Money Saving Challenge: Save $1,000 in a Month (Free Printable)

How would you like to save money without working extra hours at your day job? Imagine boosting your savings account and setting aside $1,000 with these simple yet effective money-saving methods! Plus, a useful free printable to help you with the $1,000-a-month challenge!

I get it—saving money can feel tough. In fact,  42% of Americans have less than $1,000 in their savings account. But what if I told you that you could save money just by cutting back in a few key areas?

While earning extra income is always helpful, sometimes the best way to save is by rethinking your spending habits. Take a look at where your money is going, trim some living expenses, and start saving immediately!

What does it mean to save $1,000?

First of all, you shouldn’t stop at just a thousand dollars in your savings account. But if you’ve always had trouble saving money, then you could make this amount a reasonable target. You’ll see your bank account increase over time, which should motivate you to keep going.

Imagine this: if you can save $1,000 per month in extra money and put those savings into an investment vehicle with a great interest rate, then it should grow exponentially over time! And all that with minimal to zero effort!

It’s a starter emergency fund

Dave Ramsey, a well-known and trusted personal finance expert, even suggested saving up your first $1,000 as the very first “baby step” towards financial freedom. Having $1,000 in your emergency fund gives you some sort of financial cushion to help you deal with unexpected expenses.

You can replace a bust tire or afford an out-of-pocket tooth extraction procedure without getting into more credit card debt. That gives you some financial relief, allowing you to find your footing should you get whacked by a financial emergency.

It helps build momentum for you to keep saving money

Second, when you’re able to save $1,000, it only affirms that you can save money if you put your mind and heart into it. It helps you build momentum for saving money. Once you’ve done it, you know for sure that you can do it again. This is the momentum you need to secure your financial future.

For most people, the most difficult part of saving money is getting started. But once you’ve put some money into your saving money, you tend to want to keep doing it. Sure, you can’t build wealth right away, but what matters is that you get started NOW!

It allows you to stick to your savings goals

Also, saving at least $1,000 helps you identify and stick to your savings goals. You want that money to go somewhere important and valuable to you—whether you want to pay off your credit card debt, save up more for an emergency fund, or contribute more to your retirement savings.

Along the way, you realize that you can stop spending on random things and focus on things that bring the most value to your life.

You can invest $1,000

Finally, you can invest $1,000, and it will keep making money for you!

You have built a solid emergency fund, so the money you make now can be invested into different vehicles. You could invest in fractional shares or purchase small pieces of stocks of big-name companies. This way, you could invest little by little and learn the ropes of investing without spending a huge amount upfront.

With $1,000, you could also invest in real estate without really owning any property through Fundrise. And if you haven’t yet, you could start investing in ROTH IRA, which allows you to build retirement savings tax-free.

These are just ways to use your extra 1,000 dollars, and there are plenty more options. This proves that you can achieve your savings goal and even make extra money for investment by religiously looking for ways to save money.

24 Easy Ways to Save $1,000 

Want to put more money into your bank account? Here are the top ways to save $1,000 without working more.

1. Create and stick to your budget

If there’s one thing personal finance experts teach to help you save more money, it is to make a budget. You need a budget to manage your income and ensure that you don’t overspend. A budget also helps you see spending categories you could reduce or eliminate, so you can free up money that you can put toward savings. There are various ways to do this, but if you’re new to budgeting, you may want to follow the 50-30-20 Rule or use the cash envelopes system.

Related posts:

• How to Create a Realistic Budget
• 15 Sinking Funds Categories to Include in Your Budget

2. Cancel unused subscriptions

Did you know that you are spending money on multiple subscriptions when you could put that extra cash into your bank account? So, you have Netflix and Hulu, barely watching any of them. You could save almost $200 a year if you canceled one of them.

Now let’s talk about that gym membership you rarely use. Since you can’t commit to a workout schedule regularly, scrap that gym membership that costs you $30-$70 per month and put that extra cash into your savings accounts. You can always jog around your neighborhood or build a mini gym at home.

3. Bring lunch to work

Another expense that’s probably eating (pun intended) into your cash flow is the lunches you buy at work. Say you spend at least $10 for each lunch, that would have been at least $2,600 in extra money you save each year!

But if you prepare your own lunch using last night’s leftovers, that lunch costs you zero dollars. Even if you spend money preparing lunch to take to work, you will still come up with significant savings compared to buying from a cafe or restaurant.

4. Cut the cord

You probably didn’t realize it, but your cable bill is subtly eating a portion out of your household expenses. But if you’re already subscribed to a streaming service, you could make some room from your monthly budget by cutting the cord. You could save around $80 per month or $480 in a year, and all you need to do is call your provider!

