Credit Secrets & Tips

Personal saving as a percentage of disposable personal income has dipped as low as 1 percent in recent year.  If you are like most Americans, one minor tremor is all it would take to shake your whole financial foundation.

In addition to long-term savings, financial experts agree that consumers should aim to have at least three or six months’ living expenses saved for emergencies.  If you are having trouble establishing a nest-egg, don’t despair.  The following are some simple ways to boost your saving:

1.  Pay yourself first

Saving is the cornerstone of financial security, so make it a priority.  After all, a lack of savings can turn a minor financial setback into major financial crisis.

2.  Make it automatic

Having money automatically deducted from your checking account into a savings account helps to ensure that you meet your savings goal.  Even better, if your employer has the capability to automatically deposit your pay check have some funds directed into a savings account.

3.  Turn a hobby into income

Many people have untapped talents,  Whether you enjoy photography, painting, knitting, or metalwork, consider possible ways to earn money by doing what you love best.  Baby-sitting and lawn work are also good ways to earn additional money.

4.  Downsize

Most people have garages, basements, and attics full of items they no longer want or need.  Holding a garage sales or advertising some of your things online ,such as selling on e-Bay, could result in a boost to your saving account.

5.  Use gifts wisely

If you receive unexpected funds, do not be tempted to spend them thoughtlessly. Instead, put all money received from tax refunds, inheritances and gifts into an interest-bearing savings account.

Finally, make a commitment to pay down debt.  Reducing your debt allows you the freedom to make smart future financial choices.