America Saves Week: Ways to Take Control of Your Finances
No matter where you are in life, just starting a career, raising a family, or winding down a career, your finances are yours to manage. That can feel overwhelming, but it doesn't have to. Taking ownership of your financial story doesn't require a degree in economics or a windfall of cash. It starts with small, honest steps: knowing where your money goes, building a cushion for the unexpected, and developing habits that add up over time. Here are simple ways to get started.
Gabe Cooley, Internal Audit Officer at Coulee Bank, says, “Taking responsibility for your finances is the first step.” This concept holds true whether you are early in your career or enjoying retirement. That means understanding that every dollar you earn, spend, or save reflects your priorities and goals. The good news is that financial responsibility is not about being perfect; it is about being intentional and making small, steady progress over time.
He says it’s helpful to create an itemized budget. First, list all your recurring expenditures. Compare your expenditures to your short-term and long-term goals. Determine what changes you may need to make to your spending habits.
“When planning your goals, remember to add an emergency savings fund,” says Cooley, “because unexpected expenses happen when you least expect them.” This type of savings takes time, so set a goal, for example, $1,000, then set aside what you can afford each month to reach that goal. “Stay positive, every little bit counts,” says Cooley.
When you start to save, start small. If you can skip the latte from a coffee shop one week, you have already saved $5-$10. Skip eating out for one week to see how much you can save. Add that money to your emergency fund and watch your money grow.
When you think about savings, it’s important to take advantage of the retirement plan your employer offers. Many employers match a percentage of your contributions, so if you are not contributing enough to receive the full match, you are leaving money on the table. If you are not enrolled yet, talk to your HR department; it is often easier to sign up than people expect. The earlier you start, the more time your money has to grow through compound interest.
Additional ways to save money:
- Cancel subscriptions
- Make a grocery list and stick to it
- Avoid impulse purchases
- Set up automatic transfers to savings
- Buy generic brands
- Shop at thrift stores
- Attend low-cost or free community events for entertainment
- Borrow books and movies from the library
- Pack your lunch and take it to work
There are many ways to save extra money each month. The main thing is to be mindful of your spending habits and celebrate small wins.
Open a Confidence Savings Account with us today!