5. Practice delayed gratification

One of the most effective ways to save money is simply by not spending it. This strategy is known as delayed gratification, which helps create a buffer between your emotions and impulsive purchases. By resisting the urge to buy on impulse, you become more mindful and intentional with your spending. I personally practice delayed gratification, and trust me—it works!

So the next time you go to the mall and the moment a shiny thing catches your eye, hold that thought and don’t take out your credit card. Instead, mull it over for the next few days, even up to a week. Chances are, you won’t even want to purchase that item anymore, and you’ll be happy to save that money for something far more meaningful in life.

6. Turn off lights and electricity when not in use

Another way to make more money from your own budget is to conserve power. This means turning off lights in rooms where they’re not used and shutting down the TV or PC when nobody is watching or using it. This might seem a trivial gesture, but those little savings add up over time.

7. Use a programmable thermostat

One of the best things money could buy is a programmable thermostat. When properly used, it will pay for itself in the long run. As long as you program the thermostat to certain temperatures throughout the day, you are sure that you’re not wasting any unnecessary money — and instead saving it.

According to Energy.gov, you could save 10% of your heating and cooling costs by adjusting the temperature to around 7 degrees than the normal setting.

If you don’t a programmable thermostat, consider making little sacrifices, such as opening all the windows during a hot day or bundling up with layers of clothes on a cold one.

8. Be wise at the grocery store

The grocery store can trap you into spending more money than you should. If you don’t do it right, you’ll wreak havoc on your budgeted monthly expenses. Here are some of my best money-saving tips while grocery shopping:

• Do not shop hungry.
• If possible, leave your kids at home.
• Time yourself and don’t spend any more time than you should.
• Create a list and stick to it.
• Opt for generic brands.
• Find the best deals and use coupons and discount codes.

Related: 52 Clever Ways to Save Money on Groceries

9. Join rewards programs

There is plenty of legit rewards program that helps you make more money just by using them. You earn rewards and even real cash when you shop through their portals or connect your account. Think along the lines of Ibotta, Shopkick, Rakuten, Swagbucks, and Dosh. These cashback apps and rewards programs are easy to use and work with almost any retailer.

Sure, you won’t save 1,000 dollars overnight, but over time, the amount adds up until you’ve saved enough money to buy yourself a nice dinner or gift. I personally received over $2000 with Rakuten and over $1000 with Ibotta so I know they are legit and they work! that’s essentially free money!

10. Re-visit your insurance policies

You probably didn’t realize it, but you’re paying too much for car insurance. On top of car payments, car insurance is something that every car owner deals with. But if you’re financial goal is to live on your income without working more, you need to free up money from things like this.

You want to look at your policies at least once a year or when your life situation changes. Switching insurance companies or finding competitive rates with better coverage could help you save money without making much of an effort.

11. Stay healthy

We’ve all been told repeatedly that “health is wealth,” and you’ll probably never realize the gravity of it until you’ve had to deal with exorbitant medical bills. Staying healthy is cheaper and even helps you save more money!

For instance, you need to drink more water, eat more fruits and veggies, work out more and let go of life-threatening (and expensive) habits like drinking alcohol and smoking. With these basic steps, you can prevent lifestyle diseases and avoid nasty hospital bills.

12. Make automatic deposits

One of the best and most efficient ways to save money is to set it and forget it. These automatic transfers pull away your predetermined savings amount from your checking account and place it directly into your savings account at a set date of the month. That way, you are sure that you are putting away enough money into your bank account consistently.

13. Be wise with credit cards

We can’t argue that credit cards are useful and convenient, but they’re also a double-edged sword. If you overuse them and cannot pay your credit card balances, the interest charges increase, and you’ll find yourself in a messy financial situation.

The best way to use a credit card is to ensure you’ll have enough money to pay off the balance. Not only will this help you maintain or increase your credit score, but you could also accumulate points or miles to use for future purchases or travels.

14. Switch to cash

If you can’t control yourself using a credit card, you could switch to a cash-based spending plan. You just need to take out the right amount of cash and allocate them to spending categories. To do this, you must figure out an appropriate monthly or weekly allowance to know how much to withdraw from your bank account.

The envelope budgeting system is an amazing tool to help you manage cash effectively. You won’t incur credit card debt, you won’t have to deal with interest charges, and you know you’re only buying what you can afford.

15. Freeze your spending

Another great way to save more money is to do a spending freeze. This is a strategy that prohibits you from spending money on your wants. You could buy the bare basics, such as food, car payment, and groceries, but you can’t make any unnecessary expenses, such as movie tickets and fancy dinners, for a period of time.

