Real talk: most advice on how to save money is the financial equivalent of “eat more vegetables.” Sure, you could skip your morning latte and stash away $5, but if rent is eating half your paycheck, that advice just isn’t enough. You don’t need another guilt trip; you need real money-saving tips that cut costs where they matter and set you up for long-term wins.
In this guide, we’ll cover the benefits of saving money, the reasons to save money, practical strategies that actually move the needle, and how to turn your savings into future wealth. Consider these money saving tips your permission slip to ignore boring advice and start saving like a maverick.
👉 Already working on a budget? Check out our simple step-by-step guide on how to make a budget for a crash course in building a spending plan that sticks.
MoneyLion offers a convenient marketplace to compare high-yield savings accounts from our trusted partners that could help grow your money.
Table of contents
25 Practical ways to save money
Forget about sacrificing every joy in life. One of the smartest ways of saving money hit your biggest expenses first and automate the process so you don’t have to white-knuckle your way through every impulse purchase.
Here are some tried-and-true tips on how to save more money without sacrificing many of your favorite things in life.
1. Automating your savings
Think of this as paying future you first. Set up an automatic transfer from checking to a savings account on payday. That way, saving isn’t optional; it’s automatic. If your paycheck is $2,000, even shifting $100 means you’ll save $1,200 a year without lifting a finger.
2. Track every expense
Budgeting apps like Mint, YNAB, or MoneyLion’s built-in trackers can help you understand where your money is going and visualize your spending patterns – making it easy to spot unnecessary expenses and create realistic savings goals that fit your lifestyle.
👉 Explore the 7 Best Budgeting Apps for 2025 to pick one that works for you.
3. Follow the 30-day rule
Impulse spending is the silent killer of savings. The 30-day rule forces you to cool off and think about your purchase before hitting “Buy Now.” Often you’ll realize you don’t need it, and that money can stay in your account.
4. Plan your shopping around sales and use coupons
Use seasonal shopping calendars to time big purchases. For example: mattresses in May, laptops during back-to-school, and TVs around Super Bowl season. Layer in coupons and store loyalty cards.
5. Use cashback apps and rewards programs
If you’re not using cashback apps, you’re literally leaving free money on the table. Apps like Rakuten, Honey, or Ibotta give you a percentage back when you shop online or in-store. Pair those with credit card rewards programs, and suddenly your everyday spending is pulling double duty. For example: spend $500 online through Rakuten at a 5% cashback rate, and that’s $25 back just for clicking a different link.
6. Switch to generic brands
Why pay more for the name-brand ibuprofen when the store brand is literally the same formula? Generic household staples — from cereal to cleaning supplies — can potentially save you hundreds a year without sacrificing quality.
7. Cook at home and batch prep
According to the USDA, the average American spends nearly $4,500 annually eating out. Cooking at home can cut that in half. Batch prep lunches for the week, buy ingredients in bulk, and freeze portions to save time and money.
8. Use high-yield savings accounts
Don’t let your emergency fund rot in a savings account earning 0.01%. Move it to a high-yield savings account (HYSA) earning a higher APY. On $10,000, that could be $400-500 a year with a 4-5% APY.
Earn more interest on your savings by keeping your emergency fund in a high-yield account rather than a standard bank account.
9. Cancel or downgrade your subscriptions
Audit your subscriptions every few months. Ask yourself: Do I really need Netflix, Hulu, Disney+, and Max? Downgrading or cutting just two streaming services could save you $20–$30 a month or more.
10. Negotiate to reduce your bills
Yes, you can haggle with your internet provider. Call and say you’re considering switching — you’ll often get a loyalty discount. Same with car insurance and cell phone plans. A 10-minute call could save you a lot.
👉 If debt collectors are calling instead, here’s how to negotiate with debt collectors without losing your sanity.
11. Use energy-saving habits at home
LED lightbulbs, energy-efficient appliances, and turning the thermostat a couple degrees up or down can slash utility bills. The Department of Energy estimates you can save 10% a year just by adjusting your thermostat when you’re away.
12. Take advantage of free entertainment
Fun doesn’t always have to come with a price tag. Local libraries often host free movie nights, concerts, and community events. Many cities also have free museum days, outdoor festivals, or parks with live performances. Swapping one night out at the movies for a free local event could save you a lot and still give you a solid night of entertainment.
13. Buy secondhand first
Before shelling out for new furniture or electronics, check Facebook Marketplace, OfferUp, or certified refurbished retailers like Back Market. You’ll save big on items that often look and work like new.
14. Set short-term savings challenges
Try a no-spend weekend or the 52-week challenge (saving $1 more each week). Gamifying your savings keeps it fun … and can add up to hundreds a year.
