Here are some fun and creative ways you can save for your next goal.
Aussies are focused on getting away, with millions choosing to put their savings towards a holiday over everything else.
Almost one in four Aussies – equivalent to 4.4 million people – said they were primarily saving for a holiday right now, according to a Finder survey of 1,096 respondents.
The research also found 17 per cent of Aussies were saving money to build an adequate emergency fund – equivalent to 3.4 million people.
Worryingly, 13 per cent said they couldn’t afford to save, with everyday costs a growing burden.
Finder money expert Alison Banney said Aussie savers had very different goals.
“The majority of Australians are building up cash – but where they are putting their money is varied,” Banney said.
“It’s been a rough few years, with COVID and the cost-of living-crisis, so many Aussies just want to take the edge off with a trip away.”
Banney said building an emergency fund was more crucial than ever during the cost-of-living crisis.
“Many people’s finances aren’t faring too well right now and it can be hard to think about saving when you’re living paycheque to paycheque,” she said.
“Your emergency fund should have enough cash to cover at least three months of living expenses.
“Having money set aside at your disposal for unexpected costs helps you become more financially resilient.”
Banney urged Aussies to put their money in a high-interest savings account while they planned how to spend it.
“With lenders paying as much as 5.6 per cent p.a. at the moment, Aussies can reach their savings goals faster,” she said.
“Keeping up those saving habits might be harder right now, but the discipline of saving regularly adds up quickly in a high-interest environment.“
Fun and creative ways to save
1,000 savings challenge
Basically, you put away small amounts – between $5 and $55 – until you have saved $1,000.
Many Aussies are actually using this technique to put aside a small amount of money every day for 30 days – in the end, you have $1,000. Do that every day for the entire year and you’ll have just over $12,000.
Weekly savings challenge
This challenge works by starting with a small savings amount, like $3 or $4. If you choose the first amount, put $3 away in savings the first week. Every week, add an extra $3 to the last amount you put away.
So, the first week, you’ll put away $3. The second week, $6. The third week, $9. At the end of the 26-week challenge, starting with $3, you’ll have $1,053 in savings.
Envelope savings challenge
For this challenge, you start with 100 envelopes and write a number from one to 100 on each envelope. You then shuffle the envelopes and place them into a bucket or basket where you can’t see the number on the front.
Each day, you draw an envelope and whatever number you draw, you place that amount of cash inside and you do this for 100 days until the envelopes are filled. In the end you’ll have saved $5,050.