How to Set Realistic Savings Goals
Savings goals must be realistic to have any chance of success. It's no good planning on saving a certain amount of money per month if you have to go without food to do so. Instead, set a smaller goal that you can keep to easily and you'll find that it all adds up without financial pain. But before you can save, you need to know just where all that money is going, so spend a week or so - longer if it's for a business - in jotting down everything you spend each day. Include magazines, snacks, cold drinks or coffee, purchased lunches, fast food or dinner out - everything.
Once you see where the money is going, you can make decisions about which 'money-leak' you'll stop. You also need to define what sort of person you are. If you are the sort of person who tends to spend everything in your pocket, then make sure you limit what goes into that pocket. Having your money put straight into your bank account and setting up high interest savings accounts facility may be the best thing you ever did.
But remember to leave enough money in your working account to pay all those bills on time. Late accounts often attract extra charges and this will not help you save money. Having a term deposit for a long-term savings goal for something you really want will help motivate you to save more.