Small Wins Keep the Saving Train Moving Forward

For those of you that know me well, you know that I’ve always been on the cautious side of spending money. I’m a firm believer of spending less than you earn and saving for a rainy day, because just like the weather in Austin this past week… You never know when it’s going to pour.

But let’s admit it, it’s way more fun to spend money than it is to save. Saving, in general, is pretty boring. I’d much rather see a new car in the garage or a big TV on the wall or the latest tech gadget in my office — just like anyone else.

So how do I deal with that urge to spend? Well first, just like with a food diet, you can’t starve yourself. You need to figure out the right balance between enjoying the present moment and planning for the future. I know I was lucky to have had great examples in my parents to help get my started off on the right track, but I’ve been on my own for quite a long time, and think I’ve found ways to keep me headed in the right direction.

One of the things that I’ve found most helpful personally is setting small (and realistic) goals. Now I also believe that money is a very personal thing, so I’m not going to share all the details, nor would I expect you to do the same.

So let’s just take a small, semi-abstract example of saving for college for my kids. I’m a huge proponent of education, of course want the best for my kids, and would like to help them get that education. So I save a little bit each month. And like I’ve said before, I definitely recognize that it would be more fun to just spend that money on a nice dinner (or whatever), but I save it nonetheless.

But my whole point in writing this post, wasn’t just to talk about saving, it was also remind myself (and to encourage you) to celebrate those little achievements that occasionally come with doing so. When I logged into Mint the other day, I saw that one of these small savings goals just hit the other side a round number. And it truthfully made me feel good.

Will it pay for the kids to go to college? I wish! Can I stop working and retire? Not even close! But did is it going to make seeing that money leave the account next month on the regularly scheduled withdrawal date just a little easier? Absolutely.

So do something small and track it. Maybe it’s saving $20 a week when you skip Starbucks one day and pack your own lunch another. How cool is it to think that by making that one change would net you over $1000 in a year? I know I’d be happy to look at an account statement and see those three zeros. Wouldn’t you? Let me know @TalkToErik.