Penny Saved Penny Earned: 5 Tips for Growing Your Savings

Bills likely eat up most of your monthly budget, which can make it difficult to build up a savings account. However, there are a few money-saving tips can help anyone reach their financial goals easier. A small amount deposited in your savings might not seem substantial, but with consistency, those small amounts can grow. Whatever your motivation to save might be, actively choosing to set aside money using these simple tips will provide a jump-start to saving.

Set up Automatic Deposits

Once a paycheck or once a month, have a certain amount of money set up to transfer automatically from checking to savings. This option is ideal for people that tend to forget about saving. The amount you transfer doesn’t have to be a lot. Start by transferring at least 25 dollars each paycheck. As time goes on, if you find that you can afford more, adjust your automatic transfer.

Get Help from the Professionals

Not everyone is great at managing their money. Financial planners have plenty of advice and can help give you more control over money, create a working budget, and offer safe investment opportunities. Your planner will look at your specific goals—whether you’re focused on debt management, saving, or investing—and will build a plan around that. Their experience works to help make any budget manageable.

Keep a Change Jar

Keeping a change jar is one of the simplest ways to save money. Toss pocket change in the jar rather than letting it lie around the house or car. When the jar is full, cash it in and then deposit it into savings. The total amount can be surprising.

Skip One, Save One

Many people regularly make luxury purchases like a daily coffee. Take the 5 dollars you would have spent on your morning coffee or lunch-time fast food and put it in your savings instead. That doesn’t mean you have to give up all your small luxuries, of course. Even skipping coffee once a week can add up over the course of a few months.

Pick a Savings Account with a High-Interest Rate

Finding extra cash to put into savings is a challenge. High-interest savings accounts build interest on your contributions with no further effort on your part. These accounts are a simple way to add a little extra boost to your savings balance. Simply shop around to compare rates.

Growing a savings account to reach personal financial goals can be done with a little forethought and planning. Set up automatic transfers and high-interest accounts so that you don’t need to be constantly thinking about building your savings. Use spare change and unnecessary purchases to instead fuel your savings. If you need more help, seek out a financial planner to advise you on further efforts you can make to increase your savings. Every penny saved is a step closer to reaching financial goals.




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