{"id":27381,"date":"2023-06-22T12:40:15","date_gmt":"2023-06-22T12:40:15","guid":{"rendered":"https:\/\/www.lendingstream.co.uk\/blog\/?p=27381"},"modified":"2023-06-22T12:40:17","modified_gmt":"2023-06-22T12:40:17","slug":"how-to-save-money-from-salary","status":"publish","type":"post","link":"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/","title":{"rendered":"How to Save Money From Salary? [12 Great Ways]"},"content":{"rendered":"\n<p>Did you know that almost a quarter of Brits don\u2019t put any of their monthly wage into savings? Living paycheck to paycheck can make it difficult to reach your financial goals. But if you want to handle your personal finances better, putting money away from your salary is crucial.<\/p>\n\n\n\n<p>The below breaks down the top tips on how to save and budget money from your salary.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69f2980ce8189\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69f2980ce8189\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#how_much_of_your_salary_should_you_save_%e2%80%93_the_503020_rule\" >How much of your salary should you save? &#8211; The 50\/30\/20 rule<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#50_for_living_expenses\" >50% for living expenses<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#30_for_wants\" >30% for wants<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#20_for_your_savings_goals\" >20% for your savings goals<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#how_to_save_money_from_salary_12_steps\" >How to save money from salary: 12 steps<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#1_track_your_monthly_expenses_and_review_them\" >1. Track your monthly expenses and review them<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#2_review_your_income\" >2. Review your income<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#3_delete_online_shopping_apps\" >3. Delete online shopping apps<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#4_find_cheaper_ways_of_entertainment\" >4. Find cheaper ways of entertainment<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#5_use_debt_smartly\" >5. Use debt smartly<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#6_explore_frugal_living\" >6. Explore frugal living<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#7_reduce_your_electricity_consumption\" >7. Reduce your electricity consumption<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#8_automate_your_savings\" >8. Automate your savings<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#9_avoid_impulse_buying\" >9. Avoid impulse buying<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#10_save_your_salary_increases_or_bonuses\" >10. Save your salary increases or bonuses<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#11_avoid_late_repayment_fees\" >11. Avoid late repayment fees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#12_take_advantage_of_loyalty_programs_and_rewards\" >12. Take advantage of loyalty programs and rewards<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#where_should_i_save_the_money_from_my_salary\" >Where should I save the money from my salary?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#conclusion\" >Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#faqs\" >FAQs<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#what_is_the_504010_savings_rule\" >What is the 50\/40\/10 savings rule?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#can_i_invest_the_money_from_my_salary\" >Can I invest the money from my salary?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-from-salary\/#how_to_save_money_from_salary_if_my_salary_is_low\" >How to save money from salary if my salary is low?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"how_much_of_your_salary_should_you_save_%e2%80%93_the_503020_rule\"><\/span><strong>How much of your salary should you save? &#8211; The 50\/30\/20 rule<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The general rule that you can strive for with your monthly income is the <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/50-30-20-rule\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>50\/30\/20 rule<\/strong><\/a>. Here&#8217;s how it works:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"50_for_living_expenses\"><\/span><strong>50% for living expenses<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>You can divide 50% of your monthly salary after tax to cover your needs. Make a list of expenses that are essential and can&#8217;t be avoided. This might include your rent costs, car payments, high-interest debts, electricity bills, insurance, food, and groceries.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"30_for_wants\"><\/span><strong>30% for wants<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Allocate 30% of your salary to yourself. Use this portion to pay for lifestyle expenses like subscriptions, eating at restaurants, travel, etc.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"20_for_your_savings_goals\"><\/span><strong>20% for your savings goals<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Save 20% of your salary to build a financial cushion for the future. This can include saving for retirement contributions, pension funds, or other long-term goals. Or you can use it as an emergency fund.<\/p>\n\n\n\n<p>As you get better at financial planning, you can change the proportions as you want.