22 savings and investment ideas for 2022

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When it comes to finding ways to save and invest money, the internet is full of a ton of tips and tricks that people swear by! The thing is, not all money hacks will suit your unique financial goalsbut whoever does it could change everything.

Keep in mind the choices you make with your money aren’t just about what you want to do this year, they’re about who you want to be in the future.

That being said, here 22 different ways to save and invest your money in 2022. Each of these small steps can go a long way towards improving your finances, so grab what you need and share a few with a friend over coffee.

Note from Kate: I’m re-sharing this article and this podcast because they were so popular when we first published them in January 2022. If you have any tips for next year, I’m all ears!

Ideas to save more money in 2022

Reduce, trade and pause your regular spending

To quickly improve your finances, consider your current automated expenses. Do a bank account audit and go through your cards and accounts to cancel any recurring subscriptions and memberships that are no longer essential. Don’t forget to review those pesky in-app subscriptions too!

Don’t forget that you can always re-subscribe if you realize you can’t live your life without a certain subscription. If you recently renewed a subscription and haven’t used the service, it’s always worth contacting the company to see if you can get a refund.

Plus, if you’ve got a monthly subscription or bill that you plan on keeping for another year, consider paying the annual fee upfront for a discount.

Use cashback and savings websites

For goods and services you are already considering buying, browse cash back sites such as Cash rewards or discount hunting browser extensions like Honey, to keep some of your money in your pocket. Both of these services offer free accounts to help you save money throughout the year.

Use Rounded Savings Apps

What better way to save money for Christmas or pay off your mortgage without even realizing it! Find a bank like ING which offers rounded features from your transaction to savings accounts. These little numbers will add up over time!

Find a better deal on your health insurance

If you currently have health insurance or are considering getting it, sit down and check out free comparison sites like Choice, iSelect and Private Healthto compare different policies and ensure you get the best deal for your personal health needs.

Like many things, the best deals are often only available to new customers to lure you in their direction.

Whether or not you have private health insurance, make sure you have ambulance coverage to avoid added stress during a medical emergency.

Victoria Ambulance has a useful checklist to determine if you have sufficient ambulance coverage. Unfortunately, not all health insurance plans (especially basic ones) include the right level of ambulance insurance, so it’s worth reading the fine print and not getting caught!

Consider on-demand economy work

Boost your savings goals in 2022 by earning extra money on the side with Airtasker, Uber and Airbnb. Extra work and flexible arrangements could help you reach your goals faster.

Get your tax return sorted and maximize your return

If you’re the person who keeps postponing your taxes until your accountant reminds you that it’s actually it’s time to get organizedgathering documents and expenses over the year is a great way to save money.

By making sure your tax deductions are aligned, you could get a good tax refund to bolster your emergency fund.

Easy Frozen Meals (on Uber Eats)

Don’t let yourself fall prey to the delivery app gods in 2022. Prepare lazy meals in the freezer for late nights or early mornings to save you time and money.

Pack snacks for the plane when traveling domestically

It was a great listening suggestion we received earlier this year. Instead of paying overpriced peanuts when you fly to Byron’s Baytake a cup of noodles on the plane with you and ask for a cup of hot water.

Boom! Instant meal for a few bucks (and you’ll feel very smart).

Figure out the 10 things that bring you joy and reduce expenses in other areas

Earlier this year, I shared the thoughts with listeners, based on Ramit Sethi’s insights into knowing your spending dials. Download this PDF, follow the instructions and identify ways your spending can be slightly reconfigured to bring you more happiness.

Configure and automate your accounts

Take the time to craft the perfect financial system for your own situation. Maybe you like separate savings accounts for each goal or want discretionary spending money to slowly flow into your spending account to spread out your purchases.

Automate your financial plan as much as possible by setting up automatic transactions to your bank account when your paycheck arrives in specific savings accounts. You can also try labeling your savings accounts with the goals you’re trying to achieve to stay focused.

Try using a reverse budget

Instead of spending all your pocket money for the month as soon as you get paid, transfer the money to a separate account and automate paying 1/30th of the money to your spending account each day. So every day is payday!

For example: If you've got $1,000 for discretionary spending each month, you would transfer around $33 into your spending account each day.

Ideas for investing your money in 2022

Choose a financial topic to deepen

The Australian Finance Podcast has covered everything from emergency funds to ETFs for the past three years.

Challenge yourself by selecting a topic we’ve discussed on the podcast over the years, dive deep into it, and become your own expert.

Set up a regular investment plan

If you are new to investing, automate your savings and adding regular contributions to your account is a great way to consistently grow your investment over time and withstand market volatility.

If you’ve ever wondered how people turn $1,000 into enough to retire, the secret weapon behind it all is compound interest. Okay, so it’s not quite as magical as Rumpelstiltskin turning chaff into gold, but it’s pretty close.

The essence of compound interest is that your money grows over time that income and capital growth on your investment compound. It is often depicted as a snowball. The longer you let it roll down the slope and the more snow you feed it, the bigger it gets.

You can test this for yourself by going to MoneySmart Compound Interest Calculatorand see what difference it could make for your personal situation.

Immerse yourself in micro investing and fractional investing

This is probably the quickest way to get started and dip your toes in the water because you’ll only need $5.

Whether you set up a regular contribution plan in your Raiz account or start buying small parcels of shares with Stake, many Australian companies offer quick and easy ways to start investing.

Examples to get you started:

  • Raiz
  • Stake
  • Spatialship
  • Goods
  • Shares

Sort your super

One of the biggest problems with a mandatory super system is that Australians lose track of all their different super accounts, created as they move between jobs and change their contact details.

So much so that in 2018, the ATO announced that the total amount of super lost and unclaimed in Australia was approximately $17.5 billion.

The good thing is that if you create a myGov account and link your ATO details, you will be able to keep track of your super funds and find any money that has slipped through the cracks.

Invest in your health

Invest in your health, there’s no point in being rich and dead.

A gym membership is not a waste of money if you actually use it. Go to the dentist, get a checkup, adjust your nutrition and diet, see the physio, etc.

Take a vacation in Australia

With many lockdowns over, it’s time to explore your big backyard. Support local Australian businesses and invest in your own mental health by taking a break and booking a vacation. The past two years have been hectic, to say the least, and we all deserve a good break.

Give your home a facelift

If you feel like upgrade your home on a budget, consider painting a feature wall in your bedroom, putting on new doorknobs and adding some cool throw pillows. These little things can make all the difference!

Invest in your happiness

Pick one thing you’ve really wanted to do for the last few years that lockdown has put on the back burner and just do this.

It’s important to enjoy yourself along the journey. Don't pursue your financial goals at the expense of everything else.

Research and invest in a business you love

If you are interested in investing in individual companies, set yourself the educational challenge of thoroughly investigating a company that interests you.

If you’re still confused, Rask has a free estimate course and Resources to help you with this.

Explore thematic ETFs

If you’ve set up your basic wallet, you might like to explore the idea of Thematic ETFswhere you can express your point of view in a certain sector like green energy, technology or even a country, and invest in the change you would like to see in the world.

Sort out your investment plan for 2022

Sort out your investment goals and plan for the year – think about how much you will invest each month, how will you invest it, and what will you invest it in.

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