If you’re ready to start saving but you don’t know where to begin, Olean Area Federal Credit Union can help.
Let’s get started!
Step 1: Set a goal
What’s your secret (or not-so-secret) financial dream? Do you want to open your own business? Explore the Australian Outback? Buy a boat?
Choose your goals and assign a target dollar value to each one.
When you really start saving, first prioritize building an emergency fund that has three to six months of living expenses. Thinking of your bigger personal goals now will help keep you focused.
Step 2: Start tracking your expenses and income
You’re about to turn into one of those budgeting geeks.
For three months, keep a record of your expenses and all income. At the end of the three months, tally up your totals to figure out the average of each.
Step 3: Trim your expenses
If you find that your income exceeds your expenses by a fair amount, give yourself a high-five and skip to the next step.
Step 4: Create a budget
Don’t freak out — this isn’t as hard as it sounds. Just take your averages from step 2 and use them to designate a specific dollar amount for each monthly expense. Don’t forget to include savings in your budget!
Step 5: Choose your savings tools
It’s time to choose a place for your savings to call home. For long-term savings, look for an option that offers an attractive earnings rate, like a share certificate at Olean Area Federal Credit Union.
Keep that emergency fund and other short-term savings in an account that allows you to make withdrawals without asking too many questions, like a checking account at Olean Area Federal Credit Union.
Step 6: Make it automatic
Is this the first time you decided to start saving? Yeah, we didn’t think so. Make it the time you actually carry out your plans by setting up an automatic monthly transfer from your checking account to your savings account.
Contact Olean Area FCU to open a Savings Account today!