Could the Quarter Challenge Help You Boost Your Savings?

Setting money aside to deposit into a savings account can sometimes seem impossible. Chances are you have tons of bill payments coming out of your checking account, and it may feel as if there's nothing left over to set aside for the future.

The reality, though, is that even small efforts over time can add up if you are consistent. And you can actually make the process of saving money fun if you participate in savings challenges. The quarter challenge is one of those games you can play that can actually make a meaningful difference in your finances.

What is the quarter challenge?

The quarter challenge is a very simple concept that harnesses the power of your spare change. Here's how you can participate in this challenge:

• Save one quarter on the first day of the month
• Save two quarters on the second day of the month
• Save three quarters on the third day of the month
• Keep increasing your savings by $0.25 each day until the end of the month

If you follow this approach, you will end up with $116.25 by the 30th day of the month. And the most that you will have to save in a single day is $7.25 on day 30.

While this may not seem like a fortune, saving $116.25 per month means you'll have an extra $1,395 by the end of the year. That's a good chunk of change in exchange for very minimal effort. After all, most people can find a quarter or a few dollars to put into a jar each day without making a whole lot of sacrifices or major shifts to their standard of living.

Could playing savings games help improve your financial life?

The quarter challenge is a fun savings game and a simple one, but it's not the only one out there. There are plenty of savings challenges or games you could try out, including:

• Making a bet with a friend or loved one to see who can go the longest without spending any money. You can also challenge each other to plan set no-spend days.
• Doing a $3 savings challenge. This is where you save $3 in the first week, $6 in the second, $9 in the third week, and so on for 26 weeks until you're saving $78. This would leave you with a total of $1,053 saved at the end of 26 weeks. Do it twice in one year and you'll have $2,106.
• Trying out a 52-week saving challenge. This game will have you save $1 in week one, $2 in week two, $3 in week three, and so on throughout the year until you save $52 in week 52. You'll end up with a grand total of $1,378 by the end of the year.

You can also make up games of your own. It almost doesn't matter which particular activity you select. The point is to turn saving money from a boring task you force yourself to do into something fun you want to do. It's like when you have a toddler and challenge them to see who can clean up the most toys the fastest -- but it's an adult version, since most people never really outgrow the belief that playing a game is more fun than sacrificing to do something you dislike.

It may seem silly, but why not give it a try? The worst that happens is the challenge doesn't work for you, but the best-case scenario is you'll end up with more money saved with minimal effort and will decide that you've found a great new approach to improving your personal finances.