Setting a savings goal for yourself is exciting. Your goal could
be as simple as putting some money aside for emergencies or you may
want to save for a home deposit, car, holiday or a wedding.
Whatever your circumstances, once you start a regular savings
plan you may surprise yourself with how much you can achieve once
you put your mind to it.
How to achieve your savings
If you have borrowed money on a high interest rate, make paying
off that debt your priority before putting your money into
When you set yourself a savings goal it's important to get a
savings plan together so you can make your dream a reality. After
all, a goal without a plan is just a wish.
Here are some techniques used by confident savers:
- Know how much money is needed
- Have a clear savings plan
- Regularly review your progress
- Have a specific saving time frame
- Tell your family and friends about your goal
- Check your bank
Those who review, remind themselves and publicly commit to their
savings goals are more likely to achieve them.
How Australians save money
Have you ever wondered what it takes to be a successful
Our saving infographic shows how
Australians save money, people's different saving styles as well as
the techniques used by successful savers.
Know how much money you need
The first step to achieving your savings goal is to work out how
much money you need to save and how long it will take you to save
If you have a smartphone, download our free savings app
TrackMyGOALS. It will help you set up a savings plan and set, track
and meet your savings goals.
You can also use our saving goals calculator to work out how
much you'll earn in interest if your savings are put in a savings
account or term deposit.
Savings goals calculator
If you prefer to write down your savings goals use this savings plan.
Make some cut backs
To achieve your savings goal, you may have to cut back on
optional expenses like entertainment, dining out and shopping.
To see where your money is going and to identify areas where you
can save, dowload our free spending tracker app
You can also use our budget planner to see how much money is
coming in and going out each week, fortnight or month.
For tips on how to save for different goals, see:
Saving for a short-term
Be realistic with your timeframe so you don't make it too hard
on yourself to reach your target.
Short-term goals are things you want to achieve within the next
couple of years. These goals could be to pay off your credit card
debt, buy a new TV, go on a holiday or buy a car. Whatever you have
in mind, set yourself a realistic timeframe.
The best way to save for short-term goals is to reduce your
spending on non-essential items, like entertainment, dining out,
memberships or subscriptions. It is often easier to stay on top of
your spending if you use cash, EFTPOS or a debit card when shopping
instead of using your credit card. See spending for tips on how to keep track of
where your money is going day to day.
Make your savings work for you by putting your money into an
account where it will grow. Savings accounts are great because you
can earn compound interest on your
If you're on a low income, you may qualify for one of the
savings programs offered by some charitable organisations. For
more information see other programs for
low income earners.
Saving for a long-term
Long-term goals are plans you want to achieve in around 5 years
or more. This could include buying a home or paying off your
mortgage, paying for your children's education or saving for
For long-term goals think about investing some of your money. Get some financial
advice to work out a good investment strategy to reach your
Saving money for
Whatever your goals, it's a good idea to put some money
aside for emergencies. Keep this 'rainy day' fund separate to your
savings and everyday money. As a guide, aim to save up enough money
to cover your expenses for 1- 3 months. Remember to keep this money
for real emergencies and top it up again after you use it.
Saving is easier than you may think. The trick
is to start small and start now. Set your goals, create your
savings plan and begin to make your dreams a reality.
Last updated: 10 Oct 2016