How To Save $10,000 On A Low Income | Step-By-Step

A step by step tutorial for saving your first $10,000 starting from $0. Free spreadsheet included!

*(To make copy go to "FILE and MAKE A COPY")*

Books I'm Reading

Chapters:

00:00 Start Here
00:50 Step 1: Open Up A High Yield Savings Account
01:48 Step 2: Make A Copy Of The Free Spreadsheet
02:51 Step 3: Input Your Starting Balance
03:59 Step 4: Determine How Much You Can Contribute A Month
06:29 Step 5: Contribute To Savings Account And Record It
08:24 Step 6: Make And Record Extra Contributions
10:15 Step 7: Be Consistent And Patient

I saved my first $10,000 when I was 22 years old working at a minimum wage job making $8/hour. That experience taught me that if you set your mind to something, anything is possible. In this video, I am going to walk you through the method that allowed me to save my first $10,000 on a low income.

Step 1: Open Up A High Yield Savings Account

The first thing you need to do on your journey to save $10,000 is to open up a savings account so that your saving money is separated from your spending money. Having this account will allow you to keep track of your progress better. The main things to look out for when getting a saving account is making sure there are no fees and it has a high interest rate.

Step 2: Make A Copy Of The Free Spreadsheet

The next step is to make a copy of the free spreadsheet that we will be working with that will allow us to be more organized and track our progress. The link to the spreadsheet is above.

Step 3: Input Your Starting Balance

Next, in the purple box of the spreadsheet it says, "Starting Balance." This is where you will put how much money you currently have set aside. Input how much money you have set aside in this box and if you have no money saved, then simply put $0. On the yellow table off to the side, you will see the number automatically populates to help you track your progress.

Step 4: Determine How Much You Can Contribute A Month

Now this gets a bit more technical. In order to reach $10,000 in savings, you need to determine a specific dollar amount that you can set aside each paycheck to save. This number needs to be realistic where you can be consistent over a long period of time. Many people have trouble saving because they are overambitious with how much they can save and are unable to be consistent over a long period of time. To figure out this number, watch my video on budgeting:

Once you determine a realistic amount of money you can set aside, in the spreadsheet enter that number in the green box that says, "Monthly Contribution." On the yellow table, it will give you an estimate of how many months it will take to reach your goal.

Step 5: Contribute To Savings Account And Record It

Once you figure out the specific number, the first thing you need to do is put that money in your savings account. The second thing you need to do is record it on the blue table of the spreadsheet, inputting the month and amount. This information will move to the yellow table helping you keep track of your progress.

Step 6: Make And Record Extra Contributions

If you want to speed up the progress to reach $10,000 in savings, you need to make extra contributions as you receive extra money throughout the year. For example, tax refunds, extra jobs, and birthday money. If you can save some of this money throughout the year, you can speed up the process.

When you are able to contribute more, first add that money to your savings account. Then, record it on the brown table, inputting where the money came from and the amount. Doing this will allow you to speed up the process of reaching $10,000.

Step 7: Be Consistent And Patient

Once you have done the previous steps, the only thing left to do is be consistent and patient over a long period of time. Saving $10,000 is something that will take time, but if you follow this method, you will eventually reach $10,000.

*If you are from another country with a different currency and goals, simply go to the red box on the spreadsheet and change the amount. The tables will readjust to the new goal.

**I am not a financial advisor. The ideas presented in this video are for entertainment purposes only. You are responsible for the financial decisions that you make. Links above are affiliate links where if you click and order, I will receive a commission at no cost to you. **

[WinnyDek]

I didn't become financially independent till I was in my mid 40s after having a major financial setback during the covid, Thank God i'm now on my feet . In addition to buying my second house, I'm also making money on a monthly basis through passive income, and I've also met some of my goals. I really hope this motivates someone to know that it doesn't matter if you don't have any of these things yet; no matter your age, you can start today. Investing can help you change your future!

[foolanita]

We’re close to 10k in just 3 months. We completely changed the way we live and it’s the best feeling ever

[jimmiepatrum]

This is a great chart. I can save only $25 per month, so I changed the $10, 000 to $1, 000. That's doable for me. Thanks for the encouragement. Diane

[Cole-ftrr]

At 18 I had $12, 000 saved up on my own making $10 an hour at a local pizza joint for 2.5 years while in high school. Now at 26, I’m barely able to save a quarter of that now that I have a mortgage, student loans, a car loan, etc.

[a.bit.of.everything.]

Thanks for sharing this spreadsheet! Now saving €200/month, by January 2024, I will be able to save €400 as my renovation dept and credit card dept will be paid off!

[glen]

thx I've been keeping track of my finances and budgeting since the start of the summer. I have a good idea of how much I can realistically save each month. I have a goal amount and will use this spreadsheet to try to get to that goal!

[bthomas]

Love the content. $10K in savkng sure does sound good. I am half way there.

[rhondalyn]

You da man, Agustin! Have a boss hog weekend and a smashing vaca in sunny Florida!!! 🙂

[rhoneawilliams]

I laughed so hard when you said, “what separates Augustin from other people on YouTube is I live in something called reality.” Then the word flashes on the screen in quotes 😂

Love it!

I am so over the “100 envelope challenge save $5000 in three months” challenge popular on social media right now.

Reality is that most people fail those unrealistic savings challenges b/c they don’t factor in their own lifestyle/budget/living expenses

[davidweaver]

Thanks for the Sheet. That was fun. I recently told myself I wanted to put away 150k in ten years. Ill really have scrap to do it, but I think I can. I figured 1500 a month would do it, but your sheet gave me some leeway. If I do it, it'll only be 7.74 years.

[OrianaMalina]

Congrats on 60k subscribers! 🎉Have fun on vacation!!!

[melsyr]

Thank you ❤ I do this money management system every week, and so far I have 45k saved up. I also set goals for myself regarding this. Great content ❤

[AR-lnln]

I saved that in 1998 working in a restaurant 10-12 hour shifts five days a week. I was twenty years old. I had a roommate and my part of the rent was $300 a month. No other bills to pay but food to buy. Same city, same job, same place to live would allow me to save $10k a year, but now it's not a lot of money.

[DesertMav]

I actually accomplished saving about $10K in about 2-3 years when I started a mutual fund. It essentially became my down payment for the vehicle I purchased at the beginning of the year. My plan right now is to rebuild my emergency fund. My goal is to start working towards a $10k emergency fund, while paying off that vehicle I purchased. Also, congrats on hitting 60k subscribers.

[evabognar]

Thanks for this video and special thanks for mentioning (finally, someone!) that _it takes time_! I've seen several videos along the line "how to save xk on a low income" and they usually provide helpful tips and good ideas how to live frugally but this is the first video where I see the timing factored in.

[DavidDavisDH]

I moved back home (late 30s), it does work with discipline and patience. The savings account really does help to see how much you save. I like your videos, great minds think alike haha. I put money into my savings after I get paid every 2 weeks, it adds up fast.

[davidbowie]

Sound advice Austin. I have £8.2 K (which is about $10K) after 13 months. I'm not on a super wage, just been cutting out buying crap I don't need. 10K is a super amount to have, but whatever you save is better than not having anything and gives you a little bit of security👍

[neilschipper]

As always thanks for your good information. Hope you enjoy your trip down here to Florida. With the travel ban it might be less crowded this winter.

[yunabriones]

Thank you for the template!!! I love your videos! They're all very realistic.

[marleneflourentzou]

Thanks for the advice
CONGRATULATIONS ON 60, OOO SUBSCRIBERS!