7 Clever Tricks to Save Money Fast

Financial prosperity doesn’t come quickly. It’s not due to one significant opportunity or a large windfall; instead, it accumulates gradually, penny by penny.

No matter if you’re setting aside funds for your kids’ education, envisioning building a house, or aspiring to start a sideline venture, one crucial element remains clear: consistency is vital, irrespective of how much you earn.

Join us as we delve into effective strategies for maintaining consistency in your financial routines, spotlighting genuine Ugandan individuals who exemplify these practices.

1. Establish specific monetary objectives

Everything begins with a vision since, without it, your savings might ‘wither’.

This was the challenge taken up by Sarah Birungi, a bank teller, with the aim of achieving her ambition to purchase a piece of land in Mukono within half a decade.

Aside from jotting down her aspiration, she started setting aside 300,000 shillings each month to make it happen. She explains that doing so taught her the importance of having a specific purpose for savings, which prevents unnecessary spending and fosters self-discipline within her.

The more clearly defined your objective, the simpler it becomes to maintain focus. Regardless of whether you’re aiming to purchase equipment for work, settle your SACCO loan, or create an emergency savings account, put it in writing. Divide this larger aim into manageable stages and set deadlines for each milestone.

2. Establish and adhere to a budget

A lot of people in Uganda haven’t adopted the practice of budgeting, believing it’s overly complex and alien to their way of life. Nonetheless, John Ntulume, who works as a boda-boda rider, discovered otherwise—that a budget serves as your financial roadmap. Without this guide, you’re essentially navigating without sight.

“In 2022, I made Shs25,000 daily but squandered it carelessly since I was living in one of my brother’s properties. Everything changed when a friend took me to a financial education seminar; this experience broadened my perspective. Now, I monitor every expense and save Shs5,000 each day,” he shares.

Thanks to this adjustment, Ntulume successfully covered his children’s school fees for the current term. While budgeting doesn’t have to be complex, simplifying things further, consider using an application to streamline the process and make tracking easier.

3. Automate your savings

Out of sight means out of temptation, and Fiona Lunkuse, a young HR specialist, understands this all too well. Reflecting on her financial behaviors, she recognized that she hadn’t managed to save much since a large portion of her income was used to address problems at her parents’ house along with covering various personal expenses.

“Experiencing black tax is indeed genuine, and my various individual requirements only compounded the issue. In an effort to facilitate savings, I decided to arrange a standing order for Shs150,000 from my salary account as soon as the funds were deposited into my checking account, redirecting this amount directly to a savings account,” she explains.

A year later, she managed to save more than Shs2m effortlessly.

Standing orders are banking services provided to customers for a small charge, yet they prove useful for facilitating and maintaining regular savings.

4. Invest wisely

Uganda offers countless possibilities for those who remain persistent, steadfast, and well-informed.

Daniel Mugarura, an educator, initiated a poultry venture with merely 10 chickens in his backyard. By consistently reinvesting his earnings each cycle and abstaining from using those funds for immediate consumption, he established a modest poultry farm after half a decade, providing eggs to the local community around him.

“This venture is boosting my income and enhancing my family’s quality of life. The key was consistently reinvesting profits and maintaining a long-term perspective. I would also counsel young people against seeking quick riches, as such schemes rarely deliver and often lead to disappointment,” he remarks.

Regardless of whether you’re involved in agriculture, commerce, or investment funds, keep in mind: trading should not be seen as betting. Instead, it is about consistent, purposeful actions that yield benefits gradually over an extended period.

5. Monitor your progress

When you measure things, they tend to get better, which perfectly encapsulates Lydia Namutosi’s journey. Each Sunday night, this small store proprietor in Kyebando examines her revenue, costs, and savings. This practice enables her to make necessary adjustments before it becomes critical.

“I realised my airtime spending had shot up, hence switching to a weekly bundle plan. That saved me about Shs30,000 a month. On another occasion, I chose to try selling fresh fruit juice, with the hope that I would make a better sale.

When reviewing the sales figures, I noticed an increase in expenses lasting two weeks. This led me to discontinue the juice business because the cost of fruit exceeded my earnings,” she explains.

Review your progress every month. Are you still heading in the right direction? Did your expenses increase last month? Are you saving more or less than before? Brief check-ins can result in significant achievements.

6. Remain dedicated to your financial strategy

Life may present challenges like job loss or the absence of a primary income earner. Consistent saving is crucial for maintaining stability during these times.

Peter Gidudu, who has three children, lost his job in 2022 due to retrenchment, marking a gloomy day as many changes were imminent.

However, his only ray of hope was the savings he had made for the last three years.

“These protections lasted for the following six months and allowed me to launch a mobile money venture. I am grateful to a close friend who motivated me to save during those good times, even though saving wasn’t really on my mind,” he explains.

Achieving financial success revolves around maintaining persistence.

7. Group savings

Joseph Kirigwajo, who works as a vendor, mentions that becoming part of an investment group has been the most beneficial occurrence for his personal savings growth.

“If you aim to travel quickly, go solo. However, if your objective is to make lasting achievements over time, collaborate with others. This was our approach when my friends and I decided to start a collective investment savings account, contributing Shs150,000 each month. Now, we’ve bought land in Bujjuko, planning to sell it for a gain,” he explains.

Once you’re working with reliable partners, collective saving can significantly propel your progress and expansion. However, having a distinct strategy for investing these funds will yield the most substantial impact.

In Uganda, where the economic landscape can be challenging and unpredictable, consistent savings is your most powerful tool. Keep in mind that gradual progress ultimately leads to significant and enduring transformation.