To a child, a dollar is clutched tight and put in a piggy bank where the child can count it every night. Children know the value of a dollar because to them it is a great number—a great achievement. This perspective is crucial when you seek to build a solid financial foundation.
Putting a dollar in savings may not seem like much, but consistently saving a dollar will rack up immense savings down the road. If you put a dollar (change in your pocket, really) in a jar every week for a year, you would have over $50. If you gave up one stop at Starbucks each week, drank the coffee at work instead, and put that $3 in a jar, you would have about $156. If you had all that money in a savings account instead of a jar, you would have even more in your year-end total. That kind of money could go towards unexpected expenses like a broken window or a birthday you forgot—the kind of costs that pop up without warning.
A child also likes to count. They scream with joy when they stack up and count all of their money from the Saturday lemonade stand sales. When was the last time you looked at every dollar and put each one in a specific pile? Knowing how much money you have and what each dollar is going towards (be it savings, bills, food or entertainment) is so important. It helps you keep track of what you have to save and spend. And earnest tracking will help you keep from overspending and landing in debt.
It’s important to have the childlike mentality that a dollar is worth saving and every penny worth counting. Knowing the value of a dollar, knowing that every penny is precious, will help you build a financial foundation.
To figure out how much you can save each month and still meet other expenses, talk to a Money Coach. They are compassionate, reliable and ready to help. Call 1-888-724-2326 and start saving today.
Some of us may not realize just how important our credit is for building a solid financial foundation. Maybe you do realize how important it is, but you’ve run into trouble. Consider the questions below. Are you unsure about your credit score? Do you have a hard time getting loans because of a low credit […]
When you create a budget and take better care of your cash flow, you’re less likely to worry about making it to the next paycheck. Tracking your spending will show you how your paycheck is working for you right now; likewise, automatically saving some of your money will show you how your paycheck is working […]
There is no one-size-fits-all prescription for financial literacy. In this article, we’ll cover what financial literacy is, what you can do to improve it, and how MSA can help.
A popular New Year’s resolution is to get one’s finances in order—to save more and spend less. But where do you start? How about creating and implementing a monthly budget? A budget is a tool that maximizes revenue while planning for bills and monthly living expenses. Your budget begins with income. Did you know you […]