How to Save Money in 2014

You’ve made the smart decision to focus on your finances in 2014. We want to help! Here are some of the best ways to make the most of your budget in 2014.

Start (or increase) your emergency fund

Did you know that less than 1 in 4 Americans have a solid emergency savings? Even worse, 27% of Americans have no emergency savings to begin with. An emergency cushion is crucial for those little life disasters that can happen at anytime. To get started, we recommend having money directly deposited from your paycheck to your emergency savings account. You can’t miss what you don’t have, which is why this is a successful plan to get started.

Begin or increase your contributions

This is another great way to save without thinking about it. Contributions not only reduce your taxable income now, but your investment goes to work immediately and grows without the headwind of taxes until you begin withdrawals in retirement.

Track your monthly spending

Thanks to technology, there are a variety of phone apps out there to help you track your spending on the go. Call it a budget or spending plan, but we call it necessary. It helps to illustrate where you can cut back and where you can increase your savings.

Pay down high-interest credit cards

If you’re looking to pay down debt in 2014, start with the credit cards or loans with the highest interest rates. Pay it down and then start looking for cards that have lower interest rates vs. high credit limits.

Shop for a rewards credit card

Aside from looking for credit cards without a high interest rate, be sure to check out credit cards that offer cash-back rewards. With a rewards credit card, you are compensated in the form of cash back, airline miles or one of many other methods for everyday purchases you make. Take some time to consider which reward is right for you and then choose a card that best meets those needs.

Now is a great time to come up with a savings plan that works for you. Spend some time setting goals and choose the options that best works for you. Good luck!