In Part 2 of this Money Management series, we are going to discuss the discipline it takes to save some of that Uber income you’re making. (If you haven’t already, be sure to check out Part 1 in this series where we go into detail about exactly how to pay your monthly bills on the weekly Uber payout schedule so you can properly manage your Uber income and still have money left over to live on.)
When it comes to saving money, it definitely takes discipline (you literally have to act like that money isn’t there as you watch it grow every single week and month). But trust me, it’s SO worth it. Your future self will thank you!
To me, driving Uber is an opportunity to make your money work for you. One way to do that is by saving some of the money you make when you trade your hours for dollars so you can then put it to work towards your dreams and goals.
Having that mindset, I was adamant about saving money with my new full-time Uber income for 2 main reasons: (1) I’ve always been a saver (2) I had immediate goals I wanted to reach in a relatively short amount of time.
I was able to reach multiple goals at the same time AND create a security blanket for myself. Results like that are only possible with savings. So, if my reason 1 doesn’t sound like you, but my reason 2 does, read on to see exactly how I did it in the tips below.
How to Save Money
Towards Your Goals Each Month
Money Saving Tip #1:
The good thing about online banking is that you can create nicknames for your savings accounts (my experience is with Wells Fargo, but I’m sure you can look into this function if you have a different bank). This way you can literally label your savings accounts for your specific goals.
This is exactly what I did and it has worked out really well for me. And as certain goals are reached I can use the same savings account, but change its nickname to a new goal so that I can seamlessly continue saving for each new goal.
Money Saving Tip #2:
It makes sense that if I’m sending money out to everyone else, I might as well move some money over for myself at the same time. So since I’m paying bills each week, I treat my savings as another bill and pay my savings account a certain amount each week as well.
Save what feels comfortable for you. Don’t overextend yourself for the sake of saving, because then you’ll regret how much money you don’t have left over to spend. Figure out what feels comfortable to save each week, and simply add that into your weekly reminder to pay your bills.
So your weekly calendar reminder could end up looking something like this: “Pay Bill #1 $25, Pay Bill #2 $50, Save $50 in Savings Account #1, Save $75 in Savings Account #2”. Very simple and easy. Also, feel free to create as many savings accounts as you need to keep yourself organized and focused.
Money Saving Tip #3:
My first savings account is called a “Way-to-Save” account. This means that anytime I use my debit card on purchases of any kind (even online purchases and automated/recurring purchases), $1 automatically goes into my savings account for each purchase.
I love this because it means I’m ALWAYS saving even if I choose to skip out on my weekly savings because of a low earning week or unexpected expense. I use my debit card a lot, so this is a great way to save without even trying.
For my second savings account, I had to choose an amount that would automatically be deposited into my savings account every month.
I selected a minimal amount when I first opened the account because my income was still new and I wanted to be sure I could manage it comfortably. Plus I knew I’d be saving actively every week, and I didn’t want to feel too tight with money because of how much was going into my savings.
These are some of the added bonuses to having multiple savings accounts that can give you additional automatic savings towards your goals.
BONUS Money Saving Tip:
It’s important to note that with all of these plans to pay bills and save money every week you should also include plans for time off. Some of your goals may even be geared towards taking a vacation and traveling!
And when driving Uber if you don’t work, you don’t get paid. So when you set up a schedule to pay bills and save every week, then plan to take off, things can get tricky. So let’s discuss some different ways you can do this.
– Create a savings account dedicated to your travel/time off (this is what I did)
– Drive extra before you take off
– Create a savings account for your bills (so if you do choose to drive extra before taking off, you can stash that extra money for your bills in your savings account. Or you can simply save small amounts in that account all throughout the year so that there will be ample money available to pay your bills when you get back.)
– Pay your bills with extra money you have left over when you get back from your travels/time off (I did this too and never had a problem paying any of my bills when taking off to travel)
– Plan your travel/time off on the 5th week of the month (for those months that have them) so you’ll likely have no bills due that week and any money that gets paid out that week can go towards your travel
– Or you can reverse the previous tip and plan your off time for the 4th week of the month during a month that does have the 5th week. This way, when the 5th week comes and your money is low because you were off and didn’t work the week before, you’ll know you don’t have any bills due and nothing to worry about. 🙂 (And for reference, your weekly Uber payout comes the week after you’ve worked.)
Although my tips and explanations may seem fairly basic and fundamental when it comes to overall money management practices, I’m a believer in spelling out the basics for people who may be beginners because you never know where people are on their journeys and what level of help they need. What may be basic and obvious to some could be eye-opening and mindset shifting for others.
One last tip… If while you’re budgeting your bills and saving your money you feel kinda tight with your spending money, just drive more or change up your strategy so you can make more money. That’s the beauty of Uber! (Be sure to check out my Money Making Strategies posts so you can work smart, not hard to make your money!)
Share Your Thoughts in the Comments Below:
What were some of your favorite money saving tips that I shared?
What questions do you have about saving money?
What are some of your own personal money saving tips that have helped you reach goals?