How To Save $10,000 Fast, According to Expert Humphrey Yang
Written by
Laura Beck
Edited by
Cory Dudak
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For most Americans, saving $10,000 is a daunting financial goal. But popular personal finance YouTuber Humphrey Yang has a step-by-step plan to make it happen within a year through small lifestyle changes. His approach is refreshingly practical and motivating.
Here are Humphrey Yang’s tips and tricks for saving $10K fast, delivered via a recent YouTube post.
Finding Your ‘Why’
Yang started by stressing the importance of having a strong “why” for saving $10,000. Whether it’s building an emergency fund, paying off debt, or reducing financial stress, attaching your savings goal to a bigger life purpose will keep you motivated. “Only 9% of Americans who make New Year’s resolutions actually complete them,” he said. Having that compelling “North Star” reason makes you more likely to stick with it.
Make a Concrete Plan
Next, Yang advocated taking the time to plan out exactly how you’ll reach your $10,000 target. He suggested “reverse budgeting” — paying yourself the target savings amount first before spending what’s left over. Tracking expenses is key to cutting back in non-essential areas like restaurant meals, clothing and subscriptions.
Leverage ‘Forced Savings’ Strategies
One of Yang’s best tips was using “forced savings” mechanisms like automatically transferring money to a separate high-yield savings account on payday. “We are highly adaptable,” he said. If money is out of sight, you’ll adjust to the new normal. This fairly easy tactic helps make sure you actually stick to your savings plan.
Boost Your Income
While cutting expenses is crucial, Yang also recommended looking for ways to slightly increase your income through side gigs, freelancing or skills training. An extra $150-200 per month materializes thousands in annual savings.
Minimize the Tax Bite
Finally, Yang explained how to maximize savings by reducing taxes through accounts like IRAs and 401(k)s. He drove home the idea that “a penny saved is more than a penny earned” after accounting for income taxes.
By implementing just a handful of Yang’s tactics, such as meal prepping, pruning recurring costs and opening a high-interest savings account, you can stash over $27 per day toward your $10,000 goal.
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