A Mothers Ramblings: Saving Plans - I HATE THEM!

Monday, 28 November 2016

Saving Plans - I HATE THEM!

I HATE SAVING PLANS.

Actually that isn't true.

I hate the saving plans that start circulating more heavily in the next few weeks. The ones that are titled things like;

2017 Weekly Saving Plan! 

or

Save £1378 in just one year!


or

Easy 2017 Jar Saving Plan!



Don't get me wrong, saving £1378 during the year does sound good BUT there is a reason why if you undertake these you are bound to fail.

Sure saving £1 on week one is manageable. You've already thinking about Christmas and are worried about spending a small fortune. On top of that you probably didn't save a lot for Christmas and so are awaiting a rather hefty Credit Card bill or dreading checking your balance to see just how far into your overdraft you are.

Now think about the last week of next year. You know, the week where you have to save £52 in one week.

Think you could afford it?

I know for a fact that I couldn't afford to save £52 in one week, or as it would be £202 in the last month of the year.

And I do save for Christmas during the year!


Of course, sometimes you do get plans where it is reversed. You know, save £52 the first week, £51 the second, £50 the third...


Again with the £202 in the one month!


Again I CAN'T afford to take £202 out of my budget in one month.

Can anyone seriously say they can afford to save £202 in one month? I think if they can, then they might be the sort of people who would be better off just saving £200 a month in a bank account and at the end of the year seeing they have £2400 plus a very small amount of interest.

Savings, Savings and More Savings.


Instead I much prefer a simpler idea to save during the year.

Pick an amount you can save per month.

Open up a new savings bank account.

Set up a direct debit for the amount you worked out you can save per month.

And then for the rest of the year, any extra cash you have put into the new savings account or just let your monthly direct debit add up.

It's what we did for our car fund and this past Summer I got a new to me car.

It's what we did for our new PC fund and Flyfour has spent that money on a rather lovely new PC, that is still a few months later top spec.

It's what we are doing for our holiday fund and soon we'll be on that holiday!

I don't think what I am saying is new or original, but I do think that it's a much more sensible way to save. What do you think?