by Michelle Lynne Smith

Created on: October 25, 2010

In today's society, saving money can seem like an impossible task, but it is a necessary one. Spare change may seem like an insignificant source of cash, but if saved correctly, it can add up quickly. Here are just a few reasons why saving spare change can be an effective strategy.

When most people think of saving money, they think of sacrifice. Giving up Starbucks, getting rid of cable channels, packing a lunch instead of eating out with co-workers, and so on. But one of the great things about saving spare change is that there is no sacrifice involved. If you still really want that frappucino, then buy it, but make sure to save all the spare change. This applies to everything else as well. Everytime you go through the drive thru or buy a pack of gum at the gas station, put your spare change away. You will be on your way to saving money without having to give up all of your daily luxuries.

Another great reason to save your spare change is that it is just plain easy. You just find a big container and drop your change in at the end of every day or week. There's no clipping coupons or haggling with customer service, just dropping coins into a jar. In fact, the hardest part of saving your spare change will be trying to figure out how to spend it.

Another reason saving your spare change is a good strategy is that it adds up more quickly than people realize. Because people usually just throw their spare change in their pockets or their car, they don't always notice how much it accumulates over time. But try saving it for a week and you will be amazed. In February 2008 my husband and I started putting all of our change in a water jug to see what we could save up. By December of that year, we had saved up about $800, all without having to give up eating out and our movie channels.

What I like about saving your spare change is that your savings are tangible. This can be an effective strategy because you can actually see the money you have saved sitting in your container, and not just have money floating around in your bank account. This can be a great source of motivation when when it comes to continuing your savings plan.

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