How to Grow Your Savings Account

by Donny on May 15, 2013

62 Flares 62 Flares ×

Savings Account
Building up a savings account can be an incredibly boring thing to do. First of all, it typically takes a long time, and second, you’ll earn practically no interest on a regular savings account. There is nothing exciting about the entire process.

We all know that we should have a beefy savings account, but few of us do, mainly because it’s way more fun to spend it. So how can we ignore all that cool stuff we can buy and build a savings account (like a Clydesdale Bank savings account) instead?

Sell Some Stuff

Since it normally takes months or years to build up a respectable savings account most times, it can be incredibly easy to get distracted during that process and buy some senseless items. Instead of building your savings up so slowly, it’s best to build it up as fast as possible with less distractions from the media!

This is why I typically tell people to sell a bunch of stuff to build up their savings account initially. If you walk down into your basement, I bet you could find 5 or 6 items that are very sellable and that you haven’t even used in the last year. It’s time to put these up for sale and start that savings account!

Hide Your Money

No, I’m not talking about stuffing your money under the mattress or into random books within your library. I just want to make sure that your money isn’t super easy to take out of the account! Many people don’t even separate their savings into an official savings account.

They just keep it lumped in with their checking account. This makes it way too easy to access. Just one swipe of that debit card and poof, your money is spent! It is much wiser to separate your savings and put it in an entirely separate account.

An online savings account is a great option since your money is still liquid, but it often can’t be accessed immediately for a spur of the moment purchase. Keep your savings accessible, but just not too accessible.

Set Goals

Most people are very goal oriented. Think about your job. If there were no incentive to get your work done, would you be working as hard? Probably not. You work hard because you have goals to hit, and if you hit those goals, then you’ll be rewarded in some way.

You should set up the same process with your savings goals. Let’s say you have an overall goal to save $10,000. That is a pretty lofty goal. But, in order to keep yourself on track, it might be a good idea to reward yourself at each $1,000 interval.

For instance, at the one thousand dollar mark, perhaps you’ve agreed that you would buy yourself a new baseball cap. Then, at the next one, you’ll buy yourself a baseball jersey.

Not only will these be great breaks in your extreme saving, they’ll also be milestones that will remind you of your success in saving! You’ll soon be excited about the next thing, which means that you’ll get to $3,000 faster than expected.

62 Flares Facebook 54 Twitter 7 Google+ 1 LinkedIn 0 62 Flares ×
  • I like to pay myself first, that way I don’t miss the money!

  • Hi!
    Your post is impressive…!
    I think your described tips are useful and everyone will get experience from these tips.
    Thanks for sharing the post.

Previous post:

Next post: