I managed to save twenty thousand dollars in just two years, ten thousand of that I was able to bank within the last 8 months before I hit the road. Having been able to achieve this has mad me think that I’m now a bit of a pro when it comes to saving money quickly. If I am able to do this then I am pretty sure you are able to do it too! I’m no money expert, and I do struggle every now and then to stick to my monthly budget. I wasn’t in some massively high paid job, I was just disciplined and determined to achieve my goal because I knew the rewards would be worth it.
I like to relate saving money for travel a bit like being on a diet. If you want to shed those pounds, then you need to change your habits, the food you eat, and also the way you think about food. There are thousands of fad diets out there but deep down we all know that the only way is to eat healthy and exercise.
This is exactly the same for saving money. The simplest way to save money, without losing your mind, is to spend less and earn more. It’s not the most fun activity in the world, it is hard, but it will get the job done.
There was no grand master plan or intricate method that I used. So here’s how I did, while still having a beer a every now and then.
Set a target
You nee to be 100% certain that you’re going to travel, then decide the type of travel that you want to do. Once you’ve done that you can work out exactly how much you need. Look at what savings you already have in the bank and do the math. Set a minimum amount and see anything more as a huge bonus!
Cut your spending
Once your goals are clear it’s time to get down to the nitty gritty. Look at where you’re spending your money and go through each item to see which you can cut back. I found that most of my spending came when I was able to cut back on things that I didn’t really need. I saw that I was spending a lot on rent, so I called up the mother and told her I was moving in! I contributed but it was much less than my usual rent.
Increase your income
Sometimes cutting back on your spending just isn’t going to do it! So you need to really push yourself and maximize your earning potential. You don’t just need to work overtime or find a second job. You can start to think about things in your life you don’t need and won’t need when you travel. So I looked at my car that I barely used and decided it was time to get rid of it. The next thing was to go through all of my belongings – I couldn’t believe how much money I made!
Guys, if I can do it then so can you. It’s not easy, but it’s well worth the effort.