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"Saving Money is Not About Time, It's About Strategy"
The economy is looking unstable. Stagflation is approaching, the stock market is volatile, and companies are laying off employees in large numbers. Even government jobs, once considered stable, are no longer guaranteed. So, what should we do? Panic and do nothing? Absolutely not. We must focus on what we can control—our finances.
You Don’t Need a High Income to Save $100K
Do you think, “I can’t save because my salary is too low”? But saving $100,000 is not about income—it’s about strategy. Let’s break down how you can realistically achieve this goal.
1. Where Did All Your Money Go?
When I got my first job, I saved money without any concrete plan. Years later, I checked my savings account and was disappointed. Then, when I wanted to buy a house, I realized my savings were far from enough.
Does this sound familiar? According to a Bankrate survey, 56% of Americans cannot cover a $1,000 emergency expense. Most people live paycheck to paycheck without a financial strategy.
Ask yourself these questions:
What percentage of my income do I actually save?
How much money have I earned in total so far?
How much of that do I still have saved?
Many people are shocked to find that they have earned far more than they expected but have little to show for it. This is your wake-up call.
2. Set a Timeframe for Your $100K Goal
If you don’t set a goal, saving money will always be an afterthought. Pick a timeframe and commit to it.
Assuming a 4% annual return, here’s how much you need to save monthly to reach $100K:
1 year: $6,640/month
3 years: $2,570/month
5 years: $1,600/month
7 years: $1,160/month
If your income is lower, go for the 7-year plan. If you can save aggressively, aim for the 3-5 year plan.
Example: Grant Sabatier, founder of Millennial Money, went from having just $2.26 in his bank account to over $1 million in 5 years by saving and investing aggressively.
3. Automate Your Savings and Increase by 10% Annually
Saving $1,160 per month sounds overwhelming? Start smaller and increase your savings by 10% each year.
Example:
Year 1: $910/month
Year 2: $1,000/month
Year 3: $1,100/month
Use high-yield savings accounts (HYSA) from Ally, Marcus by Goldman Sachs, or SoFi to earn higher interest rates.
Tip: Automate your savings. Treat it like a bill—non-negotiable and consistent.
4. If You Can’t Save More, Earn More
Cutting back on small expenses isn’t enough. If saving feels impossible, increase your income.
Start a Side Hustle: Try Upwork, Fiverr, DoorDash, or Amazon Flex.
Invest in Your Skills: Get certifications from Google, Coursera, or LinkedIn Learning to qualify for better-paying jobs.
Eliminate Unnecessary Expenses: The average American spends $200+ per month on subscriptions. Cancel unused ones and redirect that money into savings.
5. If $100K Feels Too Big, Start with $50K
If saving $100K feels overwhelming, start with $50K.
To save $50K in 5 years, set aside $670 per month.
Small wins create momentum. Just start.
6. Don’t Just Save—Invest
Saving alone isn’t enough. You need your money to grow.
Stocks, ETFs, and Bonds: Use platforms like Fidelity, Vanguard, and Robinhood.
Real Estate Investing Without Buying a Home: Try Fundrise or Roofstock.
Monetize Your Hobbies: Blogging, Etsy shops, and Amazon FBA can become real income streams.
7. Share Your Story
I’ve shared my savings strategy. Now, I want to hear from you!
What are your financial goals?
What strategies have helped you save?
Leave a comment below! Your story might inspire someone else to take control of their finances.
Coming up next: A guide on how to budget like a pro, covering rent, groceries, and unexpected expenses without financial stress.
Until then, stay smart with your money and keep building your future!
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