Have you noticed that more than ever you are hearing about the necessity of having an emergency fund? What, an emergency fund? Many of us during these difficult times have found it challenging to have the daily funds to pay all of our bills, let alone an emergency fund.
We all hope that an emergency will never come. We hope that we will always have a job and that we will stay healthy, but eventually reality could rear its ugly head and that emergency fund would come in handy.
With any luck most of us have at least had a chance to get started on creating our emergency fund (even if it is just a small amount of money), the question now is how to take steps to increase that fund.
Everyone seems to be giving tips on this subject lately. Anytime you search the internet or watch the news you are bound to see or hear someone stressing the importance of creating this safety net.
Click here for some great tips from the blog Consumerism Commentary that I have used to help my family increase our emergency fund. I have not been able to implement all of these tips, but some of them have really helped us. Good luck!
Showing posts with label savings. Show all posts
Showing posts with label savings. Show all posts
Friday, May 1, 2009
Friday, February 20, 2009
TIP#51: Brown Bag Lunch saves about $112/mo!
Brown bag your lunch and cut back on eating lunch out. Make it a once-a-week treat on Friday, maybe. (You'll find eating out is much more fun when you only do it occasionally!) You'll save about $112/mo. Assuming the cost of your average lunch out is $10 per day, and it costs about $3 to bring a frozen dinner or a sandwich and chips, you'll save $7 per day. Multiply that by 4 workdays and you'll save $28 per week or $112 per month!
What could you do with an extra $112 per month?
1) Start a rainy day savings account for vacation? Education? A dream?
2) Pay off debt. Add that $112 to pay down the principal on your mortgage or add it to your credit card payment.
3) Have more fun! Stimulate the economy!
The possibilities are endless. All thanks to a little brown bag...
What could you do with an extra $112 per month?
1) Start a rainy day savings account for vacation? Education? A dream?
2) Pay off debt. Add that $112 to pay down the principal on your mortgage or add it to your credit card payment.
3) Have more fun! Stimulate the economy!
The possibilities are endless. All thanks to a little brown bag...
Tuesday, February 17, 2009
365 Days of Saving
We're working hard here at the credit union to help our members manage their money during this very challenging time. In that spirit, we'll promise to provide you with 365 tips this year - you can get your daily tip via:
1) Email - Submit your email address in online banking. If you don't use online banking send us your email at memberservice@ehawthorne.org (But why don't you use online banking? It's the greatest thing since the internet. Plus, you could win $100 when you pay two bills online each month between now and April 30.)
2) Twitter - Do you tweet? A tweet is a short 1-2 sentence messsage, often containing a link for more info, about a subject. Check out Twitter.com/HawthorneCU. Become a follower of Hawthorne and we'll tweet our tip to you every day, plus other news about events and promos, too.
Not all the tips will be ones you'll be able to use, but you never know how one idea might lead to another....so be sure to share your ideas with us too!
1) Email - Submit your email address in online banking. If you don't use online banking send us your email at memberservice@ehawthorne.org (But why don't you use online banking? It's the greatest thing since the internet. Plus, you could win $100 when you pay two bills online each month between now and April 30.)
2) Twitter - Do you tweet? A tweet is a short 1-2 sentence messsage, often containing a link for more info, about a subject. Check out Twitter.com/HawthorneCU. Become a follower of Hawthorne and we'll tweet our tip to you every day, plus other news about events and promos, too.
Not all the tips will be ones you'll be able to use, but you never know how one idea might lead to another....so be sure to share your ideas with us too!
Wednesday, January 2, 2008
New Year’s Resolutions that can help
Your wallet might be looking a little empty after the holiday season and I know that some of you are probably a little stressed about the balance in your bank account. Don’t be afraid to admit if you’re avoiding the mailbox because you know that pretty soon that big credit card statement will arrive.
My holiday shopping this year was a little less painful than usual because of my trusted Hawthorne Christmas Savings Account. I emptied it out already to help cover the bills that have already arrived, but on New Years Day I started getting an early start on my 2008 holiday shopping by depositing $50 into the account.
My Christmas club account is a savings account at Hawthorne that I can deposit money in to throughout year to effortlessly build up a nice gift fund. In November the money automatically gets deposited in to my savings account and I can go shopping without having to worry about paying for everything.
