New Year's Saving Resolution #2: Save Automatically
We consistently hear from savers that saving automatically is the easiest way to save. Some savers save all of their change, while others open additional savings accounts at separate financial institutions. Automating your savings will allow you to save regularly without having to think about it. Set it and forget it. Here are four ways you can save automatically in 2015.
Split Your Paycheck
Your employer may allow you to divide your paycheck into different accounts. Take advantage by putting part of your pay into a savings account. Even if this is just $5 a pay period it will help you build your savings and get you in the habit of saving.
Contribute to the TSP, a Work Retirement Plan or
Many workplaces offer retirement plans to employees. This is a simple way to save because money gets automatically transferred into your retirement account before you get paid. Decide how much you want to contribute each month and your work is done.
Save a Portion of Your Refund
Tax time is a great opportunity for those receiving a refund to save. Use Form 8888 to split your refund into different accounts. You can use your tax refund to purchase a U.S. Savings Bond.
Set Up Regular Transfers
Many financial institutions allow you to automatically transfer money from your checking account to your savings. Choose an amount you know you will be able to transfer weekly, bi-weekly, or monthly. You may want to schedule these transfers for the day you receive your paycheck to ensure you have the money available to transfer. You will be surprised at how fast even small amounts add up over time.
Are you ready to save? Join Military Saves today and create a plan to save.
- Written by Katie Bryan
- Category: Blog
- Published: 31 December 2014