How to save $1,000 in a month: 10 strategies

Saving $1,000 in one month may be a lofty goal, but with some extra work and a few changes, it’s possible. You might be choosing to save $1,000 to kickstart an emergency fund, to fund a certificate of deposit (CD), to pay for an vacation or event or to complete step one of Dave Ramsey’s 7 Baby Steps.

Whatever you’re reasoning is, here are some strategies to help you achieve your goal:

Create a budget

If you haven’t already, it’s important to create a budget and track every expense, whether that’s in a traditional spreadsheet or through a personal finance app that automatically tracks them for you. Look back at the last several months to determine what you typically bring in (your income) and what your expenses are on average.

Cut expenses

Once you create a budget, you have a clear view of all of your monthly expenses.

See which recurring costs you can cancel, if anything. Some companies may allow you to temporarily pause a subscription as well. Consider canceling what’s not essential to help boost your savings. You can always check out a free trial, when offered, to a subscription or see if a gym offers a free for new .

Assess your monthly essential bills. Shop around to see if you can get a better deal on your home internet, cell phone bill or car insurance. Call and try to negotiate a lower monthly bill. Ask about any available discounts or other ways to reduce your bill.

Trim your variable costs

Unless you’re going to make a big move such as moving to a new place with lower rent or selling your car, these costs are pretty set in stone. But what you pay for in categories such as groceries, dining out and entertainment can be a massive swing. If you’re looking to save up $1,000 in one month, you can make some adjustments to lower your costs.

Groceries

• Sign up for store loyalty programs, use coupons and use cashback apps, such as Ibotta for extra savings (and be sure to review the and conditions for such programs and apps).
• Consider purchasing generic/store brands, items that are on sale and the best per ounce value.
• Skip convenience items, such as pre-chopped vegetables, and swap in-season produce which often costs less.

Dining out

• Set a budget. If you’re trying to hit a specific goal in one month, you may want to avoid or limit take-out or dining out since it is typically more expensive compared to cooking your own meals.
• Do your homework by researching less expensive restaurants and restaurants that offer coupons, discounts or deals. If you’re dining with children, look for restaurants where kids eat free.
• Check out a restaurant’s website, app and social media pages, where you may find coupons, deals for g up for text or email alerts or various specials and promotions.

Entertainment

• Search your area for free things to do. Nearby colleges may have free concerts or speakers. Your local library has plenty of books to borrow at no cost and possibly other items, such as movies or yard games.
• When getting together with friends, consider hosting a pot luck or game night at home.
• Focus on free hobbies, such as taking a scenic walk or hike, exercising, reading a book, cooking, biking and craft projects you already own.

Take advantage of free money just for saving

If you needed some inspiration to help you save, how about getting paid to do so? For example, Iif you’re in the market for a new checking or savings , consider if one that’s currently offering a bonus is right for you.

Choosing to keep your savings in a high-yield savings with a competitive annual percentage yield (APY) means your money will earn more interest. While typically a lower APY, there are even checking s that pay interest as well. If you can lock up your money for a set term, consider a CD as well. Just keep in mind, unlike a savings , a CD comes with an early withdrawal penalty if you need the money before the end of the term when your CD matures.

Shop smart and avoid impulse purchases

Shopping smart isn’t just about searching for the best deals. It’s about maximizing the value of your dollars spent. Some ways you can do this include:

• Consider a no-spend challenge as you are trying to reach your $1,000 goal.
• Don’t shop out of boredom or for entertainment. Focus on saving instead of spending.
• Take some time before you make a purchase. Some people choose to leave an item in the cart for 24 hours before they go back online to make their purchase.
• Compare prices at different stores.
• Use cash back apps or a cash-back debit card.
• Take advantage of loyalty programs.
• Buy in bulk, especially non-perishable items.
• Use digital coupons, through apps such as RetailMeNot or Honey.
• Shop second-hand when possible.

Sell unused items

That old camera or those jeans you’ve never worn can be turned into cash. By decluttering, you’re not only tidying up, but also giving your savings a boost. Consider using an online marketplace, such as eBay or Poshmark, to sell everything from clothing to electronics. You can even sell unused gift cards.

Set up automated savings

When you treat savings as an essential bill, it ensures that you’re consistently stashing away a set amount of money. You can do this by having a portion of your balance or paycheck automatically deducted and transferred into a savings each month. Automated savings features may be available through your online banking system or a third-party savings app.

Seek additional income streams

Seeking out additional income doesn’t necessarily mean you need a second job, though that’s an option. Consider an opportunity such as freelancing, whereby you offer services in something you’re skilled in. You could also take on as-needed work through the gig economy, such as by delivering food or doing tasks on TaskRabbit.

Bottom line

When you break it down step by step, saving $1,000 becomes a more attainable goal. Whether you’re saving for a specific event or just want to bolster your financial security, taking on a few different strategies can help get you there faster than you might think.

Make sure you’re storing your savings in an interest-bearing with a high-yielding APY, such as a money market or high-yield savings , and understand how you can avoid paying unnecessary fees on the .