It seems like everyone is feeling at least some financial pressure. And even though experts say inflation is evening out, the cost of living continues to climb.
According to a GoBankingRates survey, nearly half of Americans have $500 or less in their savings accounts and 40% of people live paycheck to paycheck throughout the year.
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So how can you stop spending and start saving?
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If it seems almost impossible to keep any cash, here are a few simple tips.
First, start a buck bank. Every dollar bill is marked with a letter to the left of George Washington. Save any bills with your initials on them. Save all $5 bills, no questions asked.
Use tech to your advantage. Forbes calls Chime the best mobile banking app. Sign up for ‘Save when you spend’ and Chime automatically rounds up purchases made with your Chime debit card and puts the difference in your savings account.
Qapital combines money-saving and goal-setting. First, choose a goal, like saving for a new car, then apply rules, such as every time you exercise, give your savings $5. If you exercise four times a week for a year, that adds up to more than a thousand dollars.
Even AI can help. Oportun Set and Save uses AI to analyze your spending habits. You put in special things you want, like concert tickets or a new outfit. When it thinks you can afford it, it will move money from your checking account to the Oportun account for you to spend.
Experts say the amount a person should have saved varies for each person. But in general, having an emergency fund of three to six months of living expenses in a savings account is a good idea.