you all know I’m all about saving money
so today I’m going to share how I’m saving 50% of our income to reach
financial independence whoo it’s gonna be a doozy but I’m gonna give you some
really great actionable tips on how to save money how we’re saving money so
that you in return can increase your savings right so let’s get into it any
friends welcome to freedom in a budget I’m Kelly and today we’re talking about
saving money how to increase your savings rate what we’re doing to
increase our savings rate but before I get into it I do want to give a
disclaimer because I know I’m gonna cut comments that say you make so much money
if I made you much money I could save so much money – okay fair argument but I do
have to say guys lifestyle inflation lifestyle creep is real it is a struggle
it is something that we struggle with it is something that I know so many people
that struggle with this look at Wendy Valencia Wendy Valencia has a whole
channel dedicated to helping people that make over six figures worth of income
get out of debt get their life back together because they struggle because
they are living paycheck to paycheck shows just because someone makes six
figures doesn’t mean that they don’t live paycheck to paycheck that is
something that is so real but so many people that are making you know lower
incomes feel like if you’re going to get all of this money then your all your
problems are going to go away no it’s not I now make I don’t want to say this
to brag or anything like that but just to give you hope or to inspire you or
whatever maybe but when I first started this channel I made $100,000 less than
we make now a hundred thousand dollars and at you guys have seen my
transformation on this channel if you’ve been with me for four years now and I
budget the exact same way my budget are the exact same way they’ve just grown a
little bit each year and we’ve been able to bring in more income and that’s not
just because Jamie and I got married no it’s not we have grown our income
probably $40,000 yeah about $40,000 since we got married
and that is from kicking our butts at our day job that’s from our side hustle
that’s from so many different things that
we have been able to grow our lifestyle so that is not what these videos about
but I just have to get this rant off my chest because I’ve gotten so many
comments about it and guys that’s not true yes it may be easier when you make
more money but you have to keep into consideration lifestyle creep you have
to keep into consideration bigger bills we have a bigger house in our apartment
so our bills are a lot higher now that takes up more income so we are saving
50% of our income back to the video raining it in hope that wasn’t too long
with tangent okay hope you’re so with me please stay with me guys I got a lot of
really actionable tips in here that you can take as well to save some money
yourself so let’s get into it the first thing that we do is we use the
wish list technique the wish list half whatever you want to call it and what
this is is there’s something that we want to buy we put it on our wish list
we add it to our cart and sit on it for a week if we still want it on a week
then we will make sure that it’s in the budget and purchase it if a week later
we’re like why did I want that I do not want that recently that I came across
that I was watching a video and someone talked about a pizza roller and I was
like I’ll be amazing I want a pizza roller I want that that’s gonna be
awesome it’s gonna be a game-changer a week later I was like Kelly you do not
need that no you’re not buying that that’s stupid like yeah it may help but
no you have so many other tools in your kitchen that you don’t need that so that
is a great way that you can just kind of stop your spending stop overspending if
you really want it then it’ll be there and if not and then also sometimes guys
lifehack if it’s sitting in your car a lot of times you’ll get an email from
Target from Etsy from different places where they’re like coupon if you
purchase this will give you 20% off you know don’t let it sit in your car let it
let’s let’s get you to purchase they want you to push that purchase so a lot
of times if you leave it in your cart you’ll get an email saying a couple days
later saying are you sure you want this you forgot this so that is a great life
hack and then also with this is I use Amazon wishlist for presents so if
there’s something that I want throughout the year that I want it but I don’t want
it enough to take of my personal money or spend from our
monthly budget I’ll put it on a wish list and then when christmas is coming
around my birthday comes around when my family asked me kelly what do you want
for christmas i can give them the wishlist link and then they can go and
buy it from there which i’m happy because then i’m getting items that I
actually want they’re happy because they’re not like what the heck are we
going to buy Kelly this year and it’s just an easy trade and then it’s it’s so
easy for everyone and then they can go and buy it for me what’s on so you guys
don’t use Amazon wishlist they’re amazing if you don’t use the
Amazon Prime I do have a code for you guys for 30 days free trial of Amazon
Prime so I’ll have that link down below for you guys but you can cancel it right
before it super easy it’s not one who has like pull a leg do all this stuff
and it’s like give up your first board to cancel the membership now so I’ll
have that link for you guys down below in the description next time is that we
an ago she ate our bills so every six months or so I will go through all of
our bills see what we can negotiate see if we’re overpaying in car insurance and
everything like that this used to be a task that I would dread and honestly I
would try and do it every six months and then it ended up being like every year
year and a half because it was just a chore that I dreaded but I knew the
importance of it but now guys I have learned about places like Bill shark
Gaby that will do all the negotiation for you they will go and you load your
information up they will compare rate they will tell you if you’re getting a
