America Saves Week is a national effort to set a savings goal, make a savings plan, and save automatically. It all starts when you make a commitment to yourself to save.
Are you saving for the right things?
Just like your car needs a tune-up, and just like you need your annual physical, your checkbook needs a checkup, too. America Saves Week is an annual opportunity for you to assess your savings and make sure that you are saving for all the right things.
If you only do one thing during America Saves Week 2017, complete this simple assessment to see if you are saving adequately.
It’s proven to be that the easiest and most effective way to save is automatically. This is how millions of employees save through 401(k) and other retirement programs at work. It is also how millions of Americans save at their bank or credit union. Here are just a few ways to boost your savings:
- Every month, have your bank or credit union transfer a fixed amount (like $25) from your checking account to a savings or investment account.
- Every pay period, have your employer deduct a certain amount from your paycheck and transfer it to a savings account.
- If your employer offers a retirement account, sign up and put in at least the minimum contribution to receive any matches they may offer.
- If your employer doesn’t offer a retirement account, start saving with an individual retirement account (IRA). These can be easily opened at your bank, or with an investment firm online. Contributions to Traditional IRAs are usually tax deductible, and grow tax-deferred until withdrawn. Contributions to Roth IRAs are not tax deductible, but the future growth as well as future withdrawals are tax-free.
- If your health insurance qualifies as a high deductible plan, you can contribute to a health savings account (HSA). These accounts are tax deductible, can grow tax deferred, and withdrawals for qualified medical expenses are tax-free. Any contributions can be used now, or in future years.
Not sure how much to save each month? Take the America Saves Pledge. The pledge will help you create a monthly savings plan and will help you stay committed to your plan all year long!