Whether it’s for a down payment on a house, a large purchase, or an unexpected emergency, saving money should be one of your prime financial goals.
Automation, or the setting up of regular money transfers into your savings accounts, can make saving a simple part of managing your money. When managing your money, think of the process in three steps: assessing, assigning, and automating.
ASSESSING
Take a look at your income, your expenses, and your financial goals. If you make more than you owe/spend, you can put that extra Whether it’s for a down payment on a house, a large purchase, or an unexpected emergency, saving money should be one of your prime financial goals.
Automation, or the setting up of regular money transfers into your savings accounts, can make saving a simple part of managing your money. When managing your money, think of the process in three steps: assessing, assigning, and automating.
ASSIGNING
Figure out how to save your money to meet your financial goals. This should include regular savings for:
- Planned savings such as a down payment on a home or car, a nice vacation, or maybe even college tuition.
- An emergency fund to fall back on should an unexpected life event occur, such as a job loss, medical expense, or a major home or auto repair.
RELATED: Start an Emergency Savings Fund
AUTOMATING
Set up regular transfers of money into your accounts, so you don’t have to think about it each time you get a paycheck. It’s a hands-off way to make saving money a habit.
Ask your employer about setting up an automatic deposit of your paycheck. Once you’ve automated your savings, a portion of your money will automatically feed into your savings account. It’s a simple way to budget and make your savings automatic.
For more information on savings or money market accounts, click here.
