Are you ready for a new savings challenge in 2022?
As the New Year begins, we all have a habit of making financial resolutions. However, many of them fall by the wayside in February. But this year we wanted to introduce you to a method that might work for you – especially if you are an avoidance behavior with regard to your savings personality type.
Save up to £ 1,275 in 50 weeks with the 50 Envelope Savings Challenge. You can use this money on a home security deposit, vacation, or Christmas presents – the possibilities are endless.
What is the 50 Envelope Savings Challenge?
Simply put, it’s a saving challenge based on filling 50 envelopes with increasing amounts of money. You can save a total of € 1,275 in 50 weeks! If you start now, you’ll be done just in time to get some more last-minute Christmas presents. You can fill envelopes with the remnants of your paycheck every week or at the end of the month. This is entirely up to you.
how is it done?
Start by getting yourself 50 envelopes – we opted for small, money-sized envelopes for dinner – and a lockable box or safe. Label your envelopes from £ 1 – £ 50. The corresponding amount of money is put in each envelope. Then put the envelopes in the box. Pick an envelope to fill out each week – you don’t have to go in the correct order, some weeks you may have more money to spare than others.
For example in the video we decided to replenish the £ 50 and £ 5 as we had a little more money to spare this month.
It is advisable to distribute the larger amounts over the weeks. It’s easier than letting them all finish. If you did them in turn you would have saved £ 194 in the last 4 weeks of the challenge. You can shuffle the envelopes randomly or keep them in the correct order and choose an envelope that you know you can fill this week.
If at the end of the month you have a little more left over than expected, you can also fill in an extra envelope. This would shorten the challenge, but you can always add more envelopes at the end if you’d like.