This Aussie shares her secret to saving $35,000 this year!
- Replies 12
In an era where financial stability feels increasingly out of reach, learning how to budget effectively is a skill that can make a significant difference.
Aleks Nikolic, a 28-year-old corporate lawyer from Sydney, has shared her simple yet effective budgeting method that helped her save over $30,000 in just one year.
Her approach is not only practical but also psychologically empowering, making it a strategy anyone can adopt.
Aleks' secret to successful saving is surprisingly straightforward: label your savings with their intended purpose.
This simple act of assigning a future use to your funds can significantly boost your savings and deter spontaneous spending.
'I find it so much easier to save if you know what you’re saving for,' Aleks explained.
'Putting $500 aside for an ambiguous future date is hard. But $500 towards flights to Europe feels so much more satisfying.’
‘In my case, it was a house deposit—I knew every $500 brought us closer to our dream home.'
This method is particularly effective for those struggling with saving, as Aleks did for years.
After earning $300 a week and falling into credit card debt, she discovered that having a specific purpose for her savings made it much harder to dip into that money for other things.
'Having just a big bucket of cash that includes your emergency fund, home savings, etc. makes it really easy to dip into that money and not know what you’re stealing from,' she said.
'When you label your accounts with exactly what they’re for, (it) makes it really hard to steal from your holiday fund knowing that you’re taking away money from flights or accommodations.’
‘And that makes it a lot easier to say no to those purchases.'
Another key aspect of Aleks' budgeting strategy is automation.
By setting up automatic transfers into her savings account on payday, she eliminated the need for decision-making around saving money.
'I try to reduce any decision-making associated with saving money. All my savings are completely automated,' she said.
'On the day my pay comes in, I automatically set aside $800 into a separate account.’
‘I think many of us leave budgeting to a manual process.’
‘But lots of decision-making around money makes it seem dull, hard, and you can easily spend more than you intended if you have to decide each week: Do I put this money away or do I go out for drinks and have four margaritas cocktails at $25 a pop?’
‘My bank automatically puts the money into separate accounts without me thinking about it.'
Aleks has been working as a lawyer and a people manager, which involves hiring, leading, and developing team members.
‘I have really focused in the last couple of years in both increasing my primary source of income but also creating new streams of income,’ she said.
She acknowledged that her corporate roles have been a 'privilege' that, along with hard work, contributed to her ability to save.
She saved $35,000 in 2023 because she knew she needed money for a mortgage.
‘The savings was specifically intended to boost our house deposit to try to offset the impact of interest rates,’ she said.
‘It is a huge privilege to have this much disposable income to save.’
If she received unexpected earnings like tax returns or work bonus, she allocated them into a savings account.
‘I decided that any windfall was going to go towards this goal,’ she said.
‘This meant my tax return, cashback, interest saved on other accounts, dividend payments and even refunds I received—every dollar automatically goes to this account, so I don’t have to think about it.’
‘My work bonus was also a significant contributor to the goal.’
‘I highly recommend this because it can be a total money game changer.’
However, Aleks also warns against trying to save too much.
‘This may seem crazy, but trying to save too much is a mistake,’ she said.
'Budgets have to be sustainable, and life needs to be fun.’
‘Your budget needs to work for your needs and your wants if you’re going to be able to live with it long term,' she advised.
Aleks said she keeps three months of her salary saved in her emergency fund for unplanned expenses.
‘This is deeply personal because everyone’s comfort, level around money and job security is different,’ she explained.
‘I keep three months in my emergency fund of bare-bones expenses. When I was living at home and didn’t have a mortgage, I kept a month.’
For those struggling to save money, Aleks likened financial priorities to weight loss.
'No one gets fit overnight,' she said.
'I did the whole restriction, overspending and even credit card debt cycle when I was learning to manage my money.’
‘But much like fad diets, a sustainable budget is more effective than a lemon water budget of trying to spend $0 for a fortnight.'
Aleks' journey to financial stability involved understanding her spending habits.
‘When I realised it was often boredom, anxiety or discomfort, I came to the shocking realisation that no amount of clothes was going to make me feel better,’ she said.
‘Learning to put money towards things I cared about, like holidays or experiences, and less toward things that provided a temporary balm to my anxiety, such as clothes shopping and eating out, I found I was able to save a lot more, and it was really easy.’
Each of Aleks’ personal financial advice may vary depending on your circumstances. So, make sure to check on your financial goals and personal circumstances before applying these.
However, with the cost of living and interest rates rising, we need to have a solid savings strategy on hand.
To achieve more of your financial goals, a licensed personal financial content creator shared her top money-saving tips in 2024. Learn more about them here.
What are your thoughts on Aleks' budgeting method? Do you have any other budgeting tips for seniors? Share your thoughts in the comments below.
