A WOMAN revealed that she and her husband have been successfully saving money by using the financial strategy called the savings ladder.
Jandra Lee Sutton, the host of The Wildest Podcast, revealed that with this strategy she has been able to save up to buy a house.
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In a video, Jandra revealed: “This is the savings strategy that helped my partner and I pay off all of our student loans, save up over $30K, and buy a new house.
“And it’s called the savings ladder. It’s very simple! Instead of starting with an amount you want to save for, you start with a reward you want to give yourself.”
She explained that if you want to purchase AirPods, you’d save up at least $150, which is the price of the cheapest version.
However, depending on how much you want to save, you’d multiple the price of the reward by three or four (or however much you want). This means that you’d save up between $450 and $600.
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According to the TikToker, once you reach the amount of money you want to save, you’d buy yourself that reward.
Therefore, when you save up $600, you’d go ahead and purchase the $150 Airpods.
“You need that dopamine to keep saving and then the next time, you create a bigger reward. Something that is more than the initial thing you saved for,” she revealed.
“That way, you’re climbing up the savings ladder. And because we are saving up for things we really really want, it’s way easier to save.”
This piece of advice along with extreme couponing can be the answer to getting out of debt as soon as possible.
My grandma left my coupons rather than an inheritance – so far I’ve stockpiled $60k worth of food
This post first appeared on thesun.co.uk
