When we make poor decisions with our money, especially when it comes to saving, we limit the choices we can make and risk creating a financial strain that can be avoided.

How are you when it comes to saving? Here are six signs you are not saving enough money to provide for a stable financial future:

1. You Don’t Have Budget

Financial stability (and financial freedom) starts with a budget.

When you create a budget, you decide how you will spend and save your money. If you do not have a plan for your money, it will be nearly impossible to save because it will be spent somewhere. Always. 

Here’s how easy creating a budget can be: 

  • Figure out how much money you have coming in after taxes.
  • Total your fixed expenses, like your rent or mortgage, car payments, insurance premiums, and utilities.
  • Total expenses that fluctuate, like groceries, entertainment, gas, credit card bills, and clothing.
  • Subtract your expenses from your income.

If you have money to spare, then you have money to save for an emergency fund, for a rainy day, or for a special purpose, like a down payment on a home.

2. You Frequently Look at Your Accounts, but for the Wrong Reasons

Some people check their bank balance all the time because they are OCD (you know who you are). 

Others constantly check their accounts to make sure they have money to spend at that moment. If money is in the account, then it’s permission to buy something right then and there. 

If you’re frequently checking your account balance with the hope you have money to spend on something, you probably aren’t saving enough. 

If you want out of this feast or famine cycle and to save more for your future, the place to start is a budget. Look at where you are spending and look for ways to cut back and save.

Also, establish a savings goal each month. Maybe it’s a percentage of your income or a fixed dollar amount. The key is to start with something that is doable, so you don’t get discouraged.

3. Those Small Purchases Today Means Less Money Available Tomorrow

You know the drill. You shop for 1 item online, then comes the offer to buy $10 more of product to get free shipping or a modest discount. And you bite on the deal and part with more of our cash.

Small purchases add up over time. If you haphazardly spend $3 a day on small, unplanned purchases, that’s about $20 a week, $90 a month, and $1,000 over the course of a year. 

Be intentional when you spend. Avoid those small purchases because they can have an enormous impact on what you can save.

4. Mindless Credit Card Swipes that Wipe Out Future Savings

Credit cards can be a powerful tool in your overall financial strategy, but not when you are mindlessly swiping them to buy things you don’t really need.

When you overspend on a credit today, you will not have money to save in the future because you’ll have to make monthly payments. And, if you carry a balance, you are wasting even more money on interest – money that could be diverted to saving more. 

So, before you swipe, have a plan. No more mindless transactions. If you want to avoid the negative trappings of credit and debt, spend with a plan to pay off your balance each month.

5. Retail Therapy is Not Therapy

Let’s face it, it feels good to spend money and buy new things. But the feeling fades quickly. And then you’re left with less money and stuff you probably don’t need or want. The more you buy, the more clutter you have.

Remember, clutter creates stress just as much as not having money does. So, while you might get a quick fix buying something new, you’re also adding to your stress levels later on.  

If you want to break the habit of retail therapy, get clear on what keeps you shopping. What feeling does swiping that card for a new pair of jeans, or a new home decor piece give you? 

Identify that and replace the behavior with something that has a positive effect on your life.  

6. You Find Too Much Enjoyment in Stuff

We all want nice things. At Budgeting Couple, our aim is to teach you to be smart with your money so you can enjoy life.

But accumulating stuff and doling out your hard-earned cash for all that stuff is not a recipe for enjoying life.

When you derive too much enjoyment from stuff, you are depleting your financial resources, not to mention cluttering your house and life.

You might think you have the liberty to spend your cash on stuff, but there’s no freedom to do the things you want if you don’t have the financial resources.

Having things can be a good thing but strike a balance. Be mindful of what you buy and bring into your home. Do you need it? Does it serve a purpose? Will it make your life better or easier?

Don’t mortgage your future for stuff you don’t really need.

To take saving seriously, embrace these takeaways:

  • Create a budget and stick to it.
  • Avoid mindless and impulsive purchases ASAP.
  • Find enjoyment by embracing life. Not buying stuff.

UP NEXT: The 7 Powerful Habits That Will Put You on a Path to Achieve Financial Freedom

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