How to start saving up for your dream purchases


We all have a dream of buying something in the future, right? Maybe the only thing that is preventing us from making that bigger purchase is money. Saving money is not an easy task, especially if you have a low-paying job, and a family to feed - but it is still possible to save.

You see, to start saving, you will need to make some changes to your lifestyle - perhaps you may reconsider how you spend your money or explore alternative ways to increase your income. As long as you have that determination to achieve your goals in life, nothing can stop you from achieving them.

Have a budget

The first step of saving up for your dream purchases is to set up a budget plan. What are you saving for? Is it a luxury vehicle or a big apartment? Once you know your next big purchase, know how much it will cost you to achieve that dream. Perhaps if you want a luxury car, you should visit to know more about their prices.

When creating your budget, you should factor in things like how much you earn and the amount you can set aside for your dream purchase. Again, you should include all costs including insurance and maintenance, which will come with what you intend to purchase with your savings.

Plan your spending

Once you have a budget, you should now focus on your spending habits. This is not the time to live a luxurious life; buying things you don't even need or use. When shopping, you should focus on buying what you 'need' and not what you 'want'. This will help you cut off some unnecessary expenses.

Again, when shopping, you should always do a price comparison. However, it doesn't mean you should always buy cheap products, but price comparison can help you save a few dollars. If you realize where your money is going, you can easily plan on how to downsize some expenses so that you save more for your dream purchases.

Open a savings account

Now that you have the money, where are you going to keep it? If you plan on keeping your money under the mattress, or something close to that, you should rethink this decision. You may end up spending your savings on something else - maybe an emergency. The best thing to do at this moment is to open up a savings account.

More so, you should automate your savings, so that you set aside a percentage of your monthly income to be deducted from your salary. This way, the money is deposited directly into your savings account without a second thought. If you already have a bank account, you should open another specifically for your dream purchases.

Invest your money

How about you put your money somewhere where it grows over time? You see, you may not be able to raise enough money within the required period to make your dream purchase - which is why you need an alternative way to grow your savings. If you invest your money wisely, it will definitely bring higher returns.

For starters, you can choose to invest part of your savings, perhaps 10 to 20% of it. If you realize the investment is worth your money and it is yielding greater returns, you can go ahead and invest the rest of your savings. In no time, you will have the money you need to make your dream purchases plus a few extras.