It all adds up

Here are some great tips on how to save money while working at Innovative Fitness and what has worked for me.

1.) Set an amount you would like to put into your RRSP account each month. Once you have a set amount going into this account bi monthly you’ll be surprised how fast the money starts to build. In one year I am saving approximately $4320 per year. In 5 years I’ll have saved over $21,000 plus the interest it has accumulated.

Let’s use my RRSP account for an example:

$150 per pay period x2 = $300 going into my RRSP account each month

(IF will partner up with you and add an additional 20% of what I put into my RRSP each pay period) 20% of $300 = $60 per month.

Grand total saved per month = $360 per month x12 months= $4320 per year.

2.) Wasted money on the pleasures you do not need. These can include buying overpriced muffins at the local bakery five days per week, having the ultimate cable package when you do not watch much TV.

Here are two examples:

I reduced my cable package from having 60 channels to 29 channels since I rarely watch TV. Each month I am now saving $20 per month.

$20x12= $240 saved in one year.

I use to drink 7 coffees per week and quite often I added in a high fat cookie or scone. Instead I added one more hour of sleep into my schedule and brought my coffee intake to approx 3 coffees per week and took out the goodies which I really don’t need. I estimate I save $20 per month x12 months per year = $240 saved per year.

3.) Start a savings account at your local bank. I set a goal to strive for in the total pay cheque amount. This keeps me accountable so I can save money.

Example:

Put a set % of your total earning per month into your chequings account. This money is the money you can spend and is within your budget for the next 2 weeks. Next, put away a % of money into your savings account. This money you cannot touch, unless there is an emergency or your in need of a present for yourself. Let’s say you put away $100 per pay period into your savings account and get great interest. $200x12months= $2400 saved per year.

4.) Do not live beyond your means. You do not want to be the poor dude who everybody thinks is rich. (Drives the fancy car, wears $300 shirts and blows money at the bar). If you cannot afford a big screen TV and have to go into credit, then wait till your savings account has accumulated and then treat yourself to a TV. That way, you will not be going into debt and you can always have things you can afford.