I recently have done a lot of research and finances and using the best methods to save my money. Whenever I am on Pinterest, I see pins about money challenges which I rarely clicked on. One day I decided to see what all the fuss was about and I am glad I did. I am going to share with you why I enjoy doing these money challenges.
What exactly is a money challenge?
A money challenge is a way to save a certain amount of money in a certain given period.
How long is a money challenge?
There are differing amounts of money challenges depending on your lifestyle and long-term financial goals. I have seen a 4-week money challenge and up to a year-long money challenge.
How do I start?
First, check your financial situation. Different money challenges, as stated above, fit different lifestyles. A thing to keep in mind when choosing your money challenge is that the shorter amount of time the money challenge is, the larger amount you are putting away. For example, A 3-month money challenge might have you putting away $200.00 a week while a year-long money challenge will have you putting away $50.00
How do I follow a money challenge?
Many money challenges have already made charts that will help you in your saving journey. Each day, week, or month, the chart will tell you to put away a certain dollar amount to your savings. In order to keep track of everything, I always make my own Excel sheet. The excel sheet has four columns which I use to track my money–the time period (day, week month), the projected goal, the actual amount saved, and the total amount saved. I include the projected amount and the actual amount in my chart to personalize my chart. Some weeks, whether through an emergency such as a blown tire or a shopping accident, we are not able to make our money goal. What I don’t meet in a certain time period, I make up for it by distributing the money I need to save through several time periods.
What do I do when my challenge is over?
Personally, I plan on doing one every year. When I say there is a challenge for everyone I really mean it. I have seen money challenges to save for Disney World as well as one for a down payment on a house. If you’re like me, and just want to save to save, that is okay too. But, I do recommend that you celebrate when the challenge is over. Whether you buy yourself a new pair of shoes or treat yourself to a super deluxe sundae, it is always important to celebrate your personal achievements.
Do you want to know more about money challenges? Do you have tips or questions about money challenges? Please leave a comment below!