According to a recent newspaper article if you earn $150,000 p/a you can save $100,000 deposit in just 2 years. This is fantastic if you earn that sort of dough. So it got me thinking, what other fairy tale ideas have others published all in the name of helping you save for a deposit.
So Here are my top 5 not-so-great tips on how to save a deposit:
Switch off the Lights
Everyone knows this one, the old switch off the lights when not in use but seriously, one light bulb running for one hour costs about 0.2cents! The big idea here is to save on utility bills like electricity & phones etc. With effort you can potentially save 20% but this might only equate to $800 a year.
Switch your savings to a high interest account
The reason you’re saving is that you don’t have any! If you did have $10,000 though at 2% and switched to 4%, you will make an extra $200 p/a interest.
Sell stuff on Ebay
So I’ve sold my 90’s CD collection, a $10 K-Mart t-shirt I got for my birthday and a set of old car seat covers. So I now have an extra $38.53 saved!
Drink instant coffee instead of buying a coffee on the way to work
5 days a week, 48 weeks a year, $5 a coffee, that’s $1,200 in 12mths. But instant coffee!
Get a 2nd Job
Work a few extra hours each week in a 2nd job and make an extra $200, less tax that’s $7,000 a year. Fantastic idea if jobs were readily available. Reality is you’re unlikely to find a job paying $200 a wk and flexible to fit in with current employer.
These tips might be useful if you’re saving for that new TV but the last time I checked, a house is a little more expensive than a flatscreen.