One of the main reasons why people get into debt is because they don’t save. And when any unexpected event occurs, they don’t have much money left. And in such situations individuals end up taking a loan or use credit card, ultimately they end up falling into the debt trap.

Normally, a salaried individual should save equivalent of 3 months of your expenses for any emergency. And when starting a business you should have saving of another 3 months of your expenses, which translates into a 6-month saving.

But do you think saving before starting a business is an impossible goal?

It’s actually not. Here’s how:

Save 10% to 15% of your net income: Sometimes it will be necessary to make small cuts on entertainment or vacation. And definitely, it would be worth.

Keep a journal of expenses and record everything you buy. You can do it on your cell phone or notebook. Record your meals, supermarket, transport,… everything. So you can easily notice your money outgo.

Try Kakebo – Japanese method of saving.

Take care of the expenses like – the morning coffee, cookies, etc. They are famous because they are so small that they don’t seem to hit your pocket. But if you pay a little attention to the expense that these small amounts of money represent over the years, you will realize how much you are eventually losing.

Use your credit card wisely! It is recommend to use cash, debit card or bank deposit. You must remember that the money on the card is a “loan” that you will have to pay on your cut-off date. And the most distressing thing is that few people are aware of their payday.

Ready to take the first step? Don’t forget that discipline and a clear goal will be your best allies for saving.