Probably, not anyone out here is an inborn organizational expert, are they? However, when it comes to “a penny saved is a penny earned,” you’ve got to be much more serious about how to get it right under your control.
We also know that money doesn’t grow on trees. Thus, when you zoom in more to save your hard-earned cash, you say goodbye to headaches like saving for your retirement, buying a house, taking much-needed time off or going on a vacation, paying off debt, and more.
We get your issue as not all of us are that organized, prioritized, and keep everything precisely and efficiently filled. Gloves up! Here are some of the best money-saving challenges to polish your money management skills.
Tips on Saving Challenges
Following are the tips on saving challenges:
1. You Can Become a Millionaire By Investing in Life Insurance
Has this thought ever come to your mind that how your family will handle everything when you are not there in the future to look after them? How difficult will it be to pay those bills? Therefore, now is the time to make plans for your financial future by focussing on a term life insurance policy.
A question like “I don’t have enough money or time” might be looping in your head. But imagine when your family would have $1 million in the account with the help of a good insurance company like Bestow. The feeling of it only is so great. Well, of course, it is!
The rates start at $16 per month. Also, that comes with financial security to your family, which is indeed priceless. You can even get a free quote from them while laying on your couch, especially if you are under 54 and wish to have a fast life insurance quote without much bothering or giving any medical exam.
2. Call Off Your Car Insurance Plans
There are chances that you can find a better deal on many of your bothersome monthly bills. But there’s a solution to this hassle, like starting with the car insurance plan. If you look around for a good digital platform that deals with such insurances, it’s SmartFinancial. The rates start with the lowest – $22/month and your savings for an entire year will round up to $700. That’s quite a lot!
It only takes a couple of minutes to get quotes from the insurers. What benefit do you get? It may leave you wide-eyed, but you can save up to $715 in a minute only. Bouncing off the walls? Why not? You probably should. A major cashback is what your pockets are waiting for!
And if you haven’t in a while checked your car insurance, then lay eyes on how much you can earn with a new policy.
3. Save Smartly – Best New Year Resolution
Several financial challenges hamper your savings, such as dealing with student loans, paying off debt, and managing things when a single mom.
In such cases, savings matter and start investing in stock markets. Such investments help you save more money, and you probably get the highest long-term returns on average that are estimated at around 7-8% post inflation.
Also, remember the market is not always the best area to save or make money as the market fluctuates and there’s always a risk involved with it (resulting in loss of money).
According to a Washington, D.C-based financial coach for women, Maggie Germano, says that “A high-yield savings account is one of your best bets outside of the stock market.”
She also recommends that locking up emergency funds or savings means you gift yourself a life that’s free from any financial burden. Even your usual savings account can do wonders. Still, a high-yielding account is highly advantageous, which helps make you earn at least 15 times more than the regular national average rate for your saving account, which is 0.06%.
For instance, if you have $5,000 in your savings account, its annual percentage rate or annual percentage yield is 0.09%. Then you can earn $4.50 in interest after one year.
On the contrary, when you leave your account with $5000, having 1.50% APY, you can earn up to $75 after 12 months. So, can you see the difference, the money you add to your account in the entire year?
4. You’ll Stay Away From Higher Fees
At usual and long-established brick-and-mortar banks, you’ll find that savings accounts at such banks tend to have a monthly requirement or fee like maintaining your balance to defer that fee.
For example, I had to have $1,500 in my savings account at my old bank to avoid the monthly fee that they charged you.
Generally, high-yield savings account are free with no strings attached whatsoever. Usually, credit unions and online banks offer these accounts that don’t need to handle the overhead of maintaining branches. Thus, they pass some savings on to various customers at lower fees or higher rates.
Additionally, even if a $5 monthly fee adds up to your account, what’s the harm in that? It only builds up your savings account.
5. Search for Some Helpful Account Features
Several online banks help you open various savings accounts with no minimum or low balances. For instance, Ally bank allows you to nickname your saving accounts. So, what’s left? The Savings! You can save a lot by setting up an automatic transfer feature from your checking account.
Also, you can split the direct deposit from your paycheck and save up with any inconvenience.
Time to Start Your New Year With Painless Savings
A high-yield account is a license to your ultimate savings. At the same time, be careful with the investments and more. Several banks might lower their rates during this time against the dropping rates of the Federal Reserve Bank.
But not to worry, if the economy starts booming, then the interest rates will go up again. So, don’t worry and think of doubling up your savings in the best way possible and making it your New Year resolution.