In September 2018, Galina Pekurovskaya presented “How to Be A World-Class Saver” at what is now our MTMN Goals + Networking event. Her takeaway: Pay yourself first.

Here, we’ll dive into how to do this when you’re first starting your business. 

A Simple 2-Step “Secret” To Start Saving

You may not like the answer to this one but it’s the honest truth – you just need to start. So start by any means necessary. Grab a cup, automate transfers to your savings account, or even blow some cash on a fun new piggy bank. The best way to start will depend on where you are now and where you want to go.

So stop, right now, and save some cash. Even if it’s just a nickel, put it someplace and commit to not touching it until you reach your goal. Of course, dire emergencies will always be an exception but the second step to saving is simply leaving your savings alone. No matter how much or how often you put money away, if you spend it you’re not saving anything. So don’t spend it. You may not have full control over that but you do have the most control, so take full advantage.

Step 1: Put your money somewhere safe (from yourself and others).

Step 2: Don’t touch it.

It really can be that simple but there are other ways to maximize your savings, especially if you have a business to run.

Budgeting for Your Savings Plan

No matter how much you have, make, or need, you have to get a clear picture of where you stand before you can plan ahead. The best way to do that is with a detailed budget so you know what’s coming in and how it going out so you make informed changes. 

Before you run off, I promise it isn’t hard but it can take some time. Spreadsheets can minimize that time, especially if you’re managing multiple budgets (i.e. personal and business) but only if you’re comfortable with them or willing to take the time to learn. If so, tools like Google Calendar, Airtable, and even Asana allow you to create spreadsheets for free and access them on any device. 

You can choose anyone or grab a pen and paper to get started. First, enter your income and expenses for the month – your bills, transactions from your bank statements, and items you want to buy – everything. You’ll want to get a clear picture of your cash flow so you can make informed changes. 

Once this month is done, complete the quarter, then the year. You don’t have to do it all at once but block off some time in the near future to make sure you prioritize it. Having a complete picture of your entire year will make it easy to plan for the years ahead. 

Deciding How Much to Save

Whether you complete a single month or the entire year, review your expenses and highlight any items that can be cut out to make room for saving. Maybe you can spend less on subscriptions, eating out, and clothes but only cut out as much as you’re comfortable with. You don’t want to add unnecessary stress to your process and you can always cut more later. 

Once you’ve decided how much spending you can cut out, decide how much of that you can commit to putting away each month. Be sure to save it separately from the money your spend regularly. So if you typically use cash, set your savings aside elsewhere. If you typically use a checking account, put your savings in a different account. If you have trouble leaving it alone, then up the difficulty to access it – give it to someone you trust or put it in an account not linked to your debit card. 

Finally, remember Galina’s main point which is to pay yourself first. Now that you’ve budgeted, you can do so knowing you have enough for everything else. And again, make it as easy on yourself as possible. Automate transfers when possible, set milestones, and reward yourself when you achieve them. Galina recommends saving 15-20% of your income for the future, so that can be one if you’d like. If you know how much launching your business will cost, then that can be another. 

Just give yourself enough time to build the habit of saving and budgeting. Don’t worry about missing a “payment” to yourself or making a smaller “payment”. More is better than none and it takes practice for us all. Take pride in trying and sticking with it so you can enjoy it. 

Get Started Now for Free

Airtable makes it easy to start budgeting for a business, film, event, and more with free access and free templates. Need help getting started? 

Try our free online course, How to Start Budgeting in Airtable, now. 

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