She Strengthens

The Power of Savings: A Personal Journey

From Pocket Change to Financial Security

As I reflect on my life, I realize that my financial behaviors have been shaped by a series of savings goals. From stashing pocket change as a child to setting ambitious targets as an adult, I’ve learned that having a clear vision is key to achieving financial stability.

Why Savings Matter

It’s a well-known fact that having an emergency fund is essential. For me, the goal is to save enough to buy a house one day and have a cushion for unexpected expenses. With a target of $10,000, I’ve made significant progress, reaching $10,493 as of June 30, 2018. This achievement gives me a sense of relief and security.

Making the Most of a Good Situation

I’m fortunate to be living in my parents’ guest house, which allows me to save a significant portion of my income. As part of our agreement, I pay “rent” and “utilities” into my savings account. While it’s not always easy, I recognize the benefits of this arrangement and am grateful for the opportunity.

Sustainable Savings Practices

To achieve long-term financial health, I’ve established habits that prioritize savings. The 50/30/20 rule is a guiding principle: 50% for necessities, 30% for discretionary spending, and 20% for savings. I’ve set a goal to save 15% of my salary each month, treating it as a non-negotiable bill.

The Power of Side Hustles

Having a side hustle is essential for accelerating savings. I freelance as a copyeditor, earning an extra $100 to $200 per week. While it’s not a significant amount, it adds up over time and provides a sense of empowerment.

Meticulous Spending Management

To optimize my savings, I’ve implemented strategies to reduce unnecessary expenses. These include cooking at home, brewing coffee, scheduling shopping trips, and finding free entertainment options. By being mindful of my spending, I’ve been able to allocate more funds towards my savings goals.

The Results

While living at home has certainly helped, I’m proud to say that 70% of my total savings were achieved through my side hustle and “paying myself” 15%. By staying focused and disciplined, I was able to reach my goal in just three months.