Many Aussies might be looking to increase their savings as times get tough. The coronavirus pandemic has hurt the Aussie economy and left governments, companies and individuals looking for answers.
If you're one of the many people looking for an increase in your savings account, here are a few helpful hints to get you started.
Cut back on non-essential spending
This is a big one if you want to increase your savings long-term. Cutting back on non-essential items is one of the best habits to get into as early as possible. One side effect of the COVID-19 pandemic has been a shutdown in many services. While that might be bad for income, it's certainly easier to spend less money.
That's true of the current government restrictions on movement as well. If Aussies are largely confined to their homes, that does reduce a lot of temptation to spend. Regardless of your circumstances, if you can reduce your spending it will help to increase your savings rate in years to come.
Boost your bank balance through multiple income streams
Another upside of being stuck at home is the ability to use the internet. While many Aussies have lost their jobs, there's always the potential to make money online. This could be through starting a blog or re-selling items through eBay and similar sites.
If you can find your niche and make it work, the extra income boost could help to increase your savings account in the short-term.
Invest in ASX dividend shares
If you already have some cash to spare, investing in ASX dividend shares could be the way to go. Dividends can provide a handy secondary income stream to offset your spending and increase your savings. Shares like Fortescue Metals Group Limited (ASX: FMG) are yielding nearly 10% at the moment and could be in the buy zone.
