How to save $5000 by the end of 2020

Saving money is tough when you have so many other uses for those precious dollars. Debt, child care, education, vacation, you name it. We tend to come up with excuses as to why we are not saving. The reality is, we absolutely need to.

We picked $5000 because the median household income for the U.S. is around $60k. this would be 12% of the annual income saved; a great jump off point. Our real target is that 12% mark, so you can adjust the $5000 accordingly to you current income.

We can all come up with few uses for $5k. Just to name a few, down payment on a house, a used car for your teen driver, repairs around the home etc,. But how do we get to that figure without getting side tracked.


Throttled savings is a format wherein which you gradually “rev” up your contribution amount, then rev down cyclically until you reach your goal.

For example: your goal is to save $80 in 2 months(8 weeks).

Fractional saving: You could save $10 a week for 8 weeks

Throttled saving: Or, you could save $5, 10, 15, 20, 15, 10, 5 (7 weeks)

You can can clearly see that they both achieve the same goal. Sure, one gets there a whole week quicker. But if your not in a rush then that week doesn’t matter. but what does matte is the psychology of saving.

The psychology of saving money is what holds most of us back. We feel like the money is not being put to good use. That amount of money saved could be working for you today, and you want that instant gratification. Also, you may not have that amount to put away in the coming weeks. $5k / 52 weeks = $96-ish , this will not always be a viable option throughout the year. Well, that’s where throttling comes..

**The higher the amount you want to save, the more effective throttling is.**


  • Section the year into 5 different ten week periods.
  • Each period gradually scale up your contribution to a max of $155.
  • Start from the very bottom with $25


The first period is arguably the hardest, especially if you have never saved this amount of money in you entire adult life. However, the fire will be lit the day you look at your bank statement and see the first leg of the race is completed. Here’s what to expect:

  • Period 1 (week 10) goal: $970
  • Period 2 (week 20) goal: $1940
  • Period 3 (week 30) goal: $2910
  • Period 4 (week 40) goal: $3880
  • Period 5 (week 52) goal: $5000

I assure you a huge weight is lifted off your shoulders after you hit your first benchmark. At that point you will steamroll through the rest. Have some way to keep yourself on track. Set reminders, challenge a friend, have your spouse remind you. Comment below if and when you’ve hit your first benchmark!

Published by jemvolition

Freelance Writer/Author

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