Submitted by: Jena Legler, Senior HR Generalist
Saving money doesn’t have to be hard! By using these 3 ways to save, you can plan and attain your savings goals.
3 ways to save:
- Create a Budget – The first step to saving money is to figure how much you are spending. There are a lot of websites that can help you get started, but my personal favorite is Mint.com. You’ll want to organize your spending into categories such as groceries, gas, and bills. Once you have an idea of what you’re spending in each category, you can begin to create a budget. Your budget should include how much you will spend each month in each category. Be sure to include categories for debt elimination and savings in your budget.
- Debt Elimination – Once you’ve created your budget, you should have an idea of how much you spend servicing your debt each month. Included in your budget should be a set amount towards paying off your debt. Cancel any monthly subscriptions that you are no longer using, like gym or music streaming memberships. Don’t incur any additional debt. Stick with your budget and don’t overspend or use your credit card.
- Save Automatically – Set up your bank account so that your savings are automatic. You can choose to split up your direct deposit so that a portion of every paycheck goes directly into your savings account. This will help reduce any temptation to spend the money instead. You can also set a certain amount each paycheck to be transferred to a retirement account like a 401(k) or Roth IRA. 401(k) plans are popular because not only are you putting money aside for retirement, but you are also lowering your taxable income and can receive an employer match for your contributions.
I hope you find these tips helpful and are able to start working towards your savings goals today!
The old saying is true, “By Failing to Prepare, you are preparing to fail.” – Benjamin Franklin.