Specific Savings

Thursday, April 09 2009 - Brian

Are you having trouble saving? Does your money get all jumbled into one account and then you spend it on something when you were saving it for something else? I have a simple way to help you track where your money goes. Open a specific purpose savings account.

What do I mean? Let me break it down for you. For me, there are certain things I like to use my money on once the bills are paid and all of that and I have put aside my regular savings for the month.

I love to travel. So, I have a travel savings account. I build up the funds to pay for the trip and some extra cash money for spending on all of those nifty souvenirs.

Then there is my technology affection. (I do not want to call it an addiction because that has such a bad connotation.) I have my technology account to fund my next BlackBerry or computer when the time comes.

And, because I have to drive, I have my car account. Cars are expensive, even when they are relatively new. You have oil changes, filter changes and all of that. Plus, as they get older, you have to replace breaks, and batteries etc. By having the money put aside, I am prepared for the worst.

I make sure and take advantage of the ability to give my accounts nicknames when using online banking. That way I see my funds grow and I get excited. Ok, saving for car repairs doesn't really excite me, but the other accounts give me savings joy.

So, what works for you? Any good savings tips I can use but not abuse? Share please!

Photo Credit: Brian Robinson

#1 Brian on 4.10.2009 at 12:47 PM

Hmmm. I put in a typo to see if anyone was checking up on me. Kudos to the first person to spot it!

#2 Holli True on 4.10.2009 at 5:12 PM

Ooh, does that mean I win? Or did you add another one? ;)

#3 Brian on 4.10.2009 at 6:06 PM

Your eagle eye catch has been fixed, but there is one more for those who are grammar/word obsessed. But, you still get major kudos!

#4 Anne Huntington on 4.14.2009 at 3:13 PM

I didn't know cars took breaks. I did know you had to replace brakes and batteries, though. :)

#5 Chelsea Tobin on 4.14.2009 at 8:58 PM

Brian, yes.... but so, how do you decide how much goes in the saving account? How often do you put money in savings? Monthly?

Maybe it's a little more detailed than you wish to share. I'm trying to implement that, takes MORE discipline... and I'm really broke (hey, I'm soon a college grad!).

Any insights?

#6 Brian on 4.15.2009 at 9:20 AM

Anne-

Good eyes! You get kudos!

#7 Brian on 4.15.2009 at 9:20 AM

Chelsea-

I think that sort of decision is something that would be based on your income. But, even just putting a few dollars aside each month can help your savings grow. I have a once a month transfer set up on payday going into each of my specific savings accounts and my minimum transfer is $25.

#8 Kari on 4.15.2009 at 12:27 PM

To make it easy I use my online banking and have it set to take money out each time I get paid. Since it happens automatically I never think about it, and so I never miss it.

#9 Brian on 4.15.2009 at 12:51 PM

Awesome suggestion, Kari!