We all know that there are immense benefits to saving money on the regular. And it is not hard to save. You just have to be motivated to do it and stick with it over time.
Though it might seem hard to save because we have so many bills to pay and the idea of saving anything meaningful might seem daunting. Many times, when we calculate the amount we spend on bills, groceries, car maintenance, mortgage and all, the idea that savings is possible gets thrown out of the window.
But there are actionable steps you can take to help you save money from the salary you earn in Canada.
In this article, we will take a good look at some actions you should start taking now to make saving from your salary a reality while living in Canada. Let’s look at them below.
4 Ways To Save Money From Salary in Canada
1. Reduce the amount of things you pay for
Make a good long list of all the the expenses you make in a month. Grab a pen and paper and make a list of these expenses. Whatever you spend money on in a month should be part of what you listed in your budget. So, start by trimming down the number of expenses you make in a month.
If spend a lot on car insurance for instance, you can start looking for better rates for your car insurance. There are always better rates out there. You just have to look.
Also, when shopping for groceries, you don’t have to spend money on getting expensive brands, you can easily get generic groceries which cost lower.
2. Try to negotiate housing rent price
If you work and live in Canada, then you know that decent housing can be expensive. You can talk to your landlord to cut the house rent so that it’s a little lower.
There is no harm in doing this. You could save up to $100 from just talking with your landlord about the rent cost. You have to be honest and humble about it. If living in the next neighbourhood will help you save $100 on rent, then you might have to go for the other option. Housing costs are usually the largest thing people spend their salaries on.
And this is very understandable. If the cost of living in your area reduces significantly, you can talk to your landlord about it. There is no point in paying loads of money for housing in an area especially when the costs of living is very low in the said area.
3. Get serious about budgeting
Many people say they are budgeting but they really are not budgeting. They don’t take the budgeting process seriously. Start planning every dime. Allocate the amount of money that goes into groceries, the amount of money that goes into bills, the amount of money that goes into savings, and so on.
Budgeting does not necessarily mean to restrict one’s spending. Rather, the main point of budgeting is to allocate every penny to something and not exceeding the allocated amount. What you choose to budget for is entirely up to you.
But if you wish to save from your salary while living in Canada, you have to allocate a good percent of your income to savings. And this allocated amount must be met and not spent on other things.
4. Invest your money
Your money does not have to lay in your bank account waiting for you without earning interest. You could earn interest with it.
A good option for investing is through mutual funds. You can also invest in popular options like stocks, shares and bonds. There are many Canadian companies that handle these subjects. All you have to do is, read up on each investment option to see which one is right for you, then make a choice.
Contact a number of companies that can help you with your chosen investment option. You could even get a financial advisor that will make the whole process clearer and easier for you. So, by investing, you get more returns for your money. Thereby, you can save greater amounts.
These 4 actionable tips given above, should be enough drive for you to save money while working and earning a salary in Canada. People save for different reasons.
Perhaps you are saving toward a goal or you are just saving for the rainy days, these tips above will guide you to hit your saving goals quick. Don’t just read them. Digest them and make good use of the tips by taking action.