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"how_to_save_money_from_salary_12_steps\"><\/span><strong>How to save money from salary: 12 steps<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"1_track_your_monthly_expenses_and_review_them\"><\/span><strong>1. Track your monthly expenses and review them<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"532\" height=\"399\" src=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Track-your-monthly-expenses-and-review-them.jpg\" alt=\"Track your monthly expenses and review them\" class=\"wp-image-27382\" srcset=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Track-your-monthly-expenses-and-review-them.jpg 532w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Track-your-monthly-expenses-and-review-them-300x225.jpg 300w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Track-your-monthly-expenses-and-review-them-80x60.jpg 80w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Track-your-monthly-expenses-and-review-them-265x198.jpg 265w\" sizes=\"(max-width: 532px) 100vw, 532px\" \/><\/figure>\n\n\n\n<p>When you track your monthly expenses, you gain a clear idea about the flow of your money. As the first step, jot down your expenses in a notebook or record them in a spreadsheet. You can even use a <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/best-budgeting-apps\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>budgeting app<\/strong><\/a> to track your money.<\/p>\n\n\n\n<p>Use your monthly salary to categorize your expenses into &#8216;needs&#8217; and &#8216;wants&#8217;. Analyse the &#8216;wants&#8217; section and put a question mark on the expenses that you could cut out. The goal is to identify unnecessary expenses and avoid them in the upcoming months.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"2_review_your_income\"><\/span><strong>2. Review your income<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>There are two ways of saving money &#8211; reducing your expenses and increasing your income. If you&#8217;ve made cuts to your expenses but it isn&#8217;t enough, you can start looking for ways to make more money.<\/p>\n\n\n\n<p>If you have a hobby that you&#8217;re good at, you can turn it into a side business. It could be anything, from baking, blogging, dog walking, or selling your art or skillset on the side.<\/p>\n\n\n\n<p><strong>Also read:<\/strong> <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-save-money-this-winter\/\">Best Ways to Save Money This Winter<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"3_delete_online_shopping_apps\"><\/span><strong>3. Delete online shopping apps<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"532\" height=\"399\" src=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Delete-online-shopping-apps.jpg\" alt=\"Delete online shopping apps\" class=\"wp-image-27383\" srcset=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Delete-online-shopping-apps.jpg 532w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Delete-online-shopping-apps-300x225.jpg 300w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Delete-online-shopping-apps-80x60.jpg 80w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Delete-online-shopping-apps-265x198.jpg 265w\" sizes=\"(max-width: 532px) 100vw, 532px\" \/><\/figure>\n\n\n\n<p>Notifications from online shopping apps can lead to spending money that you didn&#8217;t account for. If you want to save money, deleting the apps might be a good idea for a while. If you need to buy something, you can go to a shop to physically buy it.<\/p>\n\n\n\n<p>If you have a habit of overspending, this trick will help you save money fast.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"4_find_cheaper_ways_of_entertainment\"><\/span><strong>4. Find cheaper ways of entertainment<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>We live in a digital age of so many subscription services. Sure, it might not be part of your essential expenses, but relaxation is also important to your wellbeing. If you want to save money, you could share TV, magazine and app subscriptions between households and friends. It&#8217;s a win-win for everyone.<\/p>\n\n\n\n<p>Additionally, seek our inexpensive yet fun ways of spending your free time. Like inviting your friends for a home-cooked dinner instead of going to a restaurant every time. Or you can go for hikes or a walk in a nearby park.<\/p>\n\n\n\n<p><strong>Also read:<\/strong> <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/ways-to-save-money-in-your-20s\/\">Best Ways to Save Money in Your 20s<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"5_use_debt_smartly\"><\/span><strong>5. Use debt smartly<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"532\" height=\"399\" src=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Use-debt-smartly.jpg\" alt=\"Use debt smartly\" class=\"wp-image-27384\" srcset=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Use-debt-smartly.jpg 532w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Use-debt-smartly-300x225.jpg 300w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Use-debt-smartly-80x60.jpg 80w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Use-debt-smartly-265x198.jpg 265w\" sizes=\"(max-width: 532px) 100vw, 532px\" \/><\/figure>\n\n\n\n<p>The word debt can be scary. But debt isn&#8217;t necessarily bad for you. Instead of running away from loans, learn how to use them. When you&#8217;re faced with sudden large expenses, you could take out a <a href=\"https:\/\/www.lendingstream.co.uk\/loans\/short-term-loans\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>short term loan<\/strong><\/a> or an alternative to <strong><a href=\"https:\/\/www.lendingstream.co.uk\/loans\/payday-loans\/\" target=\"_blank\" rel=\"noreferrer noopener\">payday loan<\/a><\/strong> to cover the unexpected.<\/p>\n\n\n\n<p>These loans usually have small instalments that you can pay over the next few months. They can reduce the burden of sudden large expenses.