No more sad looking savings accounts: how to save money.
If I told you 62% of Americans are stressed about money, would you include yourself in the 62% or the 38%? There are times when I’m in both groups and have to remind myself of the power that lies within me. When we are stressed about money it’s typically because we feel embarrassed, we feel irresponsible, or we even fear losing something of value. I know how it feels to be stressed about money with your back against the wall praying to God to make a way, and make it fast. However, there is a practical way to avoid stressing about money, which is…SAVING.
Why save money:
When you save money consistently, you are creating a resource of funds to be used at a later date in time of need or want. When you think about savings, I know we automatically think about “saving for a rainy day”, but what about “saving for the next vacation with your homegirls” or “saving to leave your full-time job and pursue the business of your dreams”? Saving money is simply putting money aside for future use. Do you want the access or not? If you want the access: set a savings goal, prioritize your savings and start saving consistently.
How to save money:
There are 3 ways to save money…
Save automatically
Save manually
Save consistently
Save automatically:
This is one of my favorite ways to save because you don’t have to think about saving. It’s done for you automatically and it seems like the money in your savings account grows quicker. We have so many thoughts, tasks, and responsibilities already. If you don’t have to think about saving money, that’s a major plus! Automatic savings are for EVERYONE. You can have as little as $20 automatically transferred from your checking to your savings every week and at the end of the year, you’ll have $1,000 saved. Both of my high-yield savings accounts allow me to set up the automatic features and it’s super easy to do. If you’re reading this and you’re thinking “girl, what is a high-yield savings?”, don’t worry I gotchu! Download my free savings guide and learn all about high-yield savings accounts and why you need one in addition to your traditional savings account.
Save manually:
Saving manually can be fun, and it gives you so much satisfaction week after week as you’re physically saving cash in a money binder, or making a transfer from your checking account to your high-yield savings account or traditional savings guide. The most important thing to note when you decide to save manually is setting reminders to REMEMBER. If you’re not used to prioritizing your savings, it can be very difficult to get in the habit of paying yourself before you pay bills.
Save consistently:
Saving consistently is for my girlies who like structure and routine. Saving consistently is similar to saving manually, the only difference is you’re deciding to save at the same time on the same day every week, bi-weekly, or month. When I first started The Responsible Homegirl, I launched a challenge called The At Least $20 Challenge where I encouraged women to save at least $20 every Saturday. We called those Saturdays #SaveSomethingSaturday attempting to remind them to save consistently on Saturday.
When saving money, you can mix all three strategies, or you can find one or two that works best for you and your lifestyle. It’s not about how much you save, what’s more important is the discipline and the habit you build over time. If you don’t have a High-Yield Savings Account yet, I have two: one with Capital One and the other with So-Fi, you can create your account with So-Fi today and both of us will earn money for you by deciding to take action and start saving money. Set yourself up for less financial stress and more peace all year long!
As you embark on this journey…
Know your why. Why is it important for you to save money? List every reason you can possibly think of.
Set a goal. How much money would you like to save in the next 6 months?
Create a budget. Are there any expenses you plan to get rid of to achieve your savings goals? How can you increase your income to reach your savings goals?
Resources:
The Responsible Homegirl Savings Guide (saving tips, challenges, and more)
