Five Easy Strategies to Save More

Starting your savings can be overwhelming – especially if you’re trying to strategize for the future. We’re here to help you find your start to creating a successful financial future! Consider these savings strategies and think about which ones fit for your future goals. 

Create a budget. This one may be obvious, but it’s the foundation of a smart savings plan. (And if you already have a budget, it’s important to revisit it regularly.) Budgets vary depending on income, debt and lifestyle, but it’s helpful to start with the 50/30/20 budget: 

• Necessities: 50%
• Wants: 30%
• Savings and debt payments: 20% 

Evaluate your monthly income, bills and how much you spend on non-essentials each month. Cut back where you can and put as much as you can toward savings and paying down debt. 

Re-evaluate spending regularly. Part of checking your budget regularly is also investigating how much money you are spending on items. It’s sometimes easy to accidentally go over budget without noticing. Or you may be meeting your budget of “Wants,” but there are still ways to cut back.

For example, you may be surprised to find yourself spending most of your “Wants” budget on eating out. You could then decide to focus on eating out less and use that money toward extra savings instead. Sometimes small lifestyle changes can help you reach your long-term goals faster.

Create savings goals. How much do you currently have in savings? What are you planning for in the future? Make sure you have clear goals set up. It’s a lot easier to save when you know what your goals are.

Start out with a set amount of emergency savings to gain peace of mind. Typically, you want to aim for three months’ worth of expenses. This helps if you ever are laid off or injured and can’t work. 
Then, think about what’s next in life. Are you planning on buying a house soon? Is there a dream vacation you’ve always wanted to take? Create a list of goals you want to save for and find realistic amounts to save each month to meet your savings goal on time. 

Make your savings automatic. Pay yourself first – set up recurring transfers so you save without thinking. If you save as soon as you’re paid, it’s much easier to grow your savings without the temptation to spend what’s in your account. You can also split your paycheck between accounts so you can strengthen your savings as soon as you get your direct deposit. In this case, out of sight, out of mind can be helpful!

Another strategy is when you pay off a loan, continue making those payments to yourself by depositing the money in savings instead of spending the extra cash.

Think ahead. Do you have a time of year when expenses are higher? The holiday season is a common time when people lose track of spending and end up dipping into their savings. A Holiday Club Account can help you prepare by saving throughout the year. You’ll earn interest and your savings will automatically move to your regular savings or checking account in November – just in time for holiday shopping! 

Make your money work harder for you. As your balances grow, consider taking advantage of higher yielding accounts such as Money Market Savings and Savings Certificates.

Have more savings questions? We’re here to help. Stop by a branch or contact us today to learn more and see what savings accounts make sense to reach your goals.