Give Your Savings Account a Boost
One of the best ways to improve your financial health is to save. Saving is more than preparing for those rainy days. It’s about having peace of mind that you have the financial security to cover an unexpected cost, no matter how big or small.
While you may already put a certain amount of money into your savings account each time you get paid, there are other ways you may not have thought about in order to put more money away.
Here are five ways that you can give your savings account a boost.
Open a High-Yield Savings Account
Most savings accounts offer very low-interest rates. This means you’re likely earning pennies on the money you have put away. One of the easiest ways to boost your savings account is to move your funds into a high-yield account.
With a high-yield savings account, you can earn nearly 20 times as much as you would by using a traditional savings account. Credit unions and online banks typically offer the highest rates.
When looking for a high-yield savings account, be sure to shop around to see which bank offers the best option. While the interest rate matters, you’ll also want to look into any monthly account fees or other charges that come with opening the account.
Reduce Your Monthly Expenses
Another effective way to save more is to spend less! Recurring monthly expenses are those that we sign up for and then never bother to look at for years.
Odds are that you aren’t using all of the services you’re paying for, or you may be able to get them at a cheaper price.
When is the last time you looked at how much you were paying for internet and cable? Many people have cut cable altogether and have switched to digital streaming, which is much more affordable.
If you don’t want to get rid of your cable service, another way to save money is to bundle services. Use the same provider for your cable, internet, and phone.
Most vendors offer a steep discount for buying a bundled package.
Other monthly expenses that you’ll want to reevaluate include:
- Cell phone plan
- Energy costs
By spending less throughout the month, you’ll have more money left over that you can put into savings.
Set Up Automatic Deposits
Having all of your money go directly into your checking account is simple, but it doesn’t allow you to optimize your saving potential. When money is accessible using your debit card, you may be more tempted to spend it.
Instead of manually transferring money from your checking account into savings, set up an automatic deposit.
Most banks allow you to set up automatic deposits online or using the mobile app.
You could also ask your employer to put a set amount of money from your earnings into your savings account each time you get paid.
Even putting aside just $50 a paycheck will start to add up. If you get paid bi-weekly, you’ll have saved $1,300, and that’s not including any earned interest.
Find a Financial Advisor
If you’re looking for professional tips for boosting your savings accounts, including your investment accounts you’ll want to hire a financial advisor.
Financial experts know the ins and outs of making money grow.
Depending on your other financial goals, an advisor will work with you to develop a plan that allows you to save more while also paying down debt or building an emergency fund.
Most banks and credit unions offer financial advisors. There are also tons of websites and apps that you can use in order to get professional financial advice.
For example, you can compare financial advisors in Orlando on Carefulcents.com.
Maximize Cash Back Options
Saving doesn’t mean that you aren’t spending. But, if you want to save even more, why not earn cash back and other rewards for spending money each month?
Using the right apps, coupons, and other savings options, you can earn hundreds of dollars a year in extra money. These funds can go towards your savings goals!
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There are checking accounts, credit cards, and other programs that offer cash back options. Check your existing accounts and credit cards to see if there’s a rewards program that will put money back in your pocket.
If so, use that account or card as often as possible.
If you don’t have a rewards program to participate in, the next best option is to use cashback apps. Ibotta, Ebates, Dosh, and Drop are all simple ways to earn money just for spending money!
These apps even offer discount codes so that you can get the items you need for less.
Saving money can be effortless. With these five tips, you can give your savings account a boost. Which in turn improves your financial stability and better prepares you for anything that may come your way.
Do you have any additional tips to give your savings account a boost?
Let me know, til then–cheers m’deres!
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Nancy Polanco is a freelance journalist, lifestyle content creator, and editor of Whispered Inspirations. She is a proud Mom to Gabby and Michaela and partner and best friend to Darasak. Having worked as part of a health care team for almost a decade, Nancy is happy to be back to her passion. She is a contributor to the Huffington Post, TODAY’s Parents, and an Oprah Magazine Brand Ambassador.