Saving every month depends less on how much you earn than on how you organise what you earn. Many people try to save “whatever is left” at the end of the month and discover that almost nothing ever is. The methods that work best do the opposite: they decide first how much to save and then adjust spending. This guide brings together 12 practical methods, an example with numbers and the most common mistakes.
Before you start: find out what you really spend
You cannot improve what you do not measure. Gather your bank statements for the last three months and sort the transactions into three groups: fixed costs (rent or mortgage, utilities, insurance), necessary variable costs (food, transport) and leisure or optional spending. That picture shows what you earn, what you spend and how much real room you have. If you need a structure, follow the guide to the monthly budget with the 50/30/20 rule.
12 methods to save money every month
1. Pay yourself first
Set up an automatic transfer to a savings account on the same day your salary arrives. What you do not see in your current account, you do not spend. It is the most effective method because it removes the monthly decision.
2. Set a goal with a figure and a date
“Save more” is a vague intention; “save 3,000 euros in 12 months for an emergency fund” is a plan. Dividing the goal by the number of months gives you the amount: 3,000 euros over 12 months is 250 euros a month.
3. Use a simple rule
The 50/30/20 rule suggests putting 50% of your net income towards needs, 30% towards wants and 20% towards saving and paying off debt. It is not a law, but a starting point you can adapt to your situation.
4. Keep your money in separate accounts
Keep one account for day-to-day spending and another for savings, with no card attached if possible. The small friction of having to make a transfer reduces the urge to touch that money.
5. Review your subscriptions
Video and music platforms, apps, gyms you do not use… Check your direct debits every quarter and cancel what you have not used in the last month.
6. Compare and renegotiate your fixed costs
Phone and internet, insurance, electricity and gas are recurring costs worth comparing at least once a year. A reduction of 15 euros a month on three contracts adds up to 540 euros a year without changing any of your habits.
7. Watch small, repeated expenses
Coffees, snacks or impulse purchases seem insignificant one by one, but they repeat dozens of times. Note them down for a month and check how many really add something to your life.
8. Plan your meals and your shopping
Making a weekly list and cooking at home reduces food spending and waste. Avoid shopping when you are hungry: it is one of the most common causes of unplanned purchases.
9. Apply the 48-hour rule
Before a non-essential purchase, wait two days. If after that time you still want it and it fits your budget, go ahead. Many impulses fade on their own.
10. Save part of every pay rise
If you get a raise, put part of the increase into savings before it blends into your lifestyle. That way you save more without feeling a cut.
11. Put extra income into savings
A bonus, a tax refund, the sale of things you no longer use or a one-off job: what was not in your budget is the best candidate for savings or for reducing debt.
12. Review your progress every month
Spend ten minutes a month comparing the plan with reality. Adjust categories, celebrate progress and correct deviations early, before they become a habit.
Example: 150 euros a month for five years
If you save 150 euros a month for five years, you accumulate 9,000 euros from your contributions alone. If that money earned 3% a year, the total would be around 9,690 euros. The real result depends on where you keep it and the return you obtain. You can try your own figures with the compound interest calculator.
Common mistakes when trying to save
- Saving only what is left over. Without an amount set in advance, it ends up being zero almost every month.
- Making cuts you cannot sustain. A plan that is too strict gets abandoned. A moderate cut that lasts over time is better.
- Having no emergency fund. Without a cushion, any surprise forces you into debt. See how much you need and where to keep it.
- Saving while paying very expensive debts. A debt with high interest usually costs more than a safe saving earns, so it is worth reviewing in your plan.
- Giving the money no purpose. Savings without a goal are easy to spend.
Frequently asked questions
How much should I save each month?
There is no universal figure. A common reference is to put aside around 20% of net income, as the 50/30/20 rule proposes, but what is right depends on your fixed costs, your debts and your goals. Starting with 5% or 10% and raising it gradually is better than not starting.
Is it better to save or to invest?
They are different steps. People usually first build an emergency fund in a safe and easily accessible place; then, for long-term goals, investing can be considered, accepting that the value can go up or down. If you want to start with the basics, read what index funds are.
Where do I keep the money I save?
For money you may need soon, the most practical option is an account separate from your current account. Check the conditions and that the bank is covered by a deposit guarantee scheme. In Spain, the Deposit Guarantee Fund covers up to 100,000 euros per holder and institution.
Sources
This article is for information and education only. It is not personalised financial, tax or legal advice: for an important decision, consult a qualified professional. Last reviewed: October 2026.
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