6 Steps That Will Make You a Smart Savings Guru

6 Steps That Will Make You a Smart Savings Guru

Is it time to start adopting smart savings habits?  According to the average American’s spending, it takes 21.3 years to save one year of living expenses—with a 4.7 percent of income saved annually.  Here are 6 simple steps that will make you a smart savings guru:

 

 number one  Record your expenses.

Write down all your expenses to get a better understanding of where your money is spent.  Use your statements to help you start listing all categories such as:  auto, home, subscriptions, groceries, and gas. 

 

number two  Create a budget.
Plan your monthly spending in order to organize a detailed budget.  Consider an average amount spent each month on other costs you’d like to have for periodic essential purchases, such as car maintenance. Use our budget tool to get started.



number three  Establish a savings goal.
Utilize your new budget to include a savings goal!  Everyone’s expenses are different, so if you can’t save 10-15 percent of your income, start smaller with future goals to save more as debts are paid off or identify non-essential costs on which you can spend less.



number four  Prioritize your savings.
Think about the larger purchases or investments you’d like to make and create short term vs. long term categories.  For example, saving for retirement is important, but if you know you’ll need to make home repairs or purchase a new vehicle soon, you may want to put more savings into those short term investments first.



number five  Choose your savings vehicles.
Each savings goal is unique, which is why American Eagle Credit Union offers a variety of savings “vehicles” to help reach your goals faster.

Money Market Account:  A flexible and secure way to save.  Earn higher interest rates as your balance grows, and interest is compounded DAILY on balances of $1,000 or more.*


Regular Savings:  As a member of the credit union, your regular savings account earns a competitive rate.  You’ll enjoy 24-hour access to your account online, via desktop or mobile, and at ATMs.


Holiday Savings:  This popular account lets you make easy deposits automatically deducted from your paycheck or other AECU account to help save for the holidays, a family vacation or even your taxes.



number six  Automate your savings account.
Automatically transferring your savings when your pay is deposited creates a healthy habit of saving money on a regular basis. Your AECU account offers automated transfers to any savings account via OnlineAccess.

 

Questions about opening a savings account with American Eagle Credit Union?  Reach our Member Contact Center at 1-877-325-2848.

*Money Market Account interest is compounded daily and paid monthly.

 


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