👉 Try these 13 savings challenges to kickstart your stash.
15. DIY whenever possible
Basic repairs (think: fixing a leaky faucet, changing your car’s air filter) can save $100 or more per job. YouTube tutorials turn “I can’t afford it” into “I fixed it myself.”
16. Walk, bike, or use public transit
Cars eat cash. Between gas, insurance, and maintenance, AAA estimates owning a car costs over $12,000 annually. If you can replace even a few trips with walking, biking, or public transit, your wallet (and health) will thank you.
17. Carpool or use ride-sharing
Carpooling with co-workers or splitting rides with friends cuts commuting costs. Bonus: it’s better for the planet.
18. Sell items you don’t need
Declutter and make money. Sites like Poshmark, eBay, or even local consignment shops turn unused clothes, furniture, and gadgets into cash.
19. Take advantage of price matching and price protection
Many retailers will refund you if their price drops within a certain window. Apps like Capital One Shopping track price drops for you, so you don’t leave money on the table.
👉 Learn how price protection can save you even more.
20. Cut down on your interest payments
High-interest credit card debt is the enemy of savings. Pay off those balances aggressively or transfer to a 0% APR card. Even consolidating loans can shrink your monthly payments.
👉 Explore the best no-interest credit cards to save on interest.
21. Refinance or consolidate credit card debt or loans
If you’ve got student loans, an auto loan, or a mortgage, check if refinancing makes sense. A lower interest rate can free up hundreds a month for savings.
👉 Compare the best debt consolidation loans and see if you qualify.
22. Find ways to reduce your housing costs
If housing eats more than 30% of income, downsizing, moving to a less expensive neighborhood, or getting a roommate could potentially save you hundreds to thousands monthly. Housing is the biggest expense for most people, so even small percentage changes are massive over time.
23. Switch to a more affordable car
If you have a high car payment, trading in for a reliable used vehicle with no payment can instantly free up hundreds per month. Plus, cheaper insurance and maintenance.
24. Review your insurance plans annually
Shopping your car, home, and renters insurance every year keeps rates competitive. You could save hundreds without losing coverage.
25. Take advantage of government-assistance programs (if you qualify)
Check resources like 211.org to find local assistance programs. SNAP (food benefits), LIHEAP (energy assistance), and Medicaid can provide crucial support while you work on building savings.
👉 If you’re struggling, see more tips on how to stop living paycheck to paycheck.
How to maximize your saving money potential
Saving is only half the game. What you do with the money matters just as much.
Build and maintain an emergency fund: Set aside 3 to 6 months of essential expenses in a separate, easily accessible account. This safety net prevents you from going into debt when unexpected costs arise.
Take full advantage of your employer 401(k) match: If your employer offers matching contributions, contribute at least enough to get the full match. It’s essentially a . way to get free money.
Find ways to earn more money – but avoid lifestyle inflation: When you get a raise, bonus, or new income stream, resist the urge to increase your spending. Instead, direct the extra money into savings or investments to accelerate your financial goals.
Make the most of tax-advantaged accounts: Use Health Savings Accounts (HSAs) or Flexible Spending Accounts (FSAs) to save on medical expenses and reduce taxable income.
👉 Saving for the Future: 14 Essential Things to Save For
How to set realistic savings goals
Not all savings are created equal. Break them into:
- Emergency funds: Short-term, liquid, non-negotiable.
- Short-term goals: Vacations, new tech, or a wedding fund.
- Long-term goals: Retirement, home ownership, financial independence.
SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound) make it easier. For example: Save $3,000 in 12 months for an emergency fund by setting aside $250 each month.
👉 How Much of Your Paycheck Should You Save?
Why Savings Money Feels So Good
These saving money tips aren’t just about surviving emergencies. It’s about having choices. Want to quit a job you hate? Savings give you leverage. Dreaming of travel, a house, or early retirement? That’s savings at work.
Even if you’re starting small — $20 here, $50 there — momentum builds fast. And once you automate, negotiate, and invest wisely, you’ll realize the benefits of saving money aren’t just financial. They’re emotional: peace of mind, freedom, and confidence.
Your Top Insights
Every dollar you don’t save now is a dollar you’ll wish you had later.
FAQs
What is the best way to save money?
Automating savings and tackling big expenses first. Small cuts help, but systems beat willpower. Try these money hacks for beginners.
What are the benefits of saving money?
Security, freedom, and the ability to cover unexpected costs without going into debt.
Why is it important to set a savings goal?
Goals give direction and keep you accountable, making saving feel achievable instead of abstract.
How to start saving money?
Start small, automate it, and scale up. $25 a week may not seem like a lot, until you realize it adds up to $1,300 a year.