If you’re planning to do a spending freeze, you need to make a conscious spending plan to ensure you’ve covered all your basics. This strategy teaches you to become more aware and vigilant of your purchases, allowing you to save hundreds of dollars. This is a temporary setup, and it can be a great way to get things in motion, especially if you want to stop yourself from making impulse purchases. Check out these tips to win your no-spend challenge!

16. Plan your meals

How many dinners a week do you resort to takeouts just because you don’t know what to cook? Unfortunately, food is a huge budget buster; if you plan your meals, you’re bound to overspend in this area.

The best way to save money on food is to plan your meals. You could batch-cook a couple of dishes, so you just need to take out a portion from the fridge, heat it in the microwave, and eat. You could also plan your meals around what’s on sale or where you could use your coupons, which helps you save money on groceries.

If planning your meals is intimidating or burdensome, you could use my free meal planner printable to sort things out!

17. Switch to a cheaper plan

You need to make the most of your plans; otherwise, it’s a waste of money. Look over your cell and internet plan and check if you’re actually using as much bandwidth or talk time. If you’re paying more than what you’re actually using, then try to find a better deal.

A bundled plan often comes out cheaper, especially if you’re looking into a family plan. Also, switching to another carrier is a great option, allowing you to save as much as $930 a year.

18. Bring your own water

Nowadays, bringing your own water tumbler is hip and cool, and it can also lead to significant savings too! According to studies, reusable water bottles could save you at least $800 a year, maybe more!

Now that’s a nice and effortless way to save money. Not only will having your own water handy keep you hydrated, but it also helps you stay away from unhealthy drinks, such as flavored juices and soda.

19. Look for free entertainment

If there’s one thing the pandemic taught us, it’s that we can entertain ourselves at home! So forget about movie and concert tickets if you’re serious about growing your savings. There are plenty of ways to entertain yourself and your family at home without spending another dollar.

How about you do a movie marathon come Friday night? Or blow up that inflatable pool and let the kids enjoy a mini-swimming session outdoors. Or, you could set up camp in your backyard and stargaze at night. These are just some examples of spending quality time with your brood without paying anything.

20. Declutter and sell your stuff

Another excellent way to save 1,000 a month is to sell stuff you no longer use. If you take a long hard look inside your home, you’ll find that there are plenty of things that are just taking up space but are hardly ever used. Your kids’ bikes that they’ve outgrown, that treadmill in your garage, even those cookware that is still in their boxes because you’ve got a duplicate.

Decluttering and selling this stuff frees up space at home, and those sales could easily inflate your savings account.

21. Not purchasing? Put the money into savings right away

So you have some money sitting in your checking account and intend to use it to buy something. But because you practiced delayed gratification, you realized that you don’t want to buy it anymore.

So what do you do with that unused money? Save it! Whenever you decide not to push through with a purchase even when you’ve budgeted for it, put the funds into your savings and watch it grow!

22. Follow a money-saving challenge

If you think saving money is boring, why not turn it into a fun challenge? There are plenty of ways to challenge yourself to save money, but I recommend the 52-week savings challenge, vacation savings challenge, and the Christmas saving challenge. You could find other money-saving challenges that suit your financial goals.

23. Save your coins

You may not realize it, but you can save a lot of coins throughout the year. You mindlessly dump them into your loose change jar or piggybank and do not notice that you’re coins are almost overflowing.

You want to roll those coins and take them to your bank or credit union. Alternatively, you could deposit your coins at the nearest Coinstar Kiosk, where you can get a gift card or a cash voucher.

24. Save all unexpected money

So you earn a fixed amount every month and use that figure to budget everything. But what if you received a sales commission, a cash gift on your birthday, or a huge tax refund? Surely, you can already imagine all the wonderful things you could spend that money on.

But hold your horses! There’s no stopping you from spending unexpected money. But this money could help you grow your savings quickly. Perhaps spend a portion of that money on your “want,” and another portion goes to your financial goal (such as paying your credit card debt or student loans or contributing a significant amount to your retirement fund).

The last portion goes toward savings. That money could go the extra mile so you can save $1,000 dollars fast!

Conclusion

Congratulations! You’ve just reached the bottom of this post and explored over 20 ways to save 1,000 dollars. Remember: you might be unable to save a thousand bucks in a month by using just a single strategy in this list. It is unlikely to save that much just by using a cashback app or turning off the lights.

But, if you follow and practice all (if not most) of these steps, then saving money without working more becomes more doable.

What would you do if you saved thousands of dollars? Let’s connect in the comments. 

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