You’re not the only one. According to YouGov 16% of people across the UK plan to make a resolution, with almost half (49%) of those planning to save more money.
Yes, it’s that time of year again when we often put ourselves and our finances under a microscope and pledge to make big changes.
While it might seem cliché to make a resolution, the new year is a good time to review our spending and our saving habits.
With that in mind, we’re sharing five savings challenges that could help you make you make positive changes this year.
1. The penny challenge
They say if you look after the pennies, the pounds will take care of themselves and this challenge if proof of that.
The idea is simple, save a little and often to see a big change in your savings by the end of the year.
You start by saving 1p on the first day of the year and add a penny to the amount each day. On the last day of the year, you’ll save £3.65, bringing your total savings to £665.95.
This is a handy challenge for anyone keen to slowly build a positive saving habit.
2. The 52 week challenge
Prefer to manage your money weekly rather than daily? The 52 week challenge might be the savings trick for you.
In this challenge you’ll save £1 for each week of the year. By the last week of the year (week 52) you’ll put away £52.
As this deals with higher weekly savings than the penny challenge, it’s important to take other budget requirements into consideration before signing up. However, if you think you’ll be able to manage, this could be a way of saving up to £1,378.
3. The 12 month challenge
Did you know you could save almost £800 by putting money away each month?
The 12 month challenge is similar to our other challenges but increases by £10 each month. You’ll kick off January by saving £10 and adding an additional £10 for each of the following months. For example:
January: £10
February: £20
March: £30
April: £40
And so on…
By December you’ll put away £120, bringing the total savings for the year to £780.
It’s worth keeping in mind that this challenge will require you to save more than the others – especially in the run up to Christmas – so you’ll need to adjust your budget accordingly.
4. The round-up challenge
Another way to save this year is by taking on the round-up challenge.
It feels a little odd calling this one a challenge as you don’t need to do anything other than saving the change from any purchase you make.
For example, if you buy something that costs £4.50, you save the 50p.
Some banks have a round-up, or save the change, function that allows you to save without even noticing so it might be worth checking your app if you’re interested in taking part.
This challenge might not leave you with a set amount at the end of the year but can be a simple way to save without making huge changes.
5. The no spend challenge
Another way to save is not to spend at all.
The no spend challenge will see you pledge not to spend on anything that isn’t essential for a period of time.
Put simply, it means no unnecessary spending at all.
You could start by setting a no spend day one or two days a month before slowly increasing to however often you feel you can manage.
This can also be a good opportunity to review your spending habits and budget – especially if it shows where you’re spending, and you don’t need to (we’re looking at you unused gym membership).
Of course, while spending challenges can be a good way to save a little extra cash they can’t resolve bigger financial concerns. If you’re worried about being able to cover the cost of your essentials or repaying what you owe, it’s important to seek professional support.
