You juggle many day-to-day tasks
for your family; don’t let your finances get lost in the shuffle. By thinking
ahead and making time to plan and set goals, you can save for future needs and wants.
Emergency fund
Before you save for the
nice-to-haves, save for the hope-you-don’t-haves by building an emergency
fund—at least six month’s salary in cash for unexpected expenses like car
repairs or medical bills, or to tide you over if you lose your job.
If you don’t already have an
emergency fund, how can you start one? When you receive a paycheck, follow one
simple rule: Pay yourself first. Put 10
to 15 percent into savings before you spend it on bills or groceries. Consider checking
with your credit union to see if this amount can be automatically deducted from
every paycheck.
Education
A little saving now can pay off
big-time later. Want to start a college fund for your kids? Ask your credit
union about ways to save for education costs, or consider opening a 529 plan, a
tax-advantaged plan designed to encourage saving for college.
Retirement
If your retirement account isn’t
where you’d like it to be, it’s not too late to catch up. Set up an automatic
deduction with your employer for your 401(k) plan or other retirement account,
or set up an automatic deduction for every paycheck. It never hurts to ask your
credit union for advice on reaching your retirement goals. Learn more at Retirement Central
Vacation!
Don’t feel guilty about saving
for this nice-to-have — studies have shown that spending money on experiences provides
more happiness than spending money on things. To help you save, consider
prioritizing your disposable income.
For example, when you’re tempted
to buy something you don’t need, put that amount into your vacation fund. To stay
motivated, keep a photo of the place you’d like to visit in an easy-to-see
place, such as in your wallet. You might open a separate account just for
vacation savings and contribute a fixed amount each month—it adds up! Pen Air
offers a Round It program,
in which your debit card transactions are rounded up to the next dollar and the
extra funds are transferred nightly into a Round It Savings Account. This account is ideal for saving for
something special. Saving Accounts
Remember, it’s never too late to
start saving and even small contributions add up. Not sure where to start? Your credit union can answer questions and
help you plan for your financial goals.