3 Ways to Grow your Savings!!!
So the new year is upon us and we are half way through January! Is it just me or did that go fast?!? I find it went by fast, but as the saying goes – time flies when you are having fun!
I have been ramping up my tasks to help me #LiveFinanciallySavvy and I have to admit I am loving the results!
While I have to admit that my idea of “FUN” might be a little skewed, I am being honest when I say that I am enjoying taking my finances under my own control and taking the necessary steps to be on my way to be financially free to do live my best life…
I have become serious about growing my money in order to maximize my Net Worth… I set a goal to increase my Net Worth by at least $40,000 in 2018. This was the 1st year focusing on my actual Net Worth and I am excited because I am seeing growth already!!
Net Worth is basically the difference between your assets and liabilities…. Ok ok so my accounting background is showing… sorry!
Look at Net Worth as the result when you take all your Money (bank accounts, retirement accounts, stocks etc) less all the Money you owe (debt)…. There are 2 main ways to increase your Net Worth. You can increase your Money In or decrease your Money Owed…
Since I believe that increasing your income is 1 great way to increase your Net Worth, I wanted to start with this! The obvious might be getting a raise at work… but this is not always an option – don’t get me wrong, I always advocate asking for a raise… if they say no you are in the same position as before, but if they say yes, you are winning!
But if you can’t get a raise, I say make the most of the money you have now!! As your Savvy big sister, this leads to me wanting to share 3 ways that I grow my savings.
1) Open a High Interest Savings Account
So I am a firm believer in saving an emergency fund. I know that there are many opinions out there on how many and how much but me personally I have 2 accounts and my aim is to have and around $1000 and approx. 4 months of expenses in my emergency funds respectively. This is money for, you guessed it, emergencies. If my car breaks down and I need to fix the exhaust or thing-a-ma-jig lol… whatever needs to be fixed, I have the funds to do it. The purpose of this is so I don’t go into debt dealing with the emergency. The larger fund is in case life happens and I lose my corporate job… and guess what? This happened in July 2017! Without any notice, I was let go after 8 years and boy, was that a new life lesson in the making… another story for another day (blog post to come)....
Goldman Sachs aka Marcus as they like to go by nowadays lol is my favorite online Savings account… at a sweet 1.5% APY I have transferred all my savings accounts to them.
You can sign up for your free account here https://www.marcus.com/us/en/savings. I am not affiliated or anything with them, I just want to spread the good news!
2) Automate Your Savings
So I feel like you have probably all heard of this before but let me tell you that I swear this works! I am pretty organized and I am very much on top of my to do lists, most of the times…. But when I FINALLY listened and decided to automate my savings – things changed!!!
I would set it up to pull from my checking account after I got paid and was happy that I did. I used to transfer the day after I paid all my bills… then I switched it up and said Nah, I gotta pay myself 1st! And I decided to contact my HR department and fill out one those transfer forms and had my pay check split to my Savings account 1st, then the rest sent to my checking… Wait, WHAT?!?! Did you know that was a thing??? Well maybe you did, but I didn’t! I now don’t even miss that money because it goes before I can see it… because let’s be real, if I wanted to, I could always stop my automatic transfer from happening once the money was in my account…. I have done this way too many times!
This now brings me to my 3rd way to grow my savings…
3) Get a (or many) Rebate App(s)
So I’m not sure about you but I am ALL. FOR. FREE. MONEY! Ok, I know that it might not ALL technically be free, but the taxable benefit that might arise is worth it to me.
Currently I use DO$H and E-bates. I love to shop online so why not click into these apps before I do and get some cash back while I am at it. You sign up for FREE and then you get cash back when you shop at the retailers they are affiliated with... how easy right?!? If you are not currently using a rebate app, you need to change that asap!
#4 – You know that 4 is my favorite number so I had to throw a bonus in here… JUST START!!
So this one sounds the easiest, but of the 3 ways listed above, it is probably that hardest… Starting is your mindset shift and that wanting to grow your money, wanting to start to #LiveFinanciallySavvy has to be in place before you can take the 10 mins to implement the 3 steps… so my biggest advice is to just START!
If you got anything out of this post, please share it to your friends and loved ones! Leave me a comment below because I would love to hear your thoughts on my suggestions.
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