How to Save Money: Build $1000 in Savings in 12 Weeks

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We all know it’s important to have financial goals. Without them, we’re destined to remain in debt and struggling to live paycheck to paycheck forever. The best thing you can do is learn how to save money the right way, so that you can break the cycle of debt once and for all.

The first step to breaking the debt cycle is to build up a $1000 emergency fund. It’s also very important to learn to cash flow, or save for, other expenses such as vacations, medical costs, or car repairs before you need it.

With some planning and organization, you can easily save $1,000 in 12 weeks. Use these printable savings tracker and worksheet to help you start on your journey to learning how to save money:

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Build your $1000 savings in just 12 weeks!

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Not sure how to find the best way to save money? Learn how to save $1000 in just 12 weeks with these free, printable worksheets! #money #savings #savingmoney #personalfinance

Why You Need to Have Savings

We can plan all we want, but there are always unexpected expenses that pop up. Whether it’s medical, a wedding we’ve been invited to, or car issues, you can bet they’re going to show up at the worst times.

It’s not a matter of IF financial roadbumps come up, it’s a matter of WHEN.

The easiest way to stay out of debt when these roadblocks hit is to have some savings in place. I suggest having a $1000 emergency fund. $1000 is enough to cover your deductible for house issues as well as most medical issues.

Getting Started Saving Money

Now that you have your printables to help you learn how to save money, it’s time to get started saving:

Step 1: Find your motivation to Save.

It’s important to know your motivations for saving. Is your ultimate goal to be debt free, but you’re lacking an emergency fund? Do you want to take your family on vacation this year? Are you expecting a baby, or think you’ll need dental work?

No matter what the reason, take the time to figure out why you’re doing this. It’ll help you to stay motivated when things get tough.

Visual reminders are great as well – so make sure to use the saving tracker, as well as pictures of what you’re working toward to help with motivation.

Step 2: Set Your SMART Goal.

When you decide to set a goal, use the SMART method:

  • Specific
  • Measureable
  • Action Oriented
  • Realistic
  • Time Bound

To build a $1000 savings in 12 weeks, you’ll need to save $83 a week. That’s just shy of $12 a day.

Let’s create an example goal. Rather than, I want to save $1000, let’s make it SMART:

I want to create a $1000 emergency fund by saving $83 a week for the next 12 weeks.

This goal is very specific: it has a measurement of time and debt amount, it includes an action, and it’s realistic and has a time limit.

You’re much more likely to be successful at saving $1000 if you break your goals down into smaller sprints, such as one or two weeks chunks, or even a month.

Decide how you want to break your savings up and write it down on your worksheet.

Step 3: Track Your Current Spending.

In order to get started saving you need to know where your money is currently going. If you don’t already use an expenses tracking software like ynab.com or mint.com, now’s a great time to start. It can help you look back over the past 2 – 3 months and gauge your spending.

Step 4: Create a budget.

Now that you see where your money is going, you need to make some decisions on where to make cuts. This is where a budget comes in handy. It’s an easy way to play with the numbers and see where it makes the most sense to trim your spending.

I can recommend this zero based budget that we’ve used to pay off more than $19,000+ in the past 14 months!

You want to trim your spending so that you’re able to hit that SMART goal that you created in the previous step. Next, I’ll give you some ideas on how to do just that!

The Best Ways to save Money

Now that you have your goal and budget in hand, this is where you need to get creative!

There are only two ways to find money:

Spend less or earn more.

Sounds simple, I know, but it’s not always easy to keep consistent with it.  I’ve written a lot of in-depth articles about each:

How to Trim Expenses:

How to Earn More Money:

What to Do with Your Savings

Now that you’ve started your savings, how do you keep from accidentally spending it?

The best approach is to create a separate savings account. This new account can be linked to your regular accounts, but I really suggest keeping them in a place where it’s not as easy to access.

I also highly recommend automating the transfers to the savings account, so that you don’t forget and spend it.

For example, we have a savings account for my quarterly tax payments. Our checking is with a local bank, and this particular savings account is with CapitalOne. The monthly payments are automated so that they get taken out of checking at the beginning of every month.

If I need to access that money, it takes a couple of days to transfer back to my checking. It’s easy to set it and forget it – which means there’s no chance of accidentally spending it!

I’ve Hit my Savings Goal – Now What?

Saving for 12 weeks is long enough to have created a new “normal” for yourself and for your spending. You’ve adjusted to the new budget, and you’ve hit your goal. Now what?

The absolute best idea is to keep riding your momentum and continue! Either keep saving, or begin paying off your debt, depending on where you’re at on the path to financial freedom.

Saving up $1000 is pretty easy if you have a plan and break it into manageable chunks. These tips to save money and printable worksheets will help to get your savings on schedule. Once you’re on track, you’ll find it easier every day to keep going until you hit your goal!

Bonus: When Should I use my Emergency Fund?

One of the biggest questions I get is “what’s the difference between an emergency fund and sinking funds?” (Don’t worry – I had no idea what sinking funds were a couple of years ago!)

Knowing the difference between sinking funds and an emergency fund will help you to understand when it’s actually a legit reason to break into your emergency fund.

The short explanation is that an emergency fund is for actual emergencies, like medical issues or an unscheduled car issue. Basically, anything you can’t really plan ahead for.

Sinking funds are a savings account that’s for those irregular expenses that you know are coming: yearly HOA fees, quarterly tax payments, or your car registration. Items that don’t happen monthly, but you know they’re coming.

Once you’ve saved up your emergency fund, begin to save your sinking funds next so you aren’t spending your emergency fund by accident. Learn more about emergency funds versus sinking funds, and why you need both.

Download Your Savings Worksheet Now!

Build your $1000 savings in just 12 weeks!

Subscribe to the Debt Free Forties newsletter to receive regular updates and get instant access to your free 8 page savings worksheet!

We won't send you spam. Unsubscribe at any time. Powered by ConvertKit

Struggling to save money? Learn the best way to save money quickly, complete with free printable savings worksheets. Get your $1000 savings built in just 12 weeks! #savings #emergencyfund #savemoney

Can't seem to figure out how to save money? Use these free printable savings worksheets to get you on the right track! Learn how to save $1000 in just 12 weeks. #savings #emergencyfund #savemoney
Even if you're living paycheck to paycheck, you can still save your $1000 emergency fund in just 12 weeks. Use these free printable savings worksheets to get started! #debt #money #emergencyfund

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One response on “How to Save Money: Build $1000 in Savings in 12 Weeks

  1. Heather

    I love the idea of a sinking fund. I always keep an emergency fund, but regularly spend it when caught short on annual bills. Need to start building a sinking fund and cut that cycle.

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