Three Small Habits of People Who Can't Save Money

First, I believe that many small things can accumulate into something big.

The social atmosphere of believing in the saying "Many a little makes a mickle" and saving small change has disappeared long ago, making it often feel pointless to save small amounts. Even if you open a savings account, the interest is not high, so even if money accumulates in the account, people think it is worthless because the interest rate is lower than the inflation rate. However, if you do not save money, you will have nothing even for the essentials when you really need it.

Second, there is one bank account.

Have you heard of the "Four Accounts" method of managing bank accounts? It involves setting up separate accounts for income, expenses, investments, and emergency funds. The idea is to transfer the fixed monthly expenses from the income account, allocate a portion of the remaining money after fixed expenses to the investment account, and save the rest in the emergency fund account. The key to this account management method is to clearly see the flow of income and expenses at a glance, and to understand the size of your monthly salary so you can control your spending. If you are using just one account and have no idea how much money is coming in or going out, go to the bank right now and open separate accounts.

Third, do not be stingy about late fees and commissions.

Please check whether you are not taking seriously the situation where you have to pay various taxes such as city gas bills, apartment management fees, and car taxes, and end up paying more because you miss the due dates. The late fee for electricity bills is 1.5%, and considering that the returns on savings accounts these days are around 1-2%, it is definitely not a small amount that can be ignored. Not spending money that you don't need to spend is the beginning of good expense management!