Introduction
Saving money sounds simple—but sticking to a savings plan is where most people struggle. Whether you’re saving for a house, an emergency fund, or a well-deserved holiday, consistency and structure are the keys to financial success.
The problem? Life gets busy. Expenses pop up. And without a clear plan, savings goals often take a back seat.
In this guide, we’ll break down how to set up a savings plan that sticks, including practical strategies, proven systems, and mindset shifts that help you stay on track—no matter your income or goals.
1. Define Your Savings Goals
Start with a clear target. Knowing what you’re saving for gives your plan purpose and helps you prioritise.
Examples of Common Savings Goals:
- Emergency fund (3–6 months of expenses)
- First home deposit
- Car upgrade
- Travel or holidays
- Education or upskilling
- Investment or business capital
Centy Tip: Assign a timeline and target amount to each goal. For example: “$5,000 for a Europe trip in 12 months.”
2. Know Your Numbers
Before setting up a savings plan, you need to understand your cash flow—what comes in and what goes out.
Steps:
- Track your income after tax
- List your fixed and variable expenses
- Identify areas to reduce or eliminate (e.g. unused subscriptions, impulse buys)
Use budgeting tools or apps like Pocketbook, MoneyBrilliant, or a simple spreadsheet.
3. Choose a Savings Method That Works for You
The best savings system is the one you’ll stick to. Here are some proven methods:
a) The 50/30/20 Rule
- 50% of income: Needs
- 30%: Wants
- 20%: Savings and debt repayments
b) Pay Yourself First
Automatically transfer a percentage of your income into savings before paying bills or spending.
c) Zero-Based Budgeting
Every dollar is allocated (including toward savings) so nothing is left unassigned.
4. Automate Your Savings
Automation removes the temptation to spend what you should be saving.
How to Do It:
- Set up automatic transfers to a separate savings account on payday
- Use separate accounts for different goals (label them clearly)
- Consider using round-up tools or micro-savings apps like Raiz or Up Bank
Why It Works:
You’re saving without thinking—and removing willpower from the equation.
5. Use the Right Type of Savings Account
Where you store your money matters.
Options to Consider:
- High-Interest Savings Accounts (HISA): Earn interest on your savings while avoiding market risk
- Offset Accounts: Reduce your home loan interest by parking savings here
- Term Deposits: Lock in money at a fixed rate for short-to-mid-term goals
Centy Tip: Avoid mixing savings with your everyday spending account. Out of sight = less temptation.
6. Track Your Progress
Seeing your savings grow is motivating. Track your progress to stay engaged and adapt when needed.
Tools:
- Budgeting apps
- Spreadsheets with goal trackers
- Monthly review sessions (solo or with a partner)
Include milestones (e.g., 25%, 50%, 75%) and reward yourself—modestly—when you hit them.
7. Prepare for Setbacks
Unexpected costs can throw off your plan—but they don’t have to derail it.
Build in Flexibility:
- Have a buffer fund separate from your savings goals
- Revisit and adjust your plan every few months
- If you miss a savings transfer one month, recommit without guilt
Mindset Shift: It’s about progress, not perfection. Keep showing up.
8. Make Saving a Habit, Not a Chore
Saving doesn’t have to feel restrictive. Create systems that feel empowering—not punishing.
Habits to Support Your Plan:
- Do a weekly “money check-in” (10 minutes)
- Unsubscribe from marketing emails that trigger impulse buys
- Use cash for discretionary spending to increase awareness
- Surround yourself with content and people who support your financial goals
The more positive your savings experience is, the more sustainable it becomes.
Conclusion
Setting up a savings plan that sticks is about more than just numbers—it’s about clarity, consistency, and systems that support your goals. Whether you’re starting small or aiming high, the key is to make saving automatic, purposeful, and rewarding.
Start with one goal, one habit, or one transfer. Build from there. And remember—your financial future starts with what you do today.
