Get smart about saving: 6 habits of successful savers
Looking to start a saving plan? Wondering how you can maximize the money you’re already saving? These 6 habits of successful savers are a great place to start.
1. Pay yourself first
Treat saving like another bill you pay each month—and pay it first. This strategy helps you stick to a regular saving plan. Set up an automatic transfer to make it even easier.
2. Live within or below your means
3. Be smart about debt
Follow a pay-off strategy that works best for you. Some examples are the debt avalanche method (tackle high-interest balances first) or debt snowball method (pay off your smallest balance first).
4. Save, don’t spend
A little splurge is OK, but you should put the majority of your money toward improving your financial health. You can pay down debt, add to your emergency fund, or consider one of these other smart ideas.
5. Plan for the future
Set goals—and save for them. Whether it’s purchasing your first home or a dream vacation, put a number on it and determine how you can budget (and how long it will take) to meet your goal.
6. Invest in retirement
Putting extra money toward retirement is an investment in your future. Think about the life you want in your golden years—and make a plan to achieve it.
Need more inspiration?
View these tips from one of the world’s most successful savers and investors, Warren Buffett. Happy saving!