Why Saving Money Is So Hard: Challenges of Saving

Compare Car Insurance!
Car Insurance - Compare and Save up to 40%
It's fast and easy to compare car insurance quotes! Get My Quotes! Car Image

It can be hard to save money.

For many people, saving money is a challenge because of constant expenses and unexpected costs.

There are a number of reasons why it’s difficult for people to save – some more obvious than others.

Let’s take a look at the top reasons why saving money is so tough:

  • Rising costs of living.
  • Debt.
  • Low or stagnant wages.
  • Poor budgeting.
  • Lifestyle creep.
  • Not focusing on saving.

We’ll dive into each one of these factors that can make it difficult to save below.

If you’re looking for tips on how to save money fast and advice for saving more of your salary each month, take a look at our posts on those topics.

Rising Costs of Living

The costs of everyday living keep going up, and the cost to maintain a roof over your head is not getting any cheaper.

With rents on the rise and mortgage interest rates climbing, it’s hard not to feel that you’re paying more every year for housing-related expenses.

On top of this, other necessities such as food, transportation (gas), utilities, clothing prices are also rising at an alarming rate.

This can be incredibly tough when combined with high debt payments from credit cards or loans because these two just put people into a cycle of never being able to get ahead financially no matter how much they earn (or spend).


The amount of debt that the average person carries today is far greater than any time in the past.

Things like student loans, medical payments, and credit card debt place a huge financial burden on many families and individuals, and make it extremely difficult to save.

It’s hard to focus on savings when you’re paying a combined total of $500 or more per month for loans and credit cards, for example.

The quicker you can get rid of that debt (or avoid it in the first place), the better.

Low or Stagnant Wages

Wages and income have not kept up with the rising costs of living in many places.

Considering the fact that your total income is the primary factor in determining how much you’re able to save, low or stagnant wages will hurt your ability to save money.

So, what can you do about it?

In many cases, the best way to increase your income is to find a new job.

The percentage increase you can get by finding a new company to work for typically outweighs any raises or promotions your current company is willing to offer.

Poor Budgeting

Poor budgeting or a lack of a budget is another major reason why people have a hard time saving money.

If you’re not tracking and managing your spending, you’re probably not going to be able to save very well.

Whether you use a simple spreadsheet or an app, creating a budget and sticking to it is a great way to learn where your money is going and how you can reduce your spending.

Lifestyle Creep

Even if you have a decent wage, lifestyle creep can play a big factor in your inability to save.

For a lot of people, as they make more money, they spend more on things that wouldn’t have otherwise.

Even if you’re making a decent salary, it’s still important to keep an eye on your spending.

Another form of lifestyle creep can show up when you start spending too much money on social activities.

Not Focusing on Saving

Finally, if you’re not focused on saving money, you’re probably going to find it hard to do.

That means that in order to save, you need to make saving money a priority in your monthly budget.

So, now you know the challenges of saving, you’ll need to figure out how you can address them within your own financial situation.