The holidays at my house are usually very stressful with too much going on and out-of-town house guests. However, each year I am trying to find new ways to alleviate some of the tension.
How, you might ask?
You can reward yourself financially by making some of your New Year's resolutions geared toward handling your finances or debt better. You can do it, trust me. This year one of my resolutions is to work on better organization and management of our finances.
Here's a list of seven strategies taken from the Consumer Credit Counseling Service that may help you. Good luck and Happy New Year!
1. Balance your checkbook each time you receive a paycheck so you don't spend more than the amount you make.
2. Have a filing cabinet or a secured box, handy? Well, you will need one to store financial statements. Make separate files for bank statements, tax documents, credit card bills, medical information, mortgage statements and other important records.
3. Create a monthly budget to determine your monthly income and recurring expenses. Focus on items such as rent or mortgage payments, utility bills, food, transportation costs, tuition savings, entertainment and personal grooming.
4. Ok, so once you've set up the budget; prioritize the expenses and spending based on your needs and wants. If you have any funds left after the monthly expenses are paid, split them between paying down your debt, for instance pay high-interest credit card bills and loans, and stash the money away in savings.
5. Create a varied savings plan. Make regular deposits in an interest-bearing account and don't pass up your employee-sponsored benefits like retirement and flexible spending accounts.
6. Stay aware of debt trouble. Problems can occur when you start falling behind on bills like mortgage, rent, or utilities or start using credit to buy items that you should buy with cash.
7. If situations like these occur, don't suffer in silence. Call your creditor and let them know you are having problems. It's possible that you just may be able to reach an agreement with your next payment or negotiate a lower interest rate.
You may also want to consider a Debt Management Program. If you have over $5,000 in debt then a debt management program may be for you. Hawthorne’s Balance Financial Fitness debt management program can help.
My holiday shopping this year was a little less painful than usual because of my trusted Hawthorne Christmas Savings Account. I emptied it out already to help cover the bills that have already arrived, but on New Years Day I started getting an early start on my 2008 holiday shopping by depositing $50 into the account.
My Christmas club account is a savings account at Hawthorne that I can deposit money in to throughout year to effortlessly build up a nice gift fund. In November the money automatically gets deposited in to my savings account and I can go shopping without having to worry about paying for everything.
The holidays at my house are usually very stressful with too much going on and out-of-town house guests. However, each year I am trying to find new ways to alleviate some of the tension.
How, you might ask?
You can reward yourself financially by making some of your New Year's resolutions geared toward handling your finances or debt better. You can do it, trust me. This year one of my resolutions is to work on better organization and management of our finances.
Here's a list of seven strategies taken from the Consumer Credit Counseling Service that may help you. Good luck and Happy New Year!
1. Balance your checkbook each time you receive a paycheck so you don't spend more than the amount you make.
2. Have a filing cabinet or a secured box, handy? Well, you will need one to store financial statements. Make separate files for bank statements, tax documents, credit card bills, medical information, mortgage statements and other important records.
3. Create a monthly budget to determine your monthly income and recurring expenses. Focus on items such as rent or mortgage payments, utility bills, food, transportation costs, tuition savings, entertainment and personal grooming.
4. Ok, so once you've set up the budget; prioritize the expenses and spending based on your needs and wants. If you have any funds left after the monthly expenses are paid, split them between paying down your debt, for instance pay high-interest credit card bills and loans, and stash the money away in savings.
5. Create a varied savings plan. Make regular deposits in an interest-bearing account and don't pass up your employee-sponsored benefits like retirement and flexible spending accounts.
6. Stay aware of debt trouble. Problems can occur when you start falling behind on bills like mortgage, rent, or utilities or start using credit to buy items that you should buy with cash.
7. If situations like these occur, don't suffer in silence. Call your creditor and let them know you are having problems. It's possible that you just may be able to reach an agreement with your next payment or negotiate a lower interest rate.
You may also want to consider a Debt Management Program. If you have over $5,000 in debt then a debt management program may be for you. Hawthorne’s Balance Financial Fitness debt management program can help.
Saturday, April 28, 2007
Nickle and Dimed
I was at the ticket counter at the train station. I asked for a round trip ticket to Chicago. She offered to sell me a weekend pass that would get me where I needed to go and home when I wanted to return.
