The importance of saving more and spending less has never been more evident as it was during the year 2020. Since an unexpected force upended people’s lives, routines, and even their savings accounts, having an extra money cushion is a 2021 resolution everyone should have on their list. More money is not always a guarantee of more problems, but less money certainly is. Make a plan to boost your savings account in the upcoming year with a multi-faceted strategy.
Everyone has a different philosophy when it comes to money that is shaped by how we were raised and our current income level, and one’s adult self doesn’t have to be shaped by past teachings or bad choices, even though sometimes it is shaped by current circumstances like perhaps, a global pandemic. “While many things have changed in the last year, the basics of financial advice remain the same including to create and stick to a budget, don’t spend more than you have, build an emergency savings fund, and manage your use of credit wisely,” says Chris Terlinden, a marketing director at Palmetto Citizens Federal Credit Union.
The first place to look when getting finances on track is typically a bank. But credit unions like Palmetto Citizens Federal Credit Union offer benefits to those who even just open a checking and savings account in the form of fewer fees, higher savings rates, and lower loan rates thanks to their status as a non-for-profit financial institution. All of this can help people save more even in small ways. When it comes to savings, every cent literally adds up.
So should you focus on saving more or spending less? The answer of course, is both. “Most people will have trouble being able to save more if they never spend less,” says Terlinden. “Put a real focus on both to achieve your financial goals.”
Other ways Palmetto Citizens can specifically help its members save money is with programs like the Savings Round-Up, which takes the change from debit transactions and adds it automatically to a savings account, proving that starting with just pennies can add up over time. Financial education programs and personal financial counseling from the credit union can help those who need an extra leg up with learning about getting and keeping their finances in order.
For insight on how to think about the future when it comes to finances, no matter what your current situation looks like, Terlinden says “The truth is none of us ever know what the next day will bring, good or bad, so having a financial plan in place to help deal with a job loss or reduction in hours, unexpected health care bills or any number of other things can help provide peace of mind.”
Palmetto Citizens Federal Credit Union has 14 locations across the Midlands, and a new and improved online banking experience that includes the ability to open accounts online and virtual document signing options. See more at www.palmettocitizens.org or call 803-732-5000.