How to Save Money for a Major Purchase
A major purchase such as a house, car or household appliance can be a distressing hit to your checkbook. Budgeting and saving for the purchase can often ease the pain.
- Difficulty:
- Moderately challenging
Instructions
Things You'll Need
- Calculators
- Piggy Banks
- Credit Cards
- Savings Accounts
- Personal Financial Software
-
-
1
Identify the purchase you want to make.
-
2
Estimate what it may cost by looking at similar products.
-
3
Determine when you want to make the purchase.
-
4
Determine how much money you want to pay at the time of the purchase and how much you want to finance, either on your credit card or through the seller.
-
5
Commit yourself to saving a set amount of money each month, either in a savings account or some other safe account, so that you will have enough money to make the purchase at the predetermined time.
-
6
Be diligent and patient - your savings will accumulate.
-
1
Tips & Warnings
Enlist the support of friends and family members.
It is safer to save more than you need rather than less.
Avoid putting your savings into risky investments - you could make a lot of money, but you could lose a lot as well.
Watch the price of the item you wish to purchase. If it changes, you'll have to readjust your savings rate.
Related Searches
Comments
-
g christine
May 28, 2009
Anonymous sure is busy today -
citizen477
May 11, 2009
Some posters have mentioned putting aside up to 25% of your income, but the article is referring to short-term savings goals for big-ticket items, not on-going savings goals toward retirement or rainy-day/contingency funds.
-
amberger84
Jan 16, 2009
it also helps to make saving a priority...nothing happens until you get excited a wise person once said
-
amberger84
Jan 16, 2009
it also helps to make saving a priority...nothing happens until you get excited a wise person once said
-
Jun 30, 2006
Every time you see a coin or a bill on the floor and you don't know who it belongs to, pick it up and put it in a money-box.
