Q: Do you have any ideas on how to increase my savings?
A: Yes! Look at these simple ways to help boost your savings.
- If you have a 401(k) at work, take advantage of an employer match – if they’ll match 3%, you’ve just covered 6% of your retirement savings goal when you add in your contribution, too.
- Increase your savings rate just 1% a year, whether in an IRA, a 401(k) or some other dedicated account. This small change means you could be at 15% within 10 years without even feeling it.
- Investigate additional opportunities at work, such as corporate profit-sharing plans and employee stock purchase plans.
- Besides putting money aside in tax-deferred account such as a 401(k), try a traditional individual retirement (IRA) account. Doing so may cut your tax bill.
- Consolidate your financial accounts to take advantage of potentially lower fees. Don’t assume a bank is your only choice.
- Pay yourself first. Schedule automatic monthly transfers from your checking or savings account into your retirement account.
- Find a credit card that deposits cash back directly into your retirement account.