good deal they’ll tell you the different companies that are a better deal it is
so easy and you can really compare your policy when I first started shopping
around for car insurance I didn’t understand the limits I didn’t
understand what exactly I was paying for and so I saw one company was $200
cheaper and I was like that’s awesome until I learned how the limits work and
I was like oh I mean it crap with that one yeah it’s kind of worth it to be
with this one so it helps to shop around it really helps to negotiate your bills
guys so many of those policies they they just kind of creep up and creep up and
creep up and it may be it $2 extra this month $5 extra this month a new link to
much of it and the next thing you know you’re way over paying so if you’re
going through every six months use things like bill shark use since like
gabi where they will do it all for you guys it’s so easy and you can save
ridiculous amounts of money ridiculous amounts of money it is so cool it is is
just awesome so go check them out I’ll have them down below not sponsored not
sponsored if you’re finding value and enjoying this that would love you to
subscribe to my youtube channel join the family and also like the video it really
helps to boost the video it helps YouTube they push it out and the
algorithm and whanau so it’s a great free way to help me out help my channel
out I really really appreciate it next is that we are under written budget
y’all know freedom in a budget y’all know I love my budget guys budgeting
it’s changed my life you guys know this you know my story budgeting has truly
changed my life so I believe everyone should be on a zero-based budget
everyone you be on a budget we will be budgeting for the rest of our lives we
are debt free but we will be budgeting for the rest of our lives it really
gives you freedom it really puts you in control of your expenses it really does
just it’s a game-changer it’s amazing so I do have my budgets in Excel I haven’t
Google sheets all of that linked up down below but being on a budget is so
important it really shows where you’re overspending where you can cut back
where’m if you can spend some more you know I was just talking when Mike ogres
the other day about clothing expenses and she was like my boyfriend spent so
much in clothing it’s ridiculous and I said okay well why don’t you talk to him
about having a clothing allowance her clothing line item in your budget so you
can spend $50 $100 whatever you want in your budget and then that gives him
permission to spend that gives him permission to go and buy those shoes or
those pants or whatever he wants but it’s not overspending and then if he
wants something for $75 but it only has $50 he has to wait until the next month
and it can add up and accumulate or say it’s only $25 and he wants to get it
just go ahead and get it it’s in the budget you can you can spend it whereas
people like no no I can’t spend on clothing I can’t spend on this that
can’t spend on this no it’s okay get the coffee get the clothes do everything
just make sure it’s in the budget and it’s accounted for and you have it
allocated out so rant over on budgeting but budgeting
has been a game changer in helping us say 50 percent of our income next is
meal prepping guys it’s meal prepping that is amazing way to save some money
so you guys have all seen it go all around Instagram and everywhere I
personally opposed it on Instagram that if you spend at 27 dollars and 40 cents
a day on mindless spending you have blown through ten thousand dollars in a
year that’s crazy now a lot of people like twenty seven dollars that’s a lot
of money maybe I overspend by five dollars okay do you get coffee on your
way to work with a bagel do you get lunch every day out for their co-workers
or out on your lunch break I bet you that’s over $27 just those two
things if you’re doing that every day every five days a week it’s gonna add up
fast guys you have to be in pencil at your spending you have to be in control
and make sure that you are not blowing it and mindless spending so bringing
your lunches to work that saves so much money if you are meal prepping bringing
your lunches bring your breakfast we’re doing intermittent fasting like I am but
$27 a day adds up to $10,000 say you stopped going out for lunches every
single day and you put that into your savings
say what’s win seven dollars today ten thousand dollars if I asked you at the
beginning of the video can you say ten thousand dollars and you said no there’s
no wakens in ten thousand dollars in year I bet you if you did a lot of these
tips not even all of them if you did half the number of tips that I’m giving
in this video use in ten thousand dollars a year or you could put ten
thousand dollars more towards your day I really believe that you could I really
really believe it there are so many ways that you are probably mindless spending
they are not even realizing it if you just started bringing your own food to
work meal prepping your dinners meal prepping your lunches you could save so
much money I promise you you could and it’s delicious and you know what’s in it
you know the ingredients you know what’s in it guys
it’s so much better for you next is we stop buying things that were just on
sale here’s another ring coming for you guys
Kohl’s let’s talk about Kohl’s hopefully Kohl’s that’s not sue me for this but
Kohl’s is so famous they would like Bed Bath & Beyond they’re so famous for
having these incredible sales and you’re thinking you’re saving so much money and
you look at your seat and it’s like you
saved $378 by shopping at Kohl’s today you know we all know that they jacked up
their prices so that you can get a deal and everything is fifty percent up sixty
percent up 70 percent off no it is not it is not you cannot find a single thing
that has full price in those stores because everything is inflated and then
they give you the discount and then they put it on your receipt you say this much
money by shopping at Kohl’s no no you didn’t and if you are going out and
