U.S. News released an article which stated a communique based on the Federal Reserve Board’s 2018 Report on the Economic Well-Being of U.S. It showed 40% of Americans do not have $400 in their emergency savings account. Co-founder and chief evangelist at the Baltimore-based financial firm Facet Wealth, Brent Weiss concluded that saving and building your future is and should not be that difficult. Hence, he gave out some easy-to-follow tips so saving money does not become that exhausting and rather attainable. Check it out!
Contribute to a workplace retirement plan
One of the easiest ways of saving money is by doing it without having it as a main distractor. The less you think about it, the fewer impulses you will have onto making unnecessary purchases. Keep money out of sight and mind! You can do the former by engaging in a workplace retirement plan. These contributors are automatically deducted from paychecks periodically so you will not even see or have it.
Allocate direct deposits strategically
If your employer gives you the opportunity to split your payroll into different bank accounts. Pilot one of these small portions into savings. Experts recommend this because you will not even feel it since they are not that chunky. However, throughout the years, these unimportant amounts will pay off in terms of your kid’s college education or any major expense in the future.
Set up automatic transfers
For those who cannot split paychecks into small portions, it is recommendable they transfer some money from the checking to the savings account the same day they receive it, so they do not feel the temptation to waste it. It is also appropriate to name savings so there is a specific purpose and we do not feel seduced by it. Another tip is to move these funds into a separate financial institution. There, accessibility to the money will be quite limited.
Leverage bank and credit card rewards
Financial institutions offer incentives to loyal clients. Illustrating this, Bank of America Preferred Rewards program gives a 5% interest rate boost on savings accounts and a 25% rewards credit card bonuses. Citi also offers ThankYou Rewards points to its banking users that can be redeemed for cash rewards, travel and/or merchandise.
Hundreds of times we realize we are paying for subscriptions for services we do not even use. Experts suggest to cancel any unnecessary subscription and relocate that money into your savings account instead. You can even negotiate with companies so you can pay for what you actually need and/or use.
Store loyalty cards
A vast majority of gas stations, grocery and/or department stores offer free loyalty cards to their clients. These provide many benefits and/or rewards to devoted users. Learn more about them. They can make you save lots of money!
Set spending rules
Come up with a list of rules are going to help you be more intentional about spending. These are going to state specifically the times you can dine out, get small luxuries and buy new clothing. These regulations might be difficult to follow at the beginning but the formers are going to make it easier to say no to impulsive shopping. Once you engage in this type of behavior, you can adopt the “no-spend challenge”. Once a month you can say no to extra spendings and commit to paying monthly bills only.
Save single bills and change
It is recommended you have a see-through jar so you can put all the change you had in one day into it. Do the former and whenever the container is full, deposit this money into the savings account or do it on a monthly basis.
Consider round-up programs
Per every purchase you make, your bank is going to round up the price of the asset to the nearest dollar, keep the change and transfer it from the checking to the savings account automatically. The app Acorns functions the same way. However, it invests the money in an investment portfolio or IRA instead.
Rely on savvy banking apps
Trust banking apps like Qapital. It allows you to set unlimited savings objectives and make your own rules to generate automatic savings. It has helped users to get more organized regarding their money and accomplish their goals quickly, as they get bonuses and rewards from these types of online applications in the meantime.
Use a browser extension
Try a different browser extension! You should give Honey a try. This portal helps you get the lowest prices online in addition to receiving coupons and/or rewards! This platform also analyzes the costs of different items, as alerts users when the prices of their wanted products have dropped. Honey is free and user-friendly.