Did you know that over 24% of Americans have no emergency savings at all? Yikes! According to the Federal Reserve, a 2015 survey of American households showed that 46% would have trouble coming up with $400 for an unexpected expense.
Let’s face it – life doesn’t happen as planned. Cars break down, furnaces need repairs, roofs leak, and emergency room trips happen. You can expect some unexpected expenses to crop up, and they usually happen at the worst possible time. Without money set aside, coming up with cash to cover the expense is likely to cause you stress and who needs more of that?
Whether you are someone who needs to establish an emergency fund or you are simply looking for a way to boost your savings, these 7 tricks are for you!
Saving Trick 1: Automate it
You can’t miss what you don’t see and you can’t spend what’s not there. Make saving mindless and automatic by setting up recurring transfers. I recommend setting it up to automatically transfer on each pay date. Another alternative is to set up a split direct deposit with your employer where your paycheck is deposited into two different accounts.
Saving Trick 2: Shave the budget
Be bold – cancel your monthly subscriptions. Live without them for a month or two and then only reinstate the ones you truly missed. Review your insurance coverage and shop for new quotes – you may find a cheaper policy, especially if you have not shopped around recently. Review your cell plans, cable & internet bills.
Saving Trick 3: Go green
Lower your utility bills by making your home more energy efficient. Save money and the environment!
Saving Trick 4: 52 week saving plan
Kick your savings into high gear with baby steps. Save $1 the first week and raise your savings by $1 a week each week. Save $1,378 in a year!
Saving Trick 5: Save the sale
When you “save” money by purchasing an item on sale or through using coupons or through loyalty card discounts, transfer the money “saved” into your savings account.
Saving Trick 6: Save windfalls
You can’t miss what you didn’t expect. Cash gifts and bonuses can go directly to savings. If you get a raise, consider setting up an automatic transfer to save all or some part of the increased take home pay.
Saving Trick 7: Keep paying bills
When credit cards, loans or other short-term bills are paid off, keep making the payment. Instead of the payment going to your creditor, you pay your savings account.