spending things that you don’t need I have a friends bless her heart she
recently told me about some items that she bought that was a ridiculous deal
and it was all this crazy fancy organic foods and all this stuff and it was a
store was closed and she got all this stuff and she spent all this money and
it was like all 50% off when before it was like $18.00 and she got it for nine
it was such a great deal okay but would you be buying that stuff anyways or
would you be buying a cheaper version or a generic version so maybe you spent
nine dollars on the item but you could have got the item before for six dollars
so you’re really spending three dollars more no you’re not save me money I hate
to break it to you now if you’re going to be buying the item anyways
that’s a different story but a lot of those items you’re not you’re not really
gonna be buying so all these sale flashes it’s just to
get you in the storage just to get you to spend more money I used to work in
retail I used to work in a grocery store and different retail places and we would
put the sale items very strategically throughout the store so that as you’re
going for the items in the circular and they’re flyer you’re going through other
higher price items we would pair them together so there may be a sale item
sometimes the store would lose money on those sale items but it’s right next to
an item that is really high profit margin for the store so that you’re able
to get that as well cuz they go together right yeah marketing is smart marketing
is so smart so be careful this next one up I’m just gonna put it out there I’m
not saying that this is a way to save money for you but I am just saying that
this is one of the reasons that we have been able to save money is because we
don’t have kids just putting it out there
that is one of the reasons that we are able to have a higher savings right now
I’m not saying that if you do have kids you can’t have a 50% savings right
that’s not the case at all but that is when the reason that is
something that’s contributed to us being able to save a lot of money so just one
put it out there another thing is we have no debt besides our mortgage we are
not paying interest on student loans we’re not paying interest on credit
cards we’re not having all of those extra bills that people would debt have
that people have with consumer debt hat we don’t have that the only debt that we
have is our mortgage now yes we are paying a lot in interest with our
mortgage because about the beginning rely but guys that does save us so much
money every single month if we had a car payment if we had credit card bills we
had student loan debt if all of those that would that would be a lot of money
and we weren’t be able to save as much so being debt free is really really
helpful for us to have a high savings rate and to be able to reach financial
independence that much faster I have a few more tips but before I get to those
I do want to remind you guys of where to keep your savings so I got asked all the
time where is the best place to keep my savings account do I keep in my checking
account do I keep it in savings where do I keep it do I keep it in the mattress
under the bed where do I keep my money I personally recommend high-yield savings
account so they are a really really great way to make some money have some
compound interest on your savings I recommend CIT Bank I think they’re
amazing they’re incredible they’re great way they have really really high yield
savings a high API I think it’s like 1.7 percent right now at the time they’re
recording and they here awesome so I’ll have a link for them down below but a
high-yield saving is a great way to keep your savings or if you want to keep it
in a brokerage account or an IRA or putting extra towards your mortgage
that’s another great way as well so when I see my savings rate it doesn’t
necessarily mean how much I’m putting towards just my savings account that may
be how much I’m putting towards my I rate that may be how much I’m putting
towards my extra on my mortgage different places like that so I include
all of that in my savings rate so I hope that makes sense
next is all of our raises that we received from work we put towards
savings we love the same lifestyle as when we first got married and even
before that that we put all of those towards savings anytime we get a raise
whether it be a merit increase whether it be a bonus at work whatever may be
that always goes towards our savings we do not inflate our lifestyle we don’t go
out buy a new car in it we don’t go buy a fancy vacation with it no all of our
raise money of the extra percentage it all goes directly to our savings and
next this is a huge one is we have worked our butts off our butts off at
our careers we have worked our butts off to get those raises to get those bonuses
to work overtime there’s so many times where I do not want to work some
overtime but I do because when the patient comes that overtime was worth it
and then also with my business guys you know how hard I work on this channel and
how hard I work my blog in all the other aspects many coaching all of that
everything that goes into freedom and a budget I’ve worked my butt off to get
the income level that I have and I have big goals of what to grow this channel
where to grow my business in general so all of that money that I get from
freedom in a budget it all gets reinvested into the business it gets
reinvested into our savings and it has been a huge impact on being able to hit
our goals and being able to increase our savings rate so that’s really cool but
guys we have busted our butts I’ll be honest it’s it’s been a lot but it’s
totally worth it totally worth it next we’re going to talk eight ways that you
can improve your finances this is gonna be a game changer and really being able
to hit those goals just turn your life around with money
turn your perspective around with money I know that money is a taboo subject I
know that it’s scary sometimes of really having to think about it you don’t want
to think about it but it’s gonna be really helpful for you it really is so
I’ll see you in that video