Skip to main content Skip to log on Skip to search Accessibility at CommBank

Brighter / Brighter Magazine / How to start micro-saving

How to start micro-saving

While it may not seem like a lot, those spare dollars can make a difference to your savings over time.

By Laura Culbert

  • Starting with small amounts makes saving less intimidating, helping you stick with the habit and gain confidence as your money grows.
  • Micro-saving methods like automatic transfers, cashback programs, and skipping small expenses can help make saving manageable.

From a quick hug lifting your spirits to bees keeping our planet buzzing with life, we all know that little things can have a big impact. The same goes with your finances—“micro-saving” works on the principle that small, consistent habits can give your savings a real boost. And with little money needed to get started, it’s the ideal way to get ahead in tough times.

Micro-saving 101

Just like it sounds, micro-saving comes down to putting away small amounts regularly to build your savings over time. Practical and effective, it involves mapping out your money goals then taking gradual—and manageable—steps to get there.

And no amount is too small. “You can start with as little as you like,” says CommBank personal finance expert Jess Irvine. “It could be $5 a week or even 50 cents—whatever amount feels good to you and gives you a sense of accomplishment without making you feel like you’re missing out too much.”

The benefits of micro-saving

Any time you put money aside is going to be good news for your back pocket and micro-saving is no different—especially if you’re using a high-interest or compound interest account. But just as important is the effect it has on your mind. By starting small, you’ll feel less intimidated by the idea of saving, making it easier to stick with. And as you see your money grow slowly yet steadily, you’ll gain confidence.

“Micro-saving is about building a savings habit in a way that doesn’t overwhelm you,” says Irvine. “It can be a way to overcome the mental barrier some people face when thinking about their future financial plans. Because who is going to miss 50 cents? But over time, those savings can really add up.”

Do your homework

As with all financial undertakings, Irvine says it pays to consider any potential drawbacks. “Be aware of any fees that may be charged on your accounts, such as monthly fees and transaction fees. Make sure these don’t erode your balance too much over time,” she says.

“It’s also important to take a holistic look at your financial picture, including your income, spending and resulting surplus or shortfall. This might prompt you to consider ways to either boost your income or rein in your spending, allowing you to be a bit more ambitious in your savings goals.”

How to get started


There are a number of different approaches to micro-saving but they all start with setting specific goals so you have a clear idea of what you’re hoping to achieve—whether it’s a house deposit, an overseas holiday or a healthy nest egg (you can use Money Plan’s Goal Tracker tool in the CommBank app to help you stay motivated). Then choose the micro-saving methods that appeal to you.

  • Automatic transfer: By scheduling regular transfers to a savings account, you’ll separate these funds from your everyday spending and be less likely to use them on impulse purchases.
  • Cashback: Programs such as CommBank Yello offer rebates and discounts at participating retailers—redirecting this “found money” into your savings account will give your finances an extra lift.
  • Look ahead: Smart Savings in the CommBank app monitors your income, bills, spending and transfers to predict how much potential spare cash you may have each pay cycle to save, pay off debt, spend or invest.
  • Skip and save: Turn small, everyday habits into an opportunity to save. Challenge yourself to skip a coffee run or make your lunch at home and put the money towards your goal.

Looking to lift your savings muscle? Check out our Financial Fitness Program and save up to $2,000 a year with data-proven money saving tips.

Related articles

Tags

Things you should know

An earlier version of this article was published in Brighter magazine.

This article provides general information of an educational nature only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as personal financial product advice. The views expressed by contributors are their own and don’t necessarily reflect the views of CBA. As the information has been provided without considering your objectives, financial situation or needs, you should, before acting on this information, consider what is appropriate for your circumstances, and where appropriate, consider the relevant Target Market Determination, Product Disclosure Statement and Terms and Conditions available on our website. You should also consider whether seeking independent professional legal, tax and financial advice is necessary. Every effort has been taken to ensure the information was correct as at the time of printing but it may be subject to change. No part of the editorial contents may be reproduced or copied in any form without the prior permission and acknowledgement of CBA.