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"6_explore_frugal_living\"><\/span><strong>6. Explore frugal living<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"532\" height=\"399\" src=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Frugal-Living.jpg\" alt=\"Frugal Living\" class=\"wp-image-27385\" srcset=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Frugal-Living.jpg 532w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Frugal-Living-300x225.jpg 300w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Frugal-Living-80x60.jpg 80w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Frugal-Living-265x198.jpg 265w\" sizes=\"(max-width: 532px) 100vw, 532px\" \/><\/figure>\n\n\n\n<p>Frugal living is a lifestyle that may help you save money. Frugal people do not overspend and find cheaper ways to live.<\/p>\n\n\n\n<p>A <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-09-07\/uk-consumers-become-more-frugal-bloomberg-survey-shows-chart#xj4y7vzkg\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Bloomberg survey<\/strong><\/a> shows that more than 40% of high-income earners in the UK are looking for more discounts and deals to embrace frugal living.<\/p>\n\n\n\n<p><strong>Examples of frugal living include:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Meal planning and cooking at home<\/li>\n\n\n\n<li>Second-hand shopping<\/li>\n\n\n\n<li>DIY projects to save money on repairs, home improvements, or even crafting<\/li>\n\n\n\n<li>Energy and water conservation<\/li>\n\n\n\n<li>Using public transportation or carpooling<\/li>\n<\/ul>\n\n\n\n<p>You can consider living frugally for a while until you&#8217;re happy with your savings accounts.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"7_reduce_your_electricity_consumption\"><\/span><strong>7. Reduce your electricity consumption<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Reducing electricity consumption is good for you and the environment. It will reduce your monthly electricity bill, which will help you save money. A simple tip to start saving money is to turn off the appliances when you&#8217;re not using them.<\/p>\n\n\n\n<p>You can also reduce the number of hot showers that you take. These small actions can help you reduce your energy consumption and your <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-much-money-solar-panels-save-on-electricity-bill\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>electricity bill<\/strong><\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"8_automate_your_savings\"><\/span><strong>8. Automate your savings<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>If you can&#8217;t trust your spending habits, it may be worth automating your savings. By setting up a standing order from your bank account, you can transfer part of your salary into savings accounts every month. By timing it to go out when your wages go in, you\u2019ll hardly miss it.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"9_avoid_impulse_buying\"><\/span><strong>9. Avoid impulse buying<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Whenever you&#8217;re tempted to make an <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-stop-spending-money-on-unnecessary-things\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>impulse purchase<\/strong><\/a>, wait for a cooling-off period, usually 24 hours. This gives you time to consider if you truly want to spend money or if the desire will pass. Often, you&#8217;ll find that you can live without it and save money in the process.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"10_save_your_salary_increases_or_bonuses\"><\/span><strong>10. Save your salary increases or bonuses<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"532\" height=\"399\" src=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Save-your-salary-increases-or-bonuses.jpg\" alt=\"Save your salary increases or bonuses\" class=\"wp-image-27386\" srcset=\"https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Save-your-salary-increases-or-bonuses.jpg 532w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Save-your-salary-increases-or-bonuses-300x225.jpg 300w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Save-your-salary-increases-or-bonuses-80x60.jpg 80w, https:\/\/www.lendingstream.co.uk\/blog\/wp-content\/uploads\/2023\/06\/Save-your-salary-increases-or-bonuses-265x198.jpg 265w\" sizes=\"(max-width: 532px) 100vw, 532px\" \/><\/figure>\n\n\n\n<p>Anytime you get a raise, incentive, or bonus, it\u2019s tempting to use it to reward yourself. But just because you have more money doesn\u2019t mean you have to spend more! Fight the temptation and put the extra money straight into your savings plan.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"11_avoid_late_repayment_fees\"><\/span><strong>11. Avoid late repayment fees<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Late fees on credit cards are an avoidable cost. Make sure you factor your credit card payments into your salary budget. It&#8217;s easy to forget, but use an app or set a monthly reminder. This way you can stay on top of your <a href=\"https:\/\/www.lendingstream.co.uk\/blog\/how-to-pay-off-credit-card-debt\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>credit card bills<\/strong><\/a> and prevent yourself from dipping into your salary further.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"12_take_advantage_of_loyalty_programs_and_rewards\"><\/span><strong>12. Take advantage of loyalty programs and rewards<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Why pay full price when you can reduce spending by signing up for loyalty programs offered by your favourite stores or brands? With living costs on the rise, it could be a quick win. Accumulate points or rewards that can be redeemed for discounts, cashback, or freebies. This way, you can maximize your savings on regular purchases.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"where_should_i_save_the_money_from_my_salary\"><\/span><strong>Where should I save the money from my salary?