"You'll save 15 cents," she said.
"Whatever," I said. "It doesn't make much difference."
"The difference is 15 cents," she said.
She's right. Fifteen cents - a nickle and a dime. It made me wonder how often I casually disregard a small sum of money. Seems like the more I have the greater the amount that I tend to disregard, and the more money I spend. Really, what does 15 cents get you nowadays anyway? (Now I sound like my Grandmother.)
But the point is, small amounts really do add up. I'm not going to sweat over 15 cents. But how many times have I spent $15 more than I should? The grocery store is the hardest time for me - I see a food item and I just buy it without checking the price. If it looks good and it's healthy (no chemicals, transfats or high fructose corn syrup) AND if it's low in calories, too, I buy it. Maybe I can justify the price because I'm a bit particular about food. But I am also a sucker for convenience foods. I could easily save $15 a week by cooking more at home.
If I saved $15 each week, I'd have $780 more in savings at the end of the year. At retirement, that $780 could grow to nearly $4,000 (that's in 25 years at an average rate of 6.50% without contributing any more money!) If I put away $15 every week for the next 25 years ($60 per month for 25 years at an average rate of 6.50) I'd have nearly $45,000.
Direct deposit or automatic transfer is the easiest way to do this - you don't even have to think about it then. We can arrange to automatically move whatever amount of money you want, into a separate savings account.
$45,000 - That's no small change!
"You'll save 15 cents," she said.
"Whatever," I said. "It doesn't make much difference."
"The difference is 15 cents," she said.
She's right. Fifteen cents - a nickle and a dime. It made me wonder how often I casually disregard a small sum of money. Seems like the more I have the greater the amount that I tend to disregard, and the more money I spend. Really, what does 15 cents get you nowadays anyway? (Now I sound like my Grandmother.)
But the point is, small amounts really do add up. I'm not going to sweat over 15 cents. But how many times have I spent $15 more than I should? The grocery store is the hardest time for me - I see a food item and I just buy it without checking the price. If it looks good and it's healthy (no chemicals, transfats or high fructose corn syrup) AND if it's low in calories, too, I buy it. Maybe I can justify the price because I'm a bit particular about food. But I am also a sucker for convenience foods. I could easily save $15 a week by cooking more at home.
If I saved $15 each week, I'd have $780 more in savings at the end of the year. At retirement, that $780 could grow to nearly $4,000 (that's in 25 years at an average rate of 6.50% without contributing any more money!) If I put away $15 every week for the next 25 years ($60 per month for 25 years at an average rate of 6.50) I'd have nearly $45,000.
Direct deposit or automatic transfer is the easiest way to do this - you don't even have to think about it then. We can arrange to automatically move whatever amount of money you want, into a separate savings account.
$45,000 - That's no small change!
Tuesday, April 3, 2007
Splitting your tax refund, a chance to save!
This year, you can split your tax refund to go into several different accounts. If you use direct deposit of your refund (and why wouldn't you?) you can split your refund up to three ways including checking, savings and retirement accounts. It's perfect, now you don't even have to be tempted to spend your refund, it can go directly into your retirement account. Cool.
Use IRS Form 8888 on irs.gov to designate to which accounts--and in what amounts--you want your refund disbursed. Visit splitrefunds.net for more information. The IRS has these suggestions for us:
1) File early to avoid delays. If you want part of your refund to go toward an individual retirement account (IRA) and your return arrives after April 17, the direct deposit will work, but the contribution will be for 2007 instead of for 2006.
2) Don't exceed the IRA limit. The 2006 IRA contribution limit is $4,000. If you exceed that, you could get penalized.
3) Use correct account or routing numbers. If the number you enter on the tax form is wrong and doesn't pass the IRS' validation check, the IRS will mail a check for the entire refund instead of splitting it. If the number you enter is wrong and turns out to be another person's account number, the direct deposit will go into that person's account. (Yikes! Don't let that happen to you! Hawthorne's routing number is: 271979193. Check and double check your account numbers and routing numbers!)
Good luck and happy saving!
Sandy
Use IRS Form 8888 on irs.gov to designate to which accounts--and in what amounts--you want your refund disbursed. Visit splitrefunds.net for more information. The IRS has these suggestions for us:
1) File early to avoid delays. If you want part of your refund to go toward an individual retirement account (IRA) and your return arrives after April 17, the direct deposit will work, but the contribution will be for 2007 instead of for 2006.
