It’s easier to save when you know:
- what you are saving for and why;
- how much to save now and over time; and
- where to put your savings.
For some people, setting savings goals is easy, but others need to get their arms around where they stand with their money, before their savings goals come into view.
If that’s you, go to Lesson 1 to see how to gather your financial information in a way that helps you visualize what your savings situation and your overall financial picture looks like today. Also, use Starter Budget to get an estimate or Track My Money in Sum180 to see all information in one place.
Now, to build a savings cushion!
Your top priority is to build cash reserves that cover your regular expenses but also those extra expenses that pop up unexpectedly, like a doctor’s bill or a house repair.
Over time, you’ll want to keep building your emergency funds to protect from more significant life events, like loss of a job or a serious illness.
How much should your savings cushion be? Listen here.