The cost of living crisis is currently having a significant impact on UK residents. Inflation is at its highest level in 30 years and fuel prices have risen and are expected to rise further later this year.
With prices rising, many people put their plans on hold to save for big things like a house or a wedding. But is it possible to put money aside for the savings account?
If you had some good habits before the recent squeeze and want to make sure you can still put money in your ISA, read on.
Small amounts help
Before looking at savings opportunities, it’s worth noting that the amount you’ll save might be less than it was before. Where you could have set aside £100-200 each month, it’s likely to be less than that.
But even small amounts poured into your savings add up. Having this money aside is extremely beneficial for your finances. Anything you save by following the tips below can go to your savings account.
think about energy
Energy costs are one of the biggest concerns and have been for some time. There are ways to keep costs as low as possible. Ensuring electrical outlets are turned off when not in use and limiting how long the heater has to run – and turning it off completely in the warmer months, are some of the main changes you can make.
Investing in things like rugs and curtains can keep drafts out, saving on heat loss in the home. Checking that your property is insulated is also helpful.
Just the essentials
Look at your food bill. Are there ways to reduce there? Swapping branded goods for the supermarket version is a good way to free up some cash for the ISA.
Also, try to limit takeout and eating out. While it can be tempting to order food online, those indulgences can quickly add up.
look what you got
Have you worked on a project? Have you thought about turning your hobby into a side hustle? If you have the potential to earn extra money on top of your day job, this is a great opportunity to get started.
Here, you can use the money you earn at work to meet regular bills and expenses, while the extra income from your side job can go towards your savings.
Check your budget
Look at your income and your expenses. Lay out your bank statements so you can see where your money is going.
Could you save by grocery shopping elsewhere? When did you last check your phone contract? You’ll be surprised how much you can save by looking at a physical printout of your current expenses.
From there, you can set a budget. Keep evaluating your spending over the next few months to see if you’re sticking to your new plan.
Do you have any tips for saving? What will you do to make sure you can save that money?