“You need to save money.”This is what you tell yourself. This is what you hear from others. According to the 2015 FDIC National Survey of Unbanked and Underbanked Households*, approximately nine million U.S. households don’t use any type of bank account to save their money. Because banks offer similar products and services, those who don’t save often don’t feel the need to explore all of their options. To be a successful saver, you must first understand how to save for the future.
It’s important that you remember that not everything is the same. savings accountsAll banks are not created equally. Online bank accounts offer better yields than traditional branches. Savings account interest rates are also higher. certificate of depositCD) interest rates higher than the national average annual percent yield (APY).
For example, Goldman Sachs Bank USA(GS Bank) allows consumers to save. They offer a high-yield savings account and CDs that can be used to achieve savings goals. There is no minimum deposit, no transaction fees, and only $1 required to earn the account’s APY. GS Bank customers now have access, thanks to Goldman Sachs, to a wide range of savings products and the expertise of a 148 year-old financial institution.
Traditional banking has overhead, but digital alternatives are more affordable than traditional banks. They also offer consumers a realistic way of saving with higher interest rates and a stronger portfolio.
Savings can be difficult to accumulate at any age. These small steps can make a huge difference in the long-term.
Create a budget. If you don’t know how much you’re spending each month on your monthly expenses, you should start paying more attention. Keep track of your spending over the next few months and create a budget. You can track the money that you save by cutting out unnecessary spending and then put it into your online savings account.
Split-deposit Payrolls: You might consider having your employer offer this option. split-deposit your paycheckAdd to your checking account and create a separate high-yield savings account. Savings are automatic, and your savings account is separate. This makes it less tempting to spend.
Spend less. For example, you can save money by eating at work. You could save $40 per week if you only spend $8 on lunch at work. That’s $2,000 per annum. This adds up. It adds up. If you brought your lunch from home, it would cost you about $2 per day. This could save you $1,500 per annum to increase your savings. When you watch your savings grow, homemade sandwiches are quite delicious.
Do not put your money in danger: You may want to transfer some of your savings to an FDIC insurance fixed-rate CD account to lock-in an interest rate. A CD is an investment tool that offers a higher interest rate than other savings accounts. There is generally little risk, and there are rarely any monthly fees.
Your savings are safe and secure. Consider keeping some or all of your core savings in a savings account. FDIC-insured bankThis is a good idea. This could mean that you should keep your money in savings. CD accountsFDIC Insurance covers all funds up to the maximum legal limit. According to the FDIC**, since the FDIC was established in 1933, no depositor has lost a penny of FDIC-insured funds. Visit this page for more information on FDIC deposit insurance limits and coverage. FDIC.gov/deposit.
Visit GS Bank to learn more about financial strategies and insights as you work towards achieving savings goals. www.GSBank.com. Have additional questions? Call 1-855-730-SAVE 7283 to talk with someone. You can make a difference in your future by saving more now.
*2015 FDIC National Survey of Unbanked and Underbanked Households (link to: https://www.fdic.gov/householdsurvey/) **According to the FDIC (link to: https://www.fdic.gov/deposit/deposits/) **According to the 2015 FDIC
