Make the Most out of Your Money
Are you keeping too much money in your checking account? It’s suggested people keep at least two months’ worth of expenses in their checking account, anything else should go to your savings, retirement account, or emergency funds. Below are a couple of tips to help you make the most out of your money so you never have to worry!
1. Have a Savings Plan
If you don’t have a savings plan, you’re making a mistake! If your job offers a 401K account where they match the money you save, you should definitely take advantage of that! Imagine, you save $20 from each paycheck when you start a full time job, and let's say your company matches 6% of that $20.That's $1.20 extra going into your 401K account. Now, that may not seem like much, but $21.20 adds up by the time you retire.
2. Your Emergency Fund is Full, Now What?
This is great news! This means you have at least six months’ worth of money in this account in case of emergencies. However, now that it’s full, you need somewhere else to put the money that’s in your checking account! Don't let it sit there, you should deposit this extra money into a CD account or a High Interest Saving Account. We offer many different accounts here that may fit your needs.
3. Get a Retirement Plan
If you don’t have a retirement plan, you may want to get one! Right now you're thinking that saving for retirement is unimportant because you’ll eventually get your social security income. However, that will not be enough to keep you afloat month to month. Everything is getting more expensive, so by the time you retire, that social security check will not be enough to cover any expenses you may have. Transfer some of the money in your checking account to a retirement account and watch your earnings grow! You will thank your past self for thinking ahead.