Why Money Challenges are So Popular
Money “challenges” are popular these days. They’re all over social media and they’re very popular with Tip Yourself members as well.
A typical money challenge will structure some sort of savings goal into a fun game or weekly objective.
One popular challenge is the $5 Bill Challenge which has you save each $5 bill that comes into your possession. That one is harder to do as we all use less and less cash these days.
Probably the popular savings challenge is a weekly challenge called the 52 Week Savings Challenge.
So why are money challenges so enticing? What is it about these challenges that helps us stay motivated with saving money?
- They’re planned out for us in advance
The less you have to think about something the easier it is to accomplish. A savings challenge that comes with a detailed schedule or plan is easy to follow. There’s less to think about, you can just follow the plan and know that you’re saving money!
2. The sense of Progress
One of the biggest secrets to success with any goal is recognizing the importance of progress. You’re more likely to stay motivated toward a goal if you feel like you’re consistently making progress.
Saving $15 may not seem like you’re making much progress when your ultimate goal is to save over $1000, but with a savings challenge you get to cross off a step in the challenge. That action of meeting a challenge objective helps you recognize the progress you’re making toward your goal.
You’re one step closer. You’re making progress!
3. A Sense of Accomplishment
Winning feels good! Successfully completing a savings challenge gives you a winning boost of motivation above and beyond the actual money you saved. That’s why the word “challenge” is so powerful.
A challenge was put in front of you and you won! You succeeded. After a challenge win, you’re more likely to achieve other goals and stay on track with good habits above and beyond the challenge.
So, what’s been your experience?
Are you a money challenge fan or do you prefer to stick with more traditional budgeting and long term planning? Let us know what you think!
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