Saving money is hard, especially when it takes a long time to see results. If you went out and bought a new computer, you’d have access to that computer straight away. But if you’re saving for a property or a holiday you’ll usually wait months, if not years, to see the fruits of your labour. It’s hard to keep positive, and sometimes the temptation to spend can outweigh your savings goals.

However, there are some practical changes you can make to help you reach your savings goals quicker. Here are a few of our tips:

1. Put your money in the right type of account

There are various places you can put your money, but usually people will opt for a high-interest savings account. These accounts pay a much higher interest on deposited money than everyday transaction accounts.

There are many advantages to a high-interest account:

•  Most of them don’t charge fees, so you won’t lose any of that hard-earned cash
• Interest is generally compounded throughout the month.
• Everything is managed online, so the only way to access the funds is to transfer them to a different account first.
• You can link your transaction account to your savings, making it easy to make deposits and withdrawals.

A popular alternative to this approach is using term deposit accounts, which provide a fixed interest rate over an amount of time chosen by you. For example, if you want to reach your goal within three years, you can set your term deposit an interest rate for that amount of time.

The advantages to using a term deposit are:

• During the ‘term’ you will not have access to your money, so if you’re often tempted to withdraw your savings this may be a good option for you.
• Your interest rate is fixed at a daily rate for the duration of the term, so your savings are growing faster, and are not subject to the movement of the official interest rate.
• Interest is compounded monthly, quarterly, six monthly or yearly, depending on what structure you choose.

2. Prioritise your savings

Whatever savings account you choose, you should set up a system which ensures you keep adding to that account regularly. The easiest way to do this is by choosing a set amount each pay cycle, which will be automatically set up to directly transfer into your savings account. Additionally, if you receive a bonus at work or any extra cash, immediately deposit it into your savings. This is extra money you weren’t budgeting for, so you shouldn’t need it for everyday expenses.

While it may be tempting to drop that tax refund you (hopefully) get every year on something shiny and new, you need to consider the long-term benefit of popping that money into your savings account. Unless you were relying on that money to pay some bills, a long-awaited holiday, a new car, or your first home is a much nicer reward than splurging on shoes.

3. Pay off your debts as quickly as you can

You won’t have much success with a savings plan if you still have debts to pay. This is because the interest you’re paying on your debt is likely to be much higher than the interest you’re earning on your savings. It’s important to get those debts down as quickly and efficiently as possible.

• Speak to your bank or lender about reducing your interest rates on your debt.
• Ensure you’re following a regular payment schedule.
• Try to pay more than the minimum repayment amount.
• If interest rates go down, continue to pay the same repayment amount.
• Pay off your higher interest debts first, and then go down the list.

4. Interest bonuses

A great way to make more money from your savings is to find a high-interest savings account that rewards you for the way you actually use the account. For example, many will offer a higher interest rate if you deposit a certain amount each month, or if you don’t withdraw any money over the month. Additionally, some will look at your monthly closing balance, and if you increase this to a certain amount, they’ll lower the interest rate.

Another popular option are introductory bonus offers, where the lender will reward you for signing up before a specific date. If you’re looking to find the right high interest savings account, always shop around. And don’t be afraid to change your account if you find something better, or alternatively, speak to the lender about matching a certain deal you’ve found.

5. Offset your mortgage

A mortgage is a very large debt to manage, but if managed correctly, you can still build up a savings. A mortgage offset account is linked to your mortgage. It offsets the amount you pay against whatever is in your chosen transaction account, for example wages, savings, or other income. Often you’re much better off keeping all your funds in an offset account, as whatever amount is in there will directly reduce the amount you pay on your mortgage. For example, if your mortgage is $500,000, and you have $50,000 in your offset account, the interest you pay will only be against the remaining $450,000. Just be sure to talk to your bank first, and make sure this is the right option for you.