Whether your aim is peace of mind in an emergency, a holiday, or a major investment such as a home deposit or superannuation, saving is a good habit. Even if you start by saving loose change in a jar, you’ll be surprised how quickly it all adds up.
Your goals are the reasons to save. Once you set a goal, set a timeframe. A short-term goal might be to buy a new TV, something you can manage over three to six months. One way to achieve your goal is to reduce discretionary spending, that is the money you have in your budget for things like magazines or going out with friends. To save for a mid-term goal, such as a holiday, you could open a savings account that you put a set amount of money into every month. If you have a definite timeframe, such as a wedding date in 18 months, it might be worth considering a term deposit.
Check out the different options that are available to you – it’s a very competitive marketplace. When you’re thinking about your long-term future, such as saving for your retirement, it is a good idea to get sound financial advice before making big decisions – and if something sounds too good to be true, it generally is. Stay on the lookout for scams.
Disclaimer: ACM Group believes that informed consumers are the best consumers. The information contained on this website is general advice aimed at improving financial literacy and breaking the cycle of debt. It is not intended to imply any recommendation or opinion about a financial product.