How to Save Money as a Family and Achieve Small Wins

When four in 10 Filipinos say they struggle with day-to-day finances, it's no surprise that questions about how to save money show up constantly in online communities. Even families with regular incomes feel the pinch, especially with high inflation and everyday costs continuing to rise.

In fact, many families are borrowing to get by. According to the financial inclusion survey by Bangko Sentral ng Pilipinas, nearly half of the borrowers, most of whom are married, need loans to cover daily expenses. On average, they had two active loans, with one likely to cover payment for the other.

So how to save money when you have debt to pay? There is no easy answer, but saving will take willpower and better money management habits. Here's how to start.

The First Step: Track Spending

Financial experts advise that the first step to saving is to understand where your money goes. That means tracking your spending on food, bills, transportation, weekend outings, and those little impulse buys "for the baby."

Once you have a clear picture of your finances, it's easier to decide which saving strategies actually make sense for your family, whether for now or later.

How to Save Money as a Family

Teach your child to how to save money using jars, each one representing toys, savings, and church donations.

The capability to set aside a small amount from your salary each month often means making lifestyle changes and more intentional financial planning.

Trying one or two of the tips below can help you build better money-saving habits over time. Some wins will be small, but they'll still move you in the right direction.

1. Keep credit card use to a minimum.

The rule of thumb in credit card management is to always pay off credit card balance in full every month. You only cover the interest when you pay the minimum amount, putting you in debt even longer.

The US Consumer Financial Protection Bureau advises that to gain control over your credit card spending, you may want to reserve credit card use for planned or necessary purchases rather than wants. Gentle reminder: make purchases you can actually pay for the next time the credit card bill arrives.

2. Pay in cash for expensive purchases.

Use cash instead of cards or contactless payments, especially for items that may fall under "wants." Why? Spending cash feels more "real" than swiping a card or paying with your phone.

A 2024 research paper in the Journal of Economic Behavior & Organization shows that using cash triggers the "pain of paying," so you end up thinking twice before spending. That pause can stop you from overspending and give you savings.

3. Keep savings in a high-interest account.

Banks have savings products that offer higher interest rates than traditional savings accounts. Some have no minimum amount required while others reward you with higher interest if you don't make withdrawals.

You can even automate savings once you're in a better place financially. Small savings can earn a lot with compound interest. Just remember you want to avoid dipping into this for everyday spending.

4. Cut down on household bills gradually.

Save money on household bills by picking one change at a time, not all at once. Start with adjustments that don't feel like you're depriving your family of a lot. Use the air purifier or air-conditioner only at night, switch to refillable products, or use energy-efficient appliances.

5. Delay non-urgent online purchases by 24 hours.

Instead of adding an item straight to your cart, try saving it to a wish list first (most shopping platforms and apps have this feature). Give it a day before coming back to it.

If it still feels important tomorrow and fits your family budget, then consider buying. But if you forget about the item, then that's a sign you may not have needed it in the first place.

6. Try a "no-buy" week.

Don't spend anything beyond basic needs. No food deliveries, no online checkouts, no quick trips to the mall. Make it a challenge that the whole family can join, even little ones. Sticking to paying only for basic needs can help reset your spending habits.

7. Rethink your mall weekend habits.

You're paying for parking fees or ride-sharing costs, snacks and meals, arcade games, and unplanned toys. If you multiply those family expenses by the number of times you visit the mall each month, you might be surprised by how much it adds up.

8. Watch out for impulse buys "for the baby."

It's easy to justify a cute outfit or shoes when it's "for the baby." But if it wasn't planned, it's probably not needed. Give yourself time before buying. If you didn't plan for it, skip it. Chances are, your child already has what they need.

9. Choose free events over paid outings.

Public libraries, museums, and even city halls often hold free events geared toward families throughout the year.

Look for free events in your area—library storytimes, barangay festivals, cultural events, or local art fairs. These often include activities for kids like crafts, dancing, or giveaways. Bonus benefit: You break the habit of treating mall outings as the family's default entertainment.

10. Join a reputable online parenting community.

Parenting groups typically have online events where you can sometimes score quality items. For instance, ParenTeam's Moms and Dads Facebook Group has "top contributor" and sign-up giveaways for its most engaged members. The group also regularly hosts free talks on pregnancy, children's health, and parenting.

And you know what else is nice? Many members give away gently used baby gear for free in these communities!

11. Cancel what you don't use anymore.

Review your subscriptions: streaming apps, mobile plans, cloud storage, or baby apps that renew monthly. Cancel anything you haven't used in the last three to six months. And if you do need it, compare the annual and monthly plans.

12. Buy staples in bulk

For pantry items like rice and cooking oil, baby essentials, or household needs that you go through regularly, buying in bulk can lower your cost per item.

The trick is to buy only what you already know your family uses, not what's on promo. Otherwise, you risk wasting money on bulk buys that sit in storage.

13. Cook once, eat twice.

If you're already prepping one meal, try doubling the recipe so you can store leftovers or repurpose them for the next day. For example: roast chicken today, chicken sandwich or fried rice tomorrow. This way, you cut back on the temptation to order food when everyone's tired.

14. Set a gift budget and stick to it.

If you're a new parent, you're going to be thanking a lot of people for helping with your child, not to mention at least a decade of holidays, birthdays, and school events.

Set a yearly budget that allows you to show appreciation while staying in control of your spending. And remember, something you made is always appreciated!

15. Simplify how you celebrate.

You don't have to throw a big party every birthday or milestone. Some families now opt for a special outing or low-key celebrations at home, especially for younger kids who won't remember the details anyway.

Teach Your Kids to Be Money-Smart Early

You don't have to explain your whole financial situation to your young kids, but you should have open conversations about it. Let them see how you make spending decisions, how you say no to things that aren't in the family budget, or how you compare prices before buying something.

You can also give your kids minor roles. Ask them to help list down what's needed before a grocery trip, or let them drop coins into a family savings jar. Older kids can help find free weekend activities online or come up with affordable celebration ideas for birthdays or holidays.

When you show your kids how to save money, it teaches them that money can provide many things, but it requires thoughtfulness and a lot of responsibility. The best part is that they take these early lessons well into adulthood.

How do you save money? Share it on the ParentTeam Moms and Dads Facebook Group!