When building financial stability, saving money is key, but let’s be honest—some savings tips just don’t fit everyone. Growing your own veggies? Awesome, unless you’ve got no space. Walking to work? Not so helpful if you’ve got a long commute. Cutting your own hair? Yeah, we’ll pass on that too.

Luckily, there are more practical ways to save. Ways that go beyond saving a few dollars each week and can set you up for long-term financial stability. If this sounds good to you, keep reading as we’ll tell you about our top strategies for saving, how they work, and the long-term benefits of each one.

Pay yourself first

The ‘pay yourself first’ strategy works by setting aside a portion of your income for savings before spending on other items. A good place to start is 10 per cent of your income. However, if this is too much, simply adjust your percentages until you find a figure that you’re comfortable with.

To make this strategy easier, set up an automatic transfer from your main account to a designated savings or investment account each payday. Then watch your savings grow effortlessly.

The benefits: paying yourself first treats your savings like a fixed expense and helps you prioritise saving money. If you’re new to saving, it’s an easy way to build good savings habits.

Track your expenses

Tracking your expenses gives you insights into your spending habits. A good place to start is to write down everything you spend over a week, fortnight or month. Once you know what your typical expenses are, you can decide where to reduce costs. You may want to cancel unused subscriptions, limit your streaming services or switch to cheaper brands when buying groceries.

The benefits: tracking your expenses helps you identify what’s important to you and ditch the expenses you don’t really need. The small changes add up.

Set short, medium, and long-term goals

If you have many savings goals, don’t worry, you’re not alone. It’s perfectly normal to be dreaming of a holiday while saving for your first home and also be in need of a new phone. The best way go about this is to break them down into short-term, medium-term, and long-term categories. For example, a short-term goal might be a weekend getaway, while a long-term goal could be a deposit for a house. Consider using the “pay yourself first” strategy and allocate some money to each savings goal every payday.

The benefits: Setting specific goals and milestones keeps you motivated to save. It can also help you figure out how much you need and create a budget accordingly.

Create and stick to a budget

Budgeting might not sound thrilling, but it’s a smart way to stay on track financially. Make sure to set aside money for essentials (like rent and groceries), fun activities (like dining out), and, of course, your savings. Our Budget Planner Calculator makes it easy by tracking your income and expenses for you.

The benefits:
Budgeting helps you save for big goals like a home, car, dream holiday, or retirement. Plus, it gives you peace of mind knowing that you’re living within your means and growing your savings effortlessly.

Look for discounts

How much are you spending on everyday expenses like your phone, internet, gym membership or utilities? A cheaper option that still fits your lifestyle is a great way to save money. Popular ways to find discounts include comparing prices online, using the Australian Government’s Comparison Website or asking to switch to a cheaper plan.

Similarly, cashback apps or loyalty programs can help you get discounts on items and services you buy on a regular basis.

The benefits: By minimising essential expenses, you can redirect more funds towards your savings.

Eliminate high-interest debt

High-interest debt, like credit card balances, can hinder your saving progress. A debt repayment strategy makes repaying debt less overwhelming; you may want to try:

• The snowball method works by paying off the smallest debt as fast as possible. Once the debt is paid off, the payments you were making on the first debt go onto the next-smallest debt owed. Continue this process until all debts are paid off.
  
• The avalanche method works by targeting the debt with the highest interest first. When this debt is paid, focus on the debt with the next highest interest rate and so on until all your debts are paid off.

The benefits: Paying off high-interest debt quickly avoids excessive interest charges. Once the debt is cleared, channel those funds into savings to boost your financial growth.

Get savvy with your super

Superannuation (super) is your savings fund for retirement, and there are a few ways you can significantly enhance your super. Check if you’re eligible for employer benefits like Employer Matching Contributions. If you make additional contributions to your super each payday, your employer will match them.

If you’re not eligible, there are still ways to save. Try salary sacrifice, which saves you money on tax or switch to a super fund with lower fees. If you have more than one super fund, move it all into the one fund to avoid paying multiple fees and charges.

The benefits: Taking advantage of super benefits is essentially free money that boosts your long-term financial security and prepares you for retirement.

Open a high-interest savings account

Want your money to work harder? A high-interest savings account can boost your savings faster with better rates. Just be sure to check if there are any withdrawal limits or deposit requirements, to make sure the account fits your savings habits.

The benefits:
With a high-interest account, your savings earn a little extra in interest each month. It’s an easy way to build an emergency fund or reach savings goals faster. Every dollar counts.

Invest for greater returns

If you already have some savings, investment options like shares, stocks, bonds, managed funds or real estate can grow your money faster than a traditional savings account. It’s important to consult a qualified financial advisor before you start who can help you manage risk and tailor an investment strategy that best suits your financial situation and goals.

The benefits: once you’ve mastered the basics of saving, investing can take your finances to the next level and put you on your way to building long-term wealth.

Remember, saving takes practice

Building up your savings doesn’t happen overnight, and that’s okay! Start with one or two strategies that feel right for you, and don’t be afraid to switch things up as you go. Setting small milestones will keep you motivated, and before you know it, you’ll be celebrating your progress. As your life and goals change, remember to adjust your savings plan - it’s all part of the journey. Stay patient, and you’ll be well on your way to financial stability.