No one could have predicted the events of 2020 and how it would affect the world. Surviving 2020 has taught me a lot of things, and one of those things is the importance of saving!
The art is not in making money, but in keeping it .
Not only does saving help protect you from a financial emergency, but it also helps pay for large purchases, eliminate debt and overall reduce your financial stresses. Keeping money in a savings can be hard, as it is tempting to dip into this account when everyday funds are low. One thing that I do to try and keep the temptations at bay is automate my savings deposits. There are a few different ways to do this, but here are three specific was to automate regular deposits into a savings account!
3 Ways to Automate Your Savings Deposits
- Automatic Paycheck Deposit
- Monthly Bank Transfer
- Using a Financial Service
1. Automatic Paycheck Deposit
Most employers allow you to deposit your paycheck into multiple accounts. You can set up a specific amount of your paycheck to be deposited into your savings account, that way the money is out of sight out mind. Reach out to your company’s HR Department and ask how to set this up.
2. Monthly Bank Transfer
Another out of sight out of mind technique is to set up a monthly bank transfer – this is my preferred method of saving. Every pay period, I have a specific amount automatically transferred from my checking account to my savings account. I never have a chance to miss the money or be tempted to spend it since it is already moved without having to lift a finger.
3. Using a Financial Service
The last method is to use a financial service. Apps like Acorn and Albert analyze your income and spending habits and find extra money automatically. Acorn will actually put your cash into an investment portfolio so you are not only saving, but you are also growing your savings.
Certain bank accounts can provide similar services as these automatic savings apps. Wells Fargos way2save account will automatically transfer $1 of your funds form your checking account to your savings account for all qualifying transactions.
As I said before, there are other ways to automate your savings, but these are just three ways that can help you grow a sufficient savings account. Need additional assistance with building or growing a savings, book a FREE CONSULTATION with Books N Budgets and let us help get you started!