Saving $10,000 in one year may seem like a daunting challenge. You may think it’s near impossible. But imagine how beneficial it could be!
You wouldn’t have to worry about not having enough money in case of an emergency. You could take that luxurious vacation you’ve been dreaming about. You’d be so much closer to reaching your biggest financial goals, like finally paying off your student loan debt.
With the right game plan and discipline, saving $10,000 in a year can be possible. We’ll walk you through how to go about making it happen.
A Realistic Approach to Saving $10K in One Year
Ten thousand dollars is a big number to think about, so let’s break it down into more digestible chunks.
If you want to save $10,000 in a year, you’ll need to save $833.33 each month.
That’s still a pretty big number to work with, so let’s break it down even further. You’d need to save $192.31 each week or $27.40 every day to reach your $10,000 savings goal.
Here’s another way to look at it: If you get paid every two weeks, you’d need to put aside $384.62 each time you get paid.
If you’re going after this savings goal with a spouse or partner, you can divide those amounts by two. You’d each need to save $416.67 each month, $192.31 biweekly, $96.15 weekly or $13.70 each day to reach a collective $10,000 in a year.
Keep Your ‘Why’ In Mind
Before you go about attempting this saving goal, it’s important to know the reason why you want to save $10,000 in one year.
Reflecting on why you want to save up $10,000 will help you keep pushing when you want to stop being disciplined and just blow all your money on a shopping spree.
An extra $10,000 in your bank account can help blaze your path to financial freedom. Maybe your emergency fund is low, and you want a bigger financial cushion to be able to fall back on. Or maybe you want to use the money to pay off credit card debt or student loans so you can be debt free.
Perhaps you need seed…