Finances can be an overwhelming topic for many, especially if you’re living pay check to pay check or struggling with bills and debt. But there are also others out there who might have the opposite problem and have well paying jobs but love to spend all their hard-earned cash without thinking about it. Everyone’s on their own journey in life so each person’s circumstances are different. But the principle of starting small can easily apply to anyone. By taking small steps when it comes to managing your money, you can pave the way for significant long-term success.

Develop Healthy Financial Habits

One of the most powerful tools in achieving financial stability is developing good habits. Just like any other aspect of life, our financial wellbeing is greatly influenced by the routines we establish. Start with simple habits that can be incorporated into your daily life:

1. Budgeting: Begin by tracking your expenses and creating a basic budget. Start with a pen and paper or use a spreadsheet! Set achievable spending limits and track your progress. Need help with budgeting, check out my post on how to set up a budget here.
2. Saving: Start by committing to save a small percentage of your income each pay. The act of saving regularly prepares you for larger savings goals down the line. Consider setting up automatic transfers to a separate savings account so you don’t even have to think about it
3. Educating Yourself: Dedicate time each week to educate yourself about personal finance. There are so many podcasts, social media pages and articles out there that you can follow
4. Avoiding Impulse Purchases: Challenge yourself to wait before making non-essential purchases. Leave it in your cart and then come back later to see if you feel like you really need it. Also, if something is on sale you don’t necessarily have to buy it. Try and only buy what you need and what you can afford.

Small Things That Are Worth Giving a Try

Here are some things I do that you can try to get started:

• Look for savings accounts with a good interest rate. You want your money to work for you! The one I use is Ubank, which as of writing this is 5.10%. All you have to do is deposit $200 at the beginning of each month to activate the bonus interest. (I do have a referral code if you’d like to use when signing up 1W9DZRM. We both get something out of it so feel free to use but you don’t have to!)
• Check weekly grocery catalogues for specials. I look for things that are half price like bodywash, rice, and cleaning products to stock up. I’ll also look for cheeky treats like ice cream and chocolate too because you’re allowed to
• Daily café coffee drinker? Try and skip it one or more days each week. Feeling adventurous? Make your coffee at home
• Check and use cashback websites when shopping online. It really comes in handy when you make big purchases like a 20kg bag of dog food or skincare products. My favourite sites are Cashrewards, Shopback & Honeygain. Cashrewards and Shopback specialise in giving cashback on your purchases, while Honeygain looks for discount codes! They unfortunately don’t work all together so you have to pick the one that gives you the best deal. (Please note the links are referral codes and both of us will get something if you sign up. Feel free to use but you don’t have to!)
• When getting takeaway, opt for things that give you leftovers the next day. More bang for your buck!
• Check your subscriptions. Are you actually getting the most out of them? Try sticking to one per month and switch them.

The Power of Incremental Progress

In the journey towards financial stability, every small step counts. While the idea of achieving big financial goals may seem daunting, starting small allows you to focus on manageable actions that produce results. By creating healthy financial habits, cutting back on expenses, and prioritising your spending, you lay the groundwork for long-term financial success.

It’s important to acknowledge that progress may not always run smoothly, and setbacks are a natural part of the process. However, by consistently taking small steps and staying committed to your financial goals, you’ll gradually build a more secure financial future.

Whatever you’re aiming for is not going to happen overnight. It will take time and you must have patience! I promise, it’ll be worth the wait. By starting small and staying consistent, you’ll be amazed at how far you can go.