In the Women’s Empowerment Project (WEP), the entrepreneurs have learned to understand that unforeseen situations can happen at any time, so they have learned to better plan their family finances by making use of all the knowledge they have acquired in the economic empowerment workshops.
We know that the situation in which they live is similar to that of many around the world. Therefore, Susana and Tatiana, two entrepreneur graduates of the WEP, want to share 5 tips and experiences that have been useful to them to adopt and maintain the habit of saving:
1. Create a budget
We make a simple list every time we go out to buy, starting with the things we need the most and the money that we have available. This way, if there is not enough for the entire list, we will already know which items we need the least for a specific period of time.
2. Participate or create a savings group
Currently, thanks to the Project, we had the opportunity to form a savings and lending group, where all the participants make a contribution which allows us to save more easily since it is a commitment to all of us. But if you don’t have one nearby, I think you can form one with people who also want to start saving. It’s a nice way to bond while pursuing a common goal.
3. Don’t spend more than you earn
Before joining the Project, I was used to taking out loans for my business, which caused me to have debts and did not allow me to save. It was money that was not mine and I was spending much more than what I earned. Now I understand that and save before taking out loans so I am able to finance the needs of my business. It helps me to be more organized.
4. Set a goal
We often used to say that we couldn’t save but then we realized that what we didn’t have was a motivation to save. To make saving easier it is key to have a purpose to save; this is the hook that will make you want to save more in order to reach your goal.
5. Have a specific place to put your money
I have learned that it is easier to have savings if we have a specific place to store them. This makes it more difficult to access this money to spend it on an impulse, and we can only use it in case of an emergency or when we have reached enough for our goal. This place can be anywhere from a savings account in the bank to a recycled container where we put our daily savings.
Tatiana, Susana, and many other WEP entrepreneurs made use of these and many more tips to save. Now, they can rely on these funds to make investments in their business or to cover a need in case of an emergency in their family.
We hope you can make use of at least one of their tips. Remember that every day is an opportunity to start a new habit. Our entrepreneurs did it, you can too.