There are always things we want to buy, but there are some purchases that are truly special. It could be your dream car, a one-off piece of jewellery, or a trip of a lifetime, but what they all have in common is that they are big purchases. So, what is the best way to save for a special purchase, and are there any ways that you can achieve your dream quicker? This guide to saving for a special purchase will help you put more money aside and set you on the way to achieving your goal.
Create a Savings Plan
Having a practical savings plan in place will help you to save money regularly, helping your savings to grow. Decide on the amount you want to save, and the time in which you want to achieve that amount. Then, you can work out how much you need to save each month to be on target. One way to keep you on track with your savings goal is to set up a monthly bank transfer from your everyday account into a savings account. That way your saving plan works automatically without you having to remember to swap money between accounts.
Look at High-Interest Accounts
When saving for a special purchase, put your savings into an account that gives you the best rate of interest you can find. If your savings goal is over a five-year plan or more, there are some accounts that give you a great interest rate provided you don’t withdraw any funds during a set time. It can give your savings a boost, helping you to reach the target more quickly.
Save Lump Sums
If you find yourself getting lump sums of cash for anything, such as a rebate on your taxes, use it to add to your savings. Treat any cash lump sums this way, instead of adding to your current account where you will be tempted to spend it on other items. Doing so will help you reach your goals ahead of time.
Avoid Unnecessary Purchases
You know those little extras that always seem to end up in your supermarket shop? Or that dress that you just couldn’t pass by without buying, even though you have one similar? Avoiding unnecessary purchases, and putting the money into your savings account instead, is one way to gain extra funds that you would not have saved. That is not to say that you shouldn’t have the odd treat now and then, but if you are doing it every week, then you could be missing out on significant savings.
Maybe you just can’t wait for that special purchase, so you could consider getting a personal loan to cover the cost. It can be a good way to raise the money you need, provided you earn enough to be able to pay the loan off quickly. When you take out a personal loan, do your homework and check our reviews, such as SoFi personal loans reviews, to make sure you are getting the right sort of loan for your needs.
Raising enough money for a special purchase can sometimes be a challenge, but it can also be really satisfying to see your savings grow. If you follow a few simple savings tips, you’ll see your money add up, so stick with it and you will reach your goal!