Hello and welcome back to my blog!
We are well into February now which means it is time to share my 2020 saving goals.
I have already ticked off one of my goals which I will share later on in the post. I think that it is really important to create goals for your saving goals as, it keeps you motivated and focused.
- Save £2,400 in Help to buy ISA (£200 per month)
- Save £5,200 towards house deposit (£400 per month)
- Pay of bank loan (Completed!)
- Save £1,200 for a new car for 2021
I only set myself 4 goals for this year to keep things simple. My main aim is to get as much money saved for my house deposit by the end of the year.
I am hoping to save around £400 a month which will mean I should save £5,200 in 2020 towards my house deposit savings. Also every month I put away £200 into my help to buy ISA which over 1 year will be £2,400 saved. So in total I am putting £600 away towards my house deposit. This doesn’t include my car fund or other sinking funds.
I have completed goal number 3 already this year!I have wanted to pay off my bank loan last year but just didn’t have the money saved, so at the beginning of February I took the plunge and payed it all off. This was such an amazing achievement for me and it means I am starting 2020 debt free.
I owed £4,000 to my bank as I borrowed this money for my first car. At the time it was a great idea but once I started my budget I realised that actually it was making it difficult for me to save. So on February 10th I paid of the remaining balance of just under £900 to get rid of it. And I have never felt more relieved.
How am I going to save all this money?
I have already started to save for my goals since December 2019 and I have already made some changes.
First thing I did in December 2019 was cut a few of my bills. I was paying for subscriptions that I hadn’t used in months (Audible, NOW TV, and ITV Player). Getting rid of these subscriptions was saving me roughly £50 a month, which of course is going into my savings.
At the beginning of February I also started a challenge that I created called £20 a week challenge. (you can find this on my instagram page) This was to reduce the amount of money I was spending each week. That £20 included my food and general spending.
I am at the end of week 2 of this challenge and I haven’t spent a penny! I have been working hard on meal prepping so I am not spending money on food.
Meal prepping is something that has change my life. I meal prep every week when I am at work, this is 1, to eat a bit more healthily at work and 2, to save money.
On average at work I was spending £6 a day on food, 4 days a week that is £24. And for the month it was £96, and for the year I was wasting £1,152 on horrible ready meals that were not good for me, both financially and health wise.
What could go wrong?
There are many things that could go wrong, such as unexpected expenses such as car repairs etc. But I am prepared this year, I am saving each month towards an emergency fund for my car and any other expenses that I may need to save for.
I have mentioned before that I use something called sinking funds to help me save towards my goals. Check out one of my 1st posts all about sinking funds and why I love them.
Are you saving money this year? 🤔
Let me know in the comments how you are going to work towards your goals. I will be posting a monthly update on my savings goals in 2020!
Speak to you soon.