2) Don't exceed the IRA limit. The 2006 IRA contribution limit is $4,000. If you exceed that, you could get penalized.
3) Use correct account or routing numbers. If the number you enter on the tax form is wrong and doesn't pass the IRS' validation check, the IRS will mail a check for the entire refund instead of splitting it. If the number you enter is wrong and turns out to be another person's account number, the direct deposit will go into that person's account. (Yikes! Don't let that happen to you! Hawthorne's routing number is: 271979193. Check and double check your account numbers and routing numbers!)
Good luck and happy saving!
Sandy
Saturday, March 24, 2007
Out of the mouths of babes
We just installed a new do-it-yourself coin machine in our lobbies. It’s so easy to use, that our first customer, a 6-year-old member named Tyler, counted his change with ease. Tyler came in with his sister and mom to make a deposit to his account. He had $16 and a bunch of change in Spider Man bag. Two of our employees led him to the machine (kids love machines) where he quickly walked through the steps, dumped his change in the bin and walked away with a voucher for $7.67 to deposit into his account. So easy a kid can do it! We think the ‘fun factor’ of the machine might encourage him to save more, too.
As Tyler put it, "I'm gonna save my money!"
We can all take a tip from Tyler! By putting away a few dollars each week into a savings account, it adds up quicker than you’d expect. A few years ago I started putting $75 per month into a savings account for my daughter. Now her account is over $1000.
Most Americans just don’t save enough. The personal savings rate in the U.S. is a negative number, yet 77% of Americans think of themselves as the kinds of people who "always look for ways to save money" (Pew Research Center Jan. 24). I think most Americans define “looking for ways to save” as ways to pinch pennies and spend less. But truly saving money in a savings account is really easier than you think if you take advantage of tools like direct deposit, payroll deduction and automatic transfer.
Here’s your best bet for putting away a few extra dollars. Direct deposit your paycheck into your account each payday. If it’s available to you and you’re not using direct deposit I must ask where do you park your dinosaur? Really, welcome to the 21st century. Get direct deposit. Then, arrange for us to automatically transfer whatever amount you think you can put away into a separate savings account. Whatever you think you can afford, add $20. You won’t miss it because if it’s not in your account you won’t spend it. If it is in your account you will spend it. It’s that simple. You’ll adjust your spending to account for the lower amount. It’s really that easy. Then just forget about it. Before you know it, you’ll be sittin’ on a nice savings account.
If it’s for retirement, consider rolling that money into an IRA once you’ve got some money saved up. Our IRA service center can help with that, or call our IRA specialist for help.
If you took this one step today, I promise you won't regret it.
As Tyler put it, "I'm gonna save my money!"
We can all take a tip from Tyler! By putting away a few dollars each week into a savings account, it adds up quicker than you’d expect. A few years ago I started putting $75 per month into a savings account for my daughter. Now her account is over $1000.
Most Americans just don’t save enough. The personal savings rate in the U.S. is a negative number, yet 77% of Americans think of themselves as the kinds of people who "always look for ways to save money" (Pew Research Center Jan. 24). I think most Americans define “looking for ways to save” as ways to pinch pennies and spend less. But truly saving money in a savings account is really easier than you think if you take advantage of tools like direct deposit, payroll deduction and automatic transfer.
Here’s your best bet for putting away a few extra dollars. Direct deposit your paycheck into your account each payday. If it’s available to you and you’re not using direct deposit I must ask where do you park your dinosaur? Really, welcome to the 21st century. Get direct deposit. Then, arrange for us to automatically transfer whatever amount you think you can put away into a separate savings account. Whatever you think you can afford, add $20. You won’t miss it because if it’s not in your account you won’t spend it. If it is in your account you will spend it. It’s that simple. You’ll adjust your spending to account for the lower amount. It’s really that easy. Then just forget about it. Before you know it, you’ll be sittin’ on a nice savings account.
If it’s for retirement, consider rolling that money into an IRA once you’ve got some money saved up. Our IRA service center can help with that, or call our IRA specialist for help.
If you took this one step today, I promise you won't regret it.
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