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>When considering where to save money from your salary, there are several options you can consider:<\/p>\n\n\n\n<ol class=\"wp-block-list\" type=\"1\">\n<li><strong>Individual Savings Account (ISA):<\/strong> ISAs are available to all UK residents. They come in different types, such as Cash ISAs and Stocks and Shares ISAs. Cash ISAs offer tax-free interest, while Stocks and Shares ISAs allow you to invest in the stock market with potential tax-free returns, but it should be kept in mind that these investments are subjected to market risk and you can lose your money too. So, invest carefully.<\/li>\n\n\n\n<li><strong>Regular saving account:<\/strong> Many banks and building societies in the UK offer regular savings accounts. These accounts often require you to deposit a fixed amount each month and may have limits on withdrawals. You can set up a direct deposit and the money from your salary will be automatically transferred to the saving account.<\/li>\n\n\n\n<li><strong>Workplace pensions: <\/strong>If you&#8217;re employed, your employer may offer a workplace pension scheme. These schemes provide tax advantages and often include employer contributions, making them an attractive option for saving money long-term.<\/li>\n\n\n\n<li><strong>Fixed-term savings bonds:<\/strong> Fixed-term savings bonds, also known as fixed-rate bonds, offer a fixed interest rate for a specified period. These accounts generally provide higher interest rates than standard savings accounts, but your money is locked in for the duration of the term.<\/li>\n\n\n\n<li><strong>Investment platforms:<\/strong> You can consider using investment platforms or online brokers to invest in a wide range of assets, such as stocks, bonds, and funds.<\/li>\n<\/ol>\n\n\n\n<p>Consider your financial goals, and risk tolerance when choosing where to save your money.<\/p>\n\n\n\n<p>It&#8217;s often beneficial to have a diversified approach, spreading your savings across different accounts and investment vehicles to maximize returns while balancing risk and accessibility.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Living from paycheck to paycheck is rarely a good idea. It makes you rely on your job and can be dangerous in situations like layoffs. Saving money from your salary can help you build a safety net to handle emergencies and rainy days. You can invest the money from your salary to create a passive source of income.<\/p>\n\n\n\n<p>If you have recently found a new job or have been working for a few years now, it&#8217;s always a good idea to save money from your salary.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"faqs\"><\/span><strong>FAQs<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1687437177871\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"what_is_the_504010_savings_rule\"><\/span><strong>What is the 50\/40\/10 savings rule?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>As a general rule, the 50\/40\/10 rule method suggests splitting your salary into three areas: needs, wants, and savings. 50% of your salary should be for essentials, 40% to spend on your financial goals and 10% for your wants.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1687437192189\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"can_i_invest_the_money_from_my_salary\"><\/span><strong>Can I invest the money from my salary?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p><strong>Yes, you can invest your saved money in stocks, mutual funds, fixed-rate bonds, or other investments but it should be kept in mind that these investments are subjected to market risk, and you can lose your money too.<\/strong> So, evaluate your options and choose ones that align with your financial goals, risk tolerance and personal preference.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1687437212411\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"how_to_save_money_from_salary_if_my_salary_is_low\"><\/span><strong>How to save money from salary if my salary is low?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>You can start small by saving as much as you can. Review your expenses and cut down unnecessary spending. Try to find an additional income stream or a second job to increase your income.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n\n\n<p><strong>Disclaimer:<\/strong> We are not providing financial advice, these are just tips for informational purposes.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Did you know that almost a quarter of Brits don\u2019t put any of their monthly wage into savings? Living paycheck to paycheck can make it difficult to reach your financial goals. But if you want to handle your personal finances better, putting money away from your salary is crucial. The below breaks down the top [&hellip;]<\/p>\n","protected":false},"author":48,"featured_media":27387,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[139],"tags":[],"class_list":["post-27381","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-money"],"_links":{"self":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/27381"}],"collection":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/users\/48"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=27381"}],"version-history":[{"count":2,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/27381\/revisions"}],"predecessor-version":[{"id":27389,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/posts\/27381\/revisions\/27389"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/media\/27387"}],"wp:attachment":[{"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=27381"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=27381"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lendingstream.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=27381"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}