How to save money to meet your goals - FNA

Saving is taking a small but great step toward achieving your dreams. We cannot say it in a simpler way. Everyone, absolutely everyone, has heard the word saving at some point in our lives. When we were little, our parents encouraged us to save our allowance; they taught us through examples that if we kept small amounts of money daily we could reach the goals we set for ourselves, from small purchases to large investments.

But… do you really know what saving is?

By definition, it is a monetary reserve made by a person, family or organization with the purpose of being used in the future to cover expected or unforeseen expenses, or to make a possible investment. In general, we save in order to later enjoy a good, invest in education, establish a business or buy our own home.

Saving is so common and important that, since 2014 in Italy, the International Day of Savings was created, in commemoration of this good financial habit. Beyond its definition, at the Fondo Nacional del Ahorro we want you to also acquire and implement saving in your day to day; because everyone, no matter how small the amount, has the capacity to save.

For that reason, in the following button you will be able to download an infographic where we will give you five tips to start your own savings today.
 

Download the best savings tips here
 

It is important that you ask yourself, why or what for are you going to save? Take the time you need to set that achievement or that goal to reach.

Do you have it now? Do you wish to save to travel with your family or to go to your favorite artist's concert, or perhaps you are thinking big and you want to save to own your own home. Your dreams are the purpose for which you are starting to set aside money to enjoy it later.

Now that you have set your purpose, you must be asking yourself, how to fulfill it? Although it may seem difficult or distant, the most important thing is to start and here we will tell you about some of the most effective methods to achieve the purpose of your savings.

1. Pay yourself first: allocate a small fixed percentage of your income and before spending it, set it aside in your savings account or a safe place. That sum will be untouchable month by month.
2. Save the change: at the end of the day, deposit all the "change" you received into a jar. This method can help you with small-scale savings goals, for example, for unplanned expenses.
3. Use the Kakebo method: literally means "household account book". Write down your finances, organize them and divide expenses into four categories: First necessity, optional, culture and leisure time, and extras or unforeseen. The Japanese believe that saving, controlling your money and spending it consciously, leads to balance and calm in all areas of life.
4. Implement the 50/30/20 rule: it consists of dedicating half of your monthly income to cover basic needs such as rent, groceries, electricity, gas and water services. 30% for your personal expenses and indulgences such as travel, entertainment, restaurants, clothes, technology, among others. And 20% for your personal savings and investments.
5. Consolidate and pay your debts: if you have different types of debt, make an effort to consolidate them at a lower interest rate and pay them quickly; this way you will save a lot of money in interest.
6. Avoid impulse buying: before making a purchase decision, ask yourself if you really need it. For the most part, many of the things you buy are not essential and you can save that money.

We want you to use the method that best adapts to your lifestyle. Saving should not become a headache; on the contrary, it is the means to fulfill your dreams and at the FNA we help you materialize them. That is why we created the ideal product for you through our Ahorro Voluntario Contractual, a method of saving with purpose so that you reach your goal of owning your own home and seeing your dreams fulfilled.