91Ï㽶»ÆÉ«ÊÓƵ

During January, it felt like you couldn’t turn on the television or radio without hearing about another amazing offer for a summer holiday. And, as much as we would all love to be packing our bags, the reality isn’t so sunny. 

We are navigating a cost of living crisis, so paying household bills and the weekly food shop is the priority because budgets are being squeezed more than ever before. In our 2022 savings report, we found one in 10 people didn’t have any savings at all and 31% saved less than £100 a month. 

However, by thinking about the possibility of a holiday next year, it could open up some saving opportunities. Starting a savings pot is always much easier when you have a goal in mind, and a holiday in 2024 could be a good way to get started. 

Here are some savings challenges that will work for the next 365 days, and they offer a range of budgets so you can find the challenge that suits you. 

1. The 365-day challenge 

Okay, let’s start with the big one first. This challenge involves you saving a different amount every day and increasing it throughout the week. For example, on Monday you save £1, Tuesday £2 and then keep rising until you reach Sunday and save £7. This means you are saving £28 every week for a whole year, which is a big commitment but offers a lovely reward that you could put towards a holiday when you finish in February 2024. 

Holiday savings pot: £1,456 

2. The little and often challenge 

Instead of putting pressure on yourself by increasing the amount you save every day, try setting up a regular standing order to a savings account. For example, try saving £2 every day and you’ll start to see your savings pot grow. 

Holiday savings pot: £730

3. The £1,000 challenge 

If you are thinking of an amount of money that could help towards a holiday - £1,000 seems like a sensible goal. But let’s break that down to see how much you would need to save to reach this amount… And the answer is £2.74 every day. Therefore, if you think you can manage that with your budget, set up a daily standing order to your savings account and by February next year you’ll have £1,000!

Holiday savings pot: £1,000 

4. The switching challenge 

If you are struggling to put money into savings, then take some time to look at your bills each month to see if you could make a saving elsewhere. Explore Money.co.uk and our partner site to make sure you are getting the best deal, as some banks are offering switching bonuses. For example, TSB’s Spend and Save current account is currently offering a bonus of up to £200 for anyone that switches.  Alternatively, you can contact your existing providers to see whether there is a way to reduce your bill. Broadband providers may be able to change your plan to reduce the monthly cost. Set yourself a target of saving at least £20 from your bills and then each month transfer the extra £20 into a savings account.

Holiday savings pot: £440

5. The monthly savings challenge 

If you are paid monthly, then a savings challenge that aligns with your payslip would work well. Therefore, try saving £5 in February and then increase by £5 every month as you go through the year as soon as you receive your monthly pay. This means in March you’ll save £10, in April you’ll save £15 and so on. 

Holiday savings pot: £390 

For more information about savings accounts and the options available, visit our savings hub.