First things first: Schedule time to take a look back at previous years to get a good idea of how much you’re spending per month. This will allow you to set a budget and have a clearer picture of how much money you can realistically save.
Take a look into any unnecessary purchases on your end, from those streaming subscriptions to frequent take-out. Limiting your spending may be difficult at first — But with a change in mindset it can prove beneficial to your wallet.
If you’re unsure of how much of your income you should be putting into your retirement, use a retirement calculator to figure out exactly how much you will need to have saved.
If you’re paying them off over time, taking an honest look at how much you’re actually chipping away at per month could make you realize you need to put in more money to pay them off during a more specific and consistent time frame.
It’s recommended that you have at least three months’ worth of income saved up in a savings account for unexpected expenses — like emergency room trips and car accidents.