Tips & Tricks

How to set your savings goals for 2020

Easy financial new year’s resolutions you can actually keep

By Marina on 05 January 2020

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It’s officially the start of a new decade. Twenty-twenty is the perfect opportunity to start thinking about your money and savings goals for this year - or even long-term financial planning for the next ten years! Whatever your goals are — whether it’s buying your first home, planning a destination wedding, paying off student loans or starting a family — we have you covered with the best money-saving tips to get you started!

Plan and set goals

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What’s your financial objective for 2020? Saving for an emergency fund? A new laptop? Paying off a loan? Whatever it is, start by writing down your financial resolution and put it somewhere where you’ll be able to see and read it aloud every day. It’ll work as a daily reminder to help keep you on track throughout the year. Also, talk to your friends and family about what your money goals are. Loved ones can often help motivate and hold us accountable, helping us reach our aspirations even faster.

Get rid of debt

To start saving, the first step is to get rid of your debt as soon as possible. Whether it’s a credit card or a loan, make it one of your goals to fully pay off at least one of your debts in 2020. Figure out how much you owe and what percentage you can realistically put towards paying off that debt each month.

Set a budget

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No matter which budget plan you choose, it must cover your overhead costs. Overhead expenses are the main necessities you pay each month. This includes payments such as rent, student loans, groceries, petrol, utilities, mortgage and car payments and any other recurring expenses.

Once you have your basics covered, make sure you’re putting a portion of your money towards your savings, emergency fund or debt. You can even name and create a pot for each on your Monese app.

Finally, what you have left over is what you can spend on your “wants”. Making a budget and sticking to it can also help you avoid overspending. You’ll have a better grip on your finances and feel more in control of where your money is going. You can give yourself a spending limit with Monese’s budgeting feature to help!

Cut back

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Once you’ve made and examined your budget, it’ll give you a chance to sit back and reflect on your lifestyle. Take a careful look and analyse your spending (the spending overview feature on the Monese app is great for this). Is there an area where you could afford to cut back? Pick one thing in 2020 that you can eliminate from your spending. This could be pricey dinners with friends, shopping sprees, unnecessary cab rides or all those after-work happy hours. You’d be surprised to see how much those extra splurges can add up to over a year!

So in 2020, make it a point to choose one thing you can do without, and either save or put that extra money towards something you truly need instead.

Stay on top of foreign exchange rates

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With major political events happening around the world and across Europe, it’s essential to stay in the know on how your home currency is affected. The pound, for example, has become weaker against the euro given all the turmoil over Brexit. If you do need to transfer from pounds to euros, save and make the most of your money by taking advantage of Monese’s excellent currency exchange rates.

To keep informed on foreign exchange rates, you can check the live rates right on our website or on your Monese app under the Pay section. You’ll see the conversion before confirming your transfer. You’ll find that your transfer will be cheaper and faster in comparison to traditional currency conversion services.

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We’d love to hear what your money goals are for the new year. Share your plans and any other savings tips and tricks with us on Facebook, Twitter, Instagram or write to us at community@monese.com