As inflation is still at record highs in the US, it may seem nearly impossible to save money. Still, saving money is especially important right now for peace of mind and overall financial stability so you can keep working towards your goals – such as buying a new home, paying for college tuition, or taking a family trip. Here are some of the top ways to grow your savings.
Reduce debt
Many people get caught in an endless cycle with credit card debt; with high interest rates, your debt may build faster than your ability to pay it off. Consider consolidating your debt by transferring your various credit card balances to a card that has a low introductory interest rate. This buys you time to pay off your credit card debt without building up more. Learn about Valley’s Visa® Platinum Card with a 0% intro APR over 18 billing cycles and no annual fee.
Make saving automatic
Set up an automatic transfer from your checking account into your savings account every payday or divide up your direct deposit so a portion goes directly into savings. That way, you can build your savings account over time without doing a thing.
Set up an account that builds interest
Ideally, you want to avoid dipping into your savings account as much as possible. If you have long-term savings goals, consider opening a Valley CD or Money Market Account which offers higher yields than traditional savings, and also may keep you from taking out money prematurely.
Reduce small costs that make a big impact
Look at small expenses that you make every day and figure out how much they are costing you over a year. You may find it surprising how much you can save by making your coffee at home, for example, or packing your lunch instead of eating out every day. Also, if you smoke, quitting can not only save you a lot of money each year, but it can also help you stay healthy and reduce potential healthcare costs down the road. You can calculate how much you can save by using this calculator from smokefree.gov to see exactly what your savings could be.
Cut utility costs
Consider weatherizing your home to reduce your energy costs – this might include adding weather stripping around doors and windows, extra insulation, or purchasing high-efficiency appliances. Additionally, small things like lowering the temperature on your water heater or your thermostat, turning off lights, or replacing old-school incandescent bulbs can add up to big savings over time.
Valley can help
At Valley, we’re here to help you have a stable and healthy financial future – even during challenging times. To learn more about the financial tools that we provide to help you grow your savings, visit our website, access our learning center, or contact us.
