Want to save money? Here's how to successfully navigate a 'No-Buy Year'

Set clear goals

Before anything else, it's important that you first have a goal and understand why you want to do the challenge, said financial planner and consultant Kumiko David.

"Most of us save because we have a goal, like 'I will save to buy this new iPhone.' But have you ever tried asking yourself why you want or need an iPhone? After talking to a lot of people because of my job, I realized that this is one crucial thing in saving: you must have a reason or a why for saving," she stressed.

"Knowing your reason or 'why' for saving will be of help not just in motivating you alongside your goal to save but also serves as an assurance that this 'paghihirap' will soon be worth it," she added.

For instance, your short-term goal in saving could be because you want to buy a smartwatch to be fitter, while your long-term goal could be to start a retirement plan.

Practice the seven-day rule

If there comes a time that the urge to spend on non-essential things is about to get the better of you, financial wealth manager Renelyn Ramirez said that you can overcome this by practicing the seven-day rule.

"If you want something so bad, think and wait for at least 7 days before buying. This may also help you distinguish wants from needs," she said.

Through this waiting process, you can evaluate whether you really need the time and possibly have your desire for it fade over time.

Stick to your budget

Planning is also one way of helping you with your challenge, and you can do this by preparing your budget for future expenses.

"You can create a realistic budget that covers all your expenses and essentials. Allocate any surplus to your savings or investments," Ramirez said.

Don’t buy things on credit

Credit cards have their own benefits and drawbacks, but according to financial coach Edwin Suson, you may want to put your card to rest for a bit if you want to hop on this saving challenge.

"If you buy things on credit that you don’t really need, you’ll end up paying more because of interest. This makes it harder to save," Suson noted.

"If it is necessary, use credit and focus at once on earning extra money to settle it at once. For example, you can sell items online, do part-time work, or even offer small services," he added.

Find your 'jumpstart factor' to increase your savings

Sometimes, all you need is the right means to kickstart your money-saving lifestyle. Suson highlighted that you should use the money that you get from non-recurring income like bonuses, productivity incentives, or a 13th-month pay as a way to save or invest.

"For example, as a beginner and want to kickstart your investment, if you receive a nonrecurring income, use it to invest in the Pag-IBIG MP2 account. This program gives higher returns than a regular savings account and is government-guaranteed, so it’s safe and reliable," he explained.

To help with this, you can also make your savings automatic so you don’t even get tempted to spend the money. In Suson's case, he had asked his employer to deduct P10,000 from his monthly salary and deposit it directly into his Pag-IBIG savings account. This way, he can only spend what’s left after saving.

Make a vision board

If you feel that you cannot stick to your goals properly, financial advisor Sheila Ong said that a vision board can help remind you of your goals every day.

"Make it creative and attractive, 'yung ma-eexcite ka whenever makita mo 'yung post mo. It can be posted on your wall, mirror, or it can be your phone wallpaper," she said.

You can also keep a tracker of your monthly expenses, which can be either an app, an Excel sheet, or a notebook.

Create a savings jar

Ong encouraged the use of a savings jar to help with your goal, which can take the form of a savings account or an investment vehicle wherein you obligate yourself to put money in every month.

"Commit not to use it," she urged. "In this way, by the end of 2025, you will be able to reach your goal."

To properly do this, Ong said that you should quantify the money you want to put in your savings jar and divide it into 11 months.

"Why 11 months? Para may buffer ka pa for the 12th month, or December is for celebration na or relax mode," she said.

Set a completion reward

It's always good to reward yourself whenever you manage to complete a difficult task, but David cautioned that you may fall into the trap of rewarding yourself every cut-off with phrases like "Deserve ko ‘to!"

"Try changing things around, set a completion reward instead! This means we will only get a reward after completing a certain goal," she said.

"After suggesting this to my clients who are having a hard time saving, a ratio of four out of five told me this worked for them. Saving, especially for long-term goals can be tiring and challenging. That is why giving yourself a 'completion reward' is also essential," she continued.

Is the 'No-Buy Year' challenge possible?

TikToker Budgeting Blind Cats, who tried the challenge in 2024, admittedly said that while her results were "mixed," she has learned a lot from it.

For her, decluttering only makes you buy more. "You are used to bringing stuff into your home and decluttering is the purge that justifies the binge of shopping again and buying more stuff," she said in the video, advising to "use the things you already have."

"The urge to declutter is part of that shopping cycle," she noted.

She also recommended creating budget categories for specific expenses, such as clothing, books, and skincare. "By tracking it, I was holding myself way more accountable and I was able to reflect on a lot of the choices I was making as I was making them."