Name: ACCOUNTANT EXPLAINS: 6 Ways to Double Your Savings THIS Month
Uploaded: 2025-05-04T03:36:10.000Z
Duration: 6 min 58 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

Future simple

I'm Nisha, I'm a qualified accountant and a former investment banker, and in this video I'm going to reveal the six things I did to double my savings and how you can do the same without making any drastic changes to your lifestyle.

The imperative

Gerund

Number one, make it simple by breaking it down.

This sounds ridiculously simple, so much so that most people don't do it.

Yet, just by taking these two steps, you're twice as likely to reach your savings goal.

The first step is to break your goal down into smaller, more manageable chunks and add a timeline to it.

When you just look at that big number, it seems pretty daunting, but when you break it down, it becomes much more doable than just trying to work towards a vague, lofty target with no timeline.

So let's say you want to save $10,000 in 12 months, then you need to save around $193 per week.

That's a lot more manageable than trying to save $10,000 all at once.

It feels like maybe it's something you can do with a little bit of planning.

What about if you want to save that $10,000 in just six months, then you need to save $385 per week, or if you want to do it in three months, you need to save $770 per week.

Now we've broken it down, the second step is to automate.

Set this up as an automatic transfer from the account you get paid into, into a separate savings account.

By doing these two things, you're now, A, paying yourself first, so when it comes to finance, it's very easy to keep increasing your spending to consume all of your income.

But when you reduce the amount that's available to you, it prevents that money from just slipping through your fingers on everyday expenses.

And B, if you get a few months in, and you're feeling too restricted, you can always course correct and adjust the automation, but at least you've built up a solid savings habit in the meantime.

Or you can do the next step, which is number two, revise your top three.

The best place to optimize your spending and make room to save more is by targeting your biggest expenses.

According to the Office for National Statistics, the average person's biggest costs are transportation and housing.

This takes up almost 50% of most people's take-home pay.

The good news is that finding a way to save on these can make the biggest difference.

So for instance, when you look at your housing costs, can you renegotiate your rent?

Most people just accept what the landlord says.

But you should also have your own number that you're willing to pay and explain why your landlord should potentially consider it.

And I've done this before for my own rent.

I negotiated the rate down by exchanging other things in return.

So I gave up a parking space, as I didn't have a car, and therefore my landlord could just do whatever they wanted with that parking space, potentially rent it out to someone else and make some money for it.

I also signed an extended lease at the time, giving them reassurance that there won't be any void periods.

That was one of my biggest expenses that I got down.

Are you paying for unused features of your car insurance?

Since housing and transportation are amongst the biggest expenses people have, this is where you can really save big.

By the way, if you're enjoying this video, I'm running a completely free five-day Save 1K This Month challenge.

The challenge is completely free to join.

And all you have to do is go to nisha.me forward slash save before Sunday midnight to sign up.

And by the way, we ran this challenge in June, and there were thousands of people in the community all sharing the best money tips, the best savings hacks.

So I guarantee you'll learn one new thing that you can implement into your life straight away.

You can head to nisha.me forward slash save for all of the details.

Number three, ask yourself these two questions.

It's so easy to get caught up in the hype when a new product launches or hits the market.

We instantly convince ourselves that we absolutely need this latest and greatest, even if our current version is totally functional.

This is where you need to, before you buy that thing, pause and ask yourself two really important questions.

When you're laser focused on an ambitious saving goal, like £10,000 or $10,000, then you have to be ruthless about your discretionary spending.

It's so common for our wants to sneak into the needs category, derailing our progress.

So before making any purchase, take a step back and honestly assess whether that thing's a true necessity.

If the answer is no, then you need to know what to cut back in order to stay on track.

If the answer is yes, then you're going to ask yourself the second question, which is, how can I get this thing for cheaper?

By pausing and asking yourself this question, you're more likely to find an alternative to get that thing for less.

Whether it's looking through comparison websites, negotiating deals, buying it secondhand, or waiting for a Black Friday sale.

You open up the door to so much more savings that can be funneled right into your savings goal.

In most cases, you want to do this before you start saving money.

When you save money, you're basically lending your cash to the bank for it to then lend to other people, so that other people, or the other person, is borrowing.

The difference here is that you earn interest from your savings whilst the bank earns interest from borrowings.

And the thing is, it always costs more to borrow than you can earn by saving.

So let's say you save $5,000, which earns 4% annually in a high interest savings account.

This generates about $200 in interest over the course of the year.

But if on the other side, you have $5,000 in credit card debt at an 18% interest rate, the interest charges will cost you $900 over that same year.

So even though you're saving money on this side, you're still in the negative by $700.

It's always going to cost you more to borrow than you will earn from saving.

High interest debt is going to grow faster than the interest you make from savings.

That's why it's more effective to pay off high interest rate debt first.

And once that debt is cleared, you can then start building your savings without the drag of compound interest working against you.

And then number five, think, want, do framework.

This is a simple way to categorize your spending into three buckets.

Fundamentals, which is essentially your necessities, things that you absolutely need, rent or mortgage, transportation, groceries, utility bills, even phone bills, internet.

Fun, which is your wants, this is your guilt-free spending, date night outs, going to the movies, hanging out with friends, buying your nice clothes, shoes.

And that's everything that's going towards the future you, short and long term savings and investments.

What you want to do here is use the think, want, do framework.

Balance how much you think, want, and you do spend in these three Fs.

Start by estimating how much you think you spend on each category, compare it to how much you want to spend, and then finally track how much you actually spent.

For example, let's say you spend 500 in the fun category every month, but you want to spend 300.

And when you track your spending, you're actually spending 200 a month.

Once you know this, you can redirect that 300 from fun into your future, i.e. to put it towards your saving goals.

Getting this balance right is the key to finding more money into your savings without feeling deprived or taking away from what you already enjoy.

If you're looking to save more money, there are essentially three ways to do it.

The first is to cut your costs, which we've already spoken about.

The second is to optimize your spending, which we've also spoken about.

Start a business, negotiate your salary, switch jobs, sell some old stuff.

You can only save as much as you can make, but you can always make more.

So those are six things that will help you double your savings with a little effort.

If you like this video, remember to sign up to my savings challenge, nisha.me forward slash save for all the details.