Saving money is an essential element of financial health, but is something that many people seem to have trouble with. Although it does take some discipline, below are some tips on how to get in the habit of saving.
Pay yourself first.
If you wait to see what income is left over after paying expenses, you are less likely to save. Determine in advance how much money you plan to deposit each month. If you receive a raise, increase the amount of money deposited into your savings account.
Take advantage of bank technology.
Consider automatic payroll deductions or automatic transfers from checking to savings. Arrange to have a specific amount transferred to your savings account every pay period.
Pay your bills on time.
While 97 percent of Americans pay their bills on time, some consumers pay late fees. Alleviate the hassle by scheduling a time to pay bills, and put them in the mail with enough time to get to the creditor or use electronic payments and specify a date to pay.
Determine needs versus wants.
Do you need to eat out every day for lunch? Do you need that gourmet cup of coffee in the morning? By bringing your lunch to work a couple days a week, you can save hundreds of dollars a year.
Consult your American Federal Banker.
Ask which bank products and services would best suit your needs. Your banker is the best source of information about accounts and interest rates available.