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Arecent GOBankingRates surveyrevealed that 32% of Americans use social media for money advice.
The 100 Envelope Challenge
Saving moremoneyis a challenge facing many Americans.
The 100 envelope challenge on TikTok can be an effective way to alleviate the problem.
The challenge sounds cumbersome, but its not.
You take 100 envelopes and label each one from 1 to 100.
To begin, you take an envelope each day and place a dollar amount in the corresponding envelope.
If you follow it to the letter of the law, you will save $5,050 in 100 days.
Why Is the 100 Envelope Challenge Effective?
Saving money can be challenging, especially for people living paycheck-to-paycheck or for those with little experience saving money.
What makes the 100 envelope challenge effective is its simplicity.
It gives you a goal that forces you to save.
Moreover, its straightforward to follow.
In reality, its not a new idea.
Theres a mental component to handling cash, too.
If you might save that amount over such a span, thats fantastic.
But, the ability to customize this challenge makes it more effective.
You dont have to fill the envelopes in subsequent order.
you’re able to shuffle them and fill them at random.
Alternatively, you could fill a set number of envelopes per week.
This lets you earn interest on deposits and complete the challenge without keeping a lot of cash on hand.
Dont overlook reducing the number of envelopes, either.
You could set your challenge to 50, for example, as a more suitable option for you.
The influencers on TikTok dont know your particular situation in life, but you do.
For example, before following any savings challenge you dont want to ignore high-interest credit card debt.
TikTok isnt always bad.
Heres one simple money tip it promotes that works well.
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