It's no secret that many people find it difficult to save money.
Among the most popular ways to save that has managed to entice many people is the 52-Week Savings Challenge which has been running for a number of years. This time though, we’re looking at a similar challenge but with a twist.
In reality, very few people can cover an unforeseen bill of Ksh50,000–Ksh100,000 with funds in their savings account. This shows how hard saving is due to several reasons including the high cost of living, inflation, and low wages in some instances.
Despite these challenges, it is best to start saving early, whether to build up a safety net for tough times or prepare for a particular financial objective.
One of the ways to get into saving is by trying this 52-week money-saving challenge, but with a twist. If you have trouble coming up with a savings strategy that fits your way of life or your financial resources, the 52-week money-saving challenge could be one of the solutions.
The well-known savings challenge has been shared extensively on social media platforms and many people, individuals, and families have had an easy jumpstart to their savings.
Read Also: How To Boost Your Monthly Savings
What is the New and Improved 52-week Savings Challenge for 2023?
Building on the 52-Week Savings Challenge that went viral in 2014, the difference is that the twist is the reverse of the original challenge which challenged participants to save KSh137, 800 that year by saving increasing amounts each week starting off with US$1 in the first week.
People would save an extra dollar every new week towards the KSh137, 800 target that year. In the last week of the year, participants were to save US$52 meaning that each week showed how much was to be saved.
The other option was to put the money in a jar every week. The jar was placed in a place where it was visible so that participants didn’t forget to save when the time was due.
The twist in the improved 52-week savings challenge for 2023 is that the money saved decreases every week.
You start off by saving the highest amount in the first week and then decrease this as the weeks go by.
In week one, you start with Ksh5,200, Ksh5,100 in week two, and so on until you just need to save Ksh100 in the last week of December.
Read Also: 6 Saving Tips For Low-Income Earners
Why Will the New and Improved 52-week Savings Challenge for 2023 Work?
Attempting to save Ksh5,200 in the midst of the holiday season could be a bigger challenge than choosing the improved 52-week savings challenge with a twist.
Using this approach, you'll have saved over Ksh 20,000 by the end of January and you can already start seeing returns. Just knowing this will motivate you to keep saving all year long. The beauty is that your savings are on a reducing balance so it gets easier.
Again, the 52-week savings challenge with a twist could become a much better option for you to save even more than the initial target because you have set aside more money initially and thus there is a possibility to save more money as the year progresses.
Another reason is that there are many money-saving challenges but this one should be a success because it will not only help you develop the habit of saving through cost-cutting.
Read Also: How to Budget and Save a Lot of Money As an Employee
What if I Run Low on Cash?
As we have seen above, the 52-week savings challenge for 2023 gets easier as time goes by since the money you set aside to save reduces every consecutive week. This means that you could be able to sustain the challenge since the amount of cash to save lowers every week.
In case you have several bills due in a certain week, the temptation would be to skip that week but try to avoid this impulse. Strive to make saving a lifelong habit with or without financial commitments.
Make an effort to cut your daily spending during those brief weeks.
Pro tip: If you eat lunch at the restaurant, consider bringing your lunch to the office every day of that week to help you save. You can easily save the cash you need to set away that week by avoiding the restaurant or even cutting out some snacks.
Read Also: How to Save Up for a Big Purchase, Painlessly
What Strategy do You choose?
- Decreasing saving each week
By saving decreasing amounts each week, you start off saving your highest amount, in this case, Ksh5,200 in week one.
This is a more achievable option than attempting to put in more than Ksh20,000 during the holidays. By the end of January, you will have saved more than this Ksh20,000 and which will be more beneficial if you put the money in a high-interest account as we see in the next strategy.
- Putting money in a high-yield savings account instead of a jar
Instead of putting your money in a jar, consider opening a high-yielding savings account. This way, you will be putting your money to work for you since it is gaining interest every day.
Additionally, you will not be tempted to dip into the jar for any kind of urgent expense that may arise since the money you are saving is in a bank account that is not easily accessible to you.
- Setting up a weekly transfer to the savings account
To ease things up, you can set up an automatic debit that will enable you to contribute to this savings plan. This way you will never forget to set aside the money for the challenge.
An automatic transfer will also help you stick to your savings challenge plans.
Read Also: How to Save More Money Faster in 2023
Other Twists to the 52-Week Savings Challenge
- 52 Savings Cards
This variation of the 52-Week Savings Challenge makes use of cards. You pick a card every week and deposit the value of the card into your savings account. The amount to save that year will determine the value of each card.
Tip: You could value your cards by drawing the amount of each week on the different cards. Have fun doing this and see how well you fare.
- Rolling dice challenge
Depending on the target saving for the year, every week roll all five dice from your favourite board games. Put that much money into your savings account after adding up the values.
If you are adventurous, every month's first week you can double the roll. Other versions include double special results, such as straights or matching dice and refusing to accept rolls that are less than a specific number. This sounds like fun.
Experts Tip:
The 52-week money-saving challenge can be done and finished in any way, as long as you are comfortable. Do not feel constrained by the recommended techniques.
Whatever gets you enthusiastic to save, go for it. This could be you doubling the proposed amounts to save or deciding to save the same amount every week. Whatever works for you, pursue it.
Read Also: 10 Reasons to Start Saving Now
Staying the Course
52 weeks is quite a long time and it takes a lot of motivation to stick with a savings strategy that long. As a recap, consider these:
- Instead of a piggy bank or checking account, save the money in a savings account with a bank or a Sacco. Savings that are difficult to access reduce the incentive to spend them.
- Consider automating transfers from your checking to savings accounts using internet banking or any other way offered by your bank.
- Set a finish line for your savings strategy. What will you buy with that cash? Is it for a down payment on a new car or an emergency fund? Setting a goal will keep you motivated for the full 52 weeks.