Aleks Nikolic, a 28-year-old corporate lawyer from Sydney, has shared her simple yet effective budgeting method that helped her save over $30,000 in just one year.
Her approach is not only practical but also psychologically empowering, making it a strategy anyone can adopt.
Aleks' secret to successful saving is surprisingly straightforward: label your savings with their intended purpose.
This simple act of assigning a future use to your funds can significantly boost your savings and deter spontaneous spending.
Is it possible to save $35,000 a year? Aleks Nikolic thinks so! Credit: Unsplash
'I find it so much easier to save if you know what you’re saving for,' Aleks explained.
'Putting $500 aside for an ambiguous future date is hard. But $500 towards flights to Europe feels so much more satisfying.’
‘In my case, it was a house deposit—I knew every $500 brought us closer to our dream home.'
This method is particularly effective for those struggling with saving, as Aleks did for years.
After earning $300 a week and falling into credit card debt, she discovered that having a specific purpose for her savings made it much harder to dip into that money for other things.
'Having just a big bucket of cash that includes your emergency fund, home savings, etc. makes it really easy to dip into that money and not know what you’re stealing from,' she said.
'When you label your accounts with exactly what they’re for, (it) makes it really hard to steal from your holiday fund knowing that you’re taking away money from flights or accommodations.’
‘And that makes it a lot easier to say no to those purchases.'
Another key aspect of Aleks' budgeting strategy is automation.
By setting up automatic transfers into her savings account on payday, she eliminated the need for decision-making around saving money.
'I try to reduce any decision-making associated with saving money. All my savings are completely automated,' she said.
'On the day my pay comes in, I automatically set aside $800 into a separate account.’
‘I think many of us leave budgeting to a manual process.’
‘But lots of decision-making around money makes it seem dull, hard, and you can easily spend more than you intended if you have to decide each week: Do I put this money away or do I go out for drinks and have four margaritas cocktails at $25 a pop?’
‘My bank automatically puts the money into separate accounts without me thinking about it.'
Aleks Nikolic had multiple sources of income and learned how to save a lot. Credit: @brokegirlwealh / Instagram
Aleks has been working as a lawyer and a people manager, which involves hiring, leading, and developing team members.
‘I have really focused in the last couple of years in both increasing my primary source of income but also creating new streams of income,’ she said.
She acknowledged that her corporate roles have been a 'privilege' that, along with hard work, contributed to her ability to save.
She saved $35,000 in 2023 because she knew she needed money for a mortgage.
‘The savings was specifically intended to boost our house deposit to try to offset the impact of interest rates,’ she said.
‘It is a huge privilege to have this much disposable income to save.’
If she received unexpected earnings like tax returns or work bonus, she allocated them into a savings account.
‘I decided that any windfall was going to go towards this goal,’ she said.
‘This meant my tax return, cashback, interest saved on other accounts, dividend payments and even refunds I received—every dollar automatically goes to this account, so I don’t have to think about it.’
‘My work bonus was also a significant contributor to the goal.’
‘I highly recommend this because it can be a total money game changer.’
However, Aleks also warns against trying to save too much.
‘This may seem crazy, but trying to save too much is a mistake,’ she said.
'Budgets have to be sustainable, and life needs to be fun.’
‘Your budget needs to work for your needs and your wants if you’re going to be able to live with it long term,' she advised.
Aleks said she keeps three months of her salary saved in her emergency fund for unplanned expenses.
‘This is deeply personal because everyone’s comfort, level around money and job security is different,’ she explained.
‘I keep three months in my emergency fund of bare-bones expenses. When I was living at home and didn’t have a mortgage, I kept a month.’
For those struggling to save money, Aleks likened financial priorities to weight loss.
'No one gets fit overnight,' she said.
'I did the whole restriction, overspending and even credit card debt cycle when I was learning to manage my money.’
‘But much like fad diets, a sustainable budget is more effective than a lemon water budget of trying to spend $0 for a fortnight.'
Aleks' journey to financial stability involved understanding her spending habits.
‘When I realised it was often boredom, anxiety or discomfort, I came to the shocking realisation that no amount of clothes was going to make me feel better,’ she said.
‘Learning to put money towards things I cared about, like holidays or experiences, and less toward things that provided a temporary balm to my anxiety, such as clothes shopping and eating out, I found I was able to save a lot more, and it was really easy.’
Each of Aleks’ personal financial advice may vary depending on your circumstances. So, make sure to check on your financial goals and personal circumstances before applying these.
However, with the cost of living and interest rates rising, we need to have a solid savings strategy on hand.
To achieve more of your financial goals, a licensed personal financial content creator shared her top money-saving tips in 2024. Learn more about them here.
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. Good on SDC showing us seniors how a 28 year old can save $30,000.00 and how it can be done. 
