Savings - Rainy Day Fund

The importance of saving is crucial, especially during a time and season where the economy is unpredictable. Put yourself in a place that if you are laid off unexpectedly, you wont need to change your spending habits. Set yourself up so you will have a six months cushion. If you are sick and tired of your 9-5, you will be able to leave and not skip a beat. Working towards savings also helps with short term goals (e.g. purchasing your home office furniture or a new laptop).

According to CNBC (2017), more than half of Americans (57 percent) have less than $1,000 in their savings accounts. Having a savings can leave a cushion for emergencies and assist with obtaining long-term financial needs and desires. Furthermore, saving your money starts with shifting your mindset, then finding tools to help you with savings it. It is important to understand which tools and strategies are more comfortable to use. What works best for you may not work at all for someone else. So ask yourself these questions: How do I prefer to save my money? Do I prefer using electronic tools to help me stay focused and on track? How can I capitalize on the benefits for saving?

The best tip to give when figuring out how to save is to find the best financial tool that help make life simple and reduce stress. There are many apps that can do things for you. Here are three that put your savings on autopilot.

Qapital App: Qapital is a personal finance mobile application for the iOS and Android operating systems, developed by Qapital Inc. The app is designed to motivate users to save money through a gamification of their spending behavior. Three pros to using this app are:

1. You can save and pay bills using this app. 2. No fees and easy to use. 3. Great tool for budget beginners. Con: 1. Difficulty linking checking accounts

Acorns App: Start saving immediately using this app. The easiest way to start saving on this app is to make an ordinary purchase. Yup, it is that simple. Make your regular purchase and round up to the nearest dollar, then invest the change. For example, if you spend $8.41 at a store, round up to $9.00. The $.51 will be invested. Imagine how quickly and how much can be saved and invested by using this method. Three pros to using this app are: 1. You are only saving change (one purchase at a time) that adds up quickly. 2. The system is automatic. 3. Easy set-up and easy access (the app stays on your home screen on your phone. Here is the most common con: 1. Once your savings account reaches $5,000, .25% is charged back for “fees.”

Digit App: Digit is an iPhone app that strives to make saving money as passive as possible. To do this, Digit analyzes your income and spending patterns, and then automatically dips into your checking account and puts a few dollars into a savings account (typically $2-$17 every 2-3 days). Three pros to using this app are: 1. Saving bonuses. 2. BBB Rating (A-). 3. No savings account is required for setup. Con: 1. A $2.99 monthly fee.

Don’t worry about if you are saving money. These apps ensure that you are. If you use an app or not, saving money is important. You deserve to have growing money in your bank account.

“A penny saved is a penny earned.”- Benjamin Franklin