5 Money Mind Games That Can Help You Save
Podcast Transcription
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Hi everyone, welcome to another episode of PFCU’s Money Talk Podcast. I’m your host, Maddy. I love this topic today provided by SavvyMoney and that’s money mind games to help you save more. And SavvyMoney has a lot more resources on many different topics, you can find them at education.savvymoney.com.
I think we can all agree that saving money can sometimes feel like a chore, like we’re being deprived of the things that we want right now. Instant gratification. So many of us, and yes, I include myself, love the instant gratification of spending money now, especially when it’s so easy to do online. Which is why these 5 mind games can change our way of thinking about saving. It can be easy, even fun to save, tricking yourself into saving more. I challenge you to try at least one of these and see how it works for you. Before you know it, that dream vacation, that emergency fund when you need it most or that down payment on your house that you’ve been saving for, is going to be a lot more gratifying than those little things we think we need right now.
Mind game number 1 is to set financial goals & visualize.
Those savings goals I mentioned earlier like an emergency fund, vacation or a house, those are important to have. If we don’t set goals, it can be a lot easier to make those “in the moment” purchases that don’t help you reach your savings goals. These are your incentives to save, we’re rewiring our brains from instant gratification to playing the long game.
Visualizing your completed goal must be created mentally before it can become a reality. Here are some ways to help you visualize. And I really think this advice from SavvyMoney is so great. I actually do this same idea with the kindergarteners that I teach in local schools, I have them draw a picture of what they’re saving for and then tell them to go home and hang it up. So, here’s what you can do: create a vision, physically or use Pinterest, use a bulletin board, hang up pictures on your fridge, your mirror, in your car. This one is great, set a picture of your vision as your phone’s home screen. You know you’re going to see it all the time.
So, whenever you feel the impulse to spend, visualize your money goals first and then make your choice. This makes saving seem much more appealing than let’s say, going out to eat.
Mind game number 2: keep the change.
So, your change may feel like nothing to you today but it can add up to something really big over the years. Transport yourself back to your youth, the good old days and get a piggy bank or a jar or something to put your change in. And this is also a great time to mention PFCU’s pocket change program. Because people don’t use cash like they used to so you might not have a lot of change to save but you can save that change when you use your debit card. Round up your purchases to the nearest whole dollar and at the end of the day, that difference is deposited into your savings account. Voula! Saving without even thinking about it. Which I think is the best way to do it.
Number 3 is to get a shopping buddy with similar financial goals. Although some friends can be a bad influence, even for adults, convincing us to spend money that doesn’t help us reach our goals or making us feel this internal struggle and pressure to keep up with the joneses, we can all find friends that help us reach our goals and understand where we’re at.
Bond with someone who loves to find a deal, will sit with you in your kitchen to try a new recipe rather than trying the pricey restaurant down the street, a friend who will thrift with you. Someone who will not only celebrate your large money wins but your small ones too and they will hold you accountable when you need it. And a little friendly savings competition never hurts either.
Number 4 is to build your barrier to entry. Contactless payment has made it so easy to spend that it can feel like we’re not even spending our real, hard-earned money. I can visit a site, and it connects to my shop account and inputs everything automatically and immediately and I can buy something without even thinking about it. Or the buy now buttons, save your payment information, that way we can buy with just one click. Sure, it’s convenient but we need to take that extra step of pausing and asking ourselves “do I really need this?”
Build a barrier, remove your card information from these apps and sites, make yourself have to enter your information every time. Force yourself to pause and think about it and make it difficult. I think you will find yourself stopping the purchase more often and then you can take that amount and save it right away.
And the last mind game is to treat yourself. We love this one! It’s important to not deprive yourself of the things you enjoy. For example, if you get a latte every day at the coffee shop, no need to cut yourself off completely, maybe allow yourself a Friday treat. And keep on celebrating your money wins, decide how you’ll treat yourself when you reach each milestone. Stay motivated and happy.
I really, I absolutely loved this article from SavvyMoney and I hope you can use these tricks to help you save for your goals. Have a great one and thanks for listening!
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Information Provided By: SavvyMoney