Saving even small amounts can make you feel good

Saving won’t always be a priority if money is tight, but putting even just a little bit aside can have huge benefits - both financial and psychological.

If you have a small amount in savings, you’ll be less likely to borrow and risk falling into debt if you’re hit with unexpected costs.

And that sense of preparedness can, in turn, improve your day-to-day mental health and quality of life.

According to new research by the Post Office, 47% of people who regularly save say putting money aside makes them feel more responsible.

But 30% also say it helps to reduce stress, while 26% say it boosts excitement for the future.

Savers feel a sense of accomplishment

Post Office data shows that 88% of savers have met a goal they set, and that’s left them with a sense of satisfaction, control and happiness.

Meanwhile, 40 per cent say they believe putting even just a small amount into savings should be seen as an accomplishment.

And 33% of people who’ve saved say they feel a thrill if they save as little as £1 to £30.

That sense of reward is having another positive effect - motivating people to press on and stick to a savings habit.

Almost half said they’re driven by seeing their savings balance gradually increase, and nearly a quarter are spurred on by the idea of treating themselves without guilt.

“Putting an amount, big or small, into savings brings a buzz and thrill,” said Ross Borkett, banking director at the Post Office.

“Clearly knowing that you’re working towards something brings a sense of excitement and pride.”

What are people doing to reach savings goals?

Many people are embracing tiny changes in habits and behaviour to free up a few pounds that could be saved, such as:

• avoiding takeaways
• buying second-hand
• buying budget or supermarket own brands
• cutting down on takeaway coffees
• limiting or cancelling unused subscription services
• meal planning to reduce overspending 

And we’re also seeing more backing online movements such as no-spend weekends, where people deliberately choose to do something fun that doesn’t involve spending fortunes.

If you want to get started, check our handy tips on how you can start saving when money is tight.

We’ve also put together a list of ten everyday swaps that could save you over £100 a month.

Remember - putting even small amounts aside can make a big difference.