Most people are focused on getting physically fit as a New Year’s resolution, but are you financial fit as well? Do you have a retirement plan? Is there a major purchase you’re planning in 2022? Do you have an emergency fund? According to Bankrate’s July 2021 Emergency Savings Survey, more than half of Americans have less than three months’ worth of expenses covered in an emergency fund. And those making less than $30,000 a year have no savings at all. While the pandemic and the economy may be preventing some from saving, here’s five reasons why you should start a savings account, even if it’s holding back just a little each month.
- Save for the things you need. You may have a car that’s on its last legs, or you need to do some home repairs. Putting aside a little each month toward these purchases won’t put you in a bind when the time comes to pull the trigger.
- Save for the things you want. Going on a trip or planning for college is difficult when you don’t have extra funds. Opening a Savings Account that takes a little out of each paycheck to deposit into a Savings Account, is a great way to save money. After all, out of sight out of mind.
- Keeping an emergency fund. No one likes to think about the unexpected - job loss, sickness, or accidents, but they happen and if you aren’t financially prepared it can really cause problems. Saving three to six months of your income is a good rule of thumb.
- Earn interest and have easy access. While keeping tied up in money investments can net good long-term returns, you can’t access the funds if you need them on short notice. Money in a savings account is easily accessible and you can usually start an account without a fee.
- Keep your money safe. Hiding money under the mattress may be convenient, but bad things can happen like a fire or theft. A Savings account is a very safe place to keep your money, which is protected by the Federal Deposit Insurance Company for up to $250,000.
Would you like to start a savings account? NASB has a number of accounts to choose from, with options to fit your lifestyle and needs. Come visit us a one of our ten branches in the Kansas City area. We’re ready to answer any questions you may have.