your banking app.
Long term savings goals may include things like:
- a new tablet or PC
- a phone
- a new gaming console
- your first car, or some car accessories
- University tuition or resources
Keep your goal achievable
It’s also a good idea to have an achievable goal. Don’t aim too high or too low when you’re starting to save.
You want to give yourself the best chance to succeed and feel the satisfaction of reaching a target that’s challenging enough to keep you interested but not too difficult that it puts you off.
Sparkie
Opening a savings account
Once you’ve talked to your parents about what you want to save for, get them to help you open a savings account.
You can use the Greater Bank Savings Goal Calculator to figure out how much you need to save, how often to put money away, and to see the difference interest payments will make to your efforts.
Track your savings goals
Ask Mum or Dad if they may be willing to contribute as well, as a reward for your diligent saving. They could say no, but they might just say yes!
Stick with it and the rewards will come. You’ll also learn some good money habits that will set you up for success when you’re older.
