5 Ways to Automate Your Savings

Aug 25, 2021 Personal Finances

Stressed about finances? Learn how technology can automate your savings and expenses with these helpful tips.

A woman laying on a couch and reading off a tablet.

Saving money isn’t any easy task for anyone. We all have bills to pay, unexpected expenses, and expected expenses that we know we have to pay, but don’t include in our budget.

How can we remember and figure out how much to put in savings at the end of every month? This is where technology comes into play. Automate your savings to save time and make it easier to achieve your goals.

Read further to learn ways to set up automatic savings habits.

Automate Retirement Contributions

Sign up for retirement contributions to be automatically taken out of your paycheck. This helps you by setting money aside before you even see it.

If your employer matches or makes contributions to your retirement plan, ask how to take full advantage of that opportunity.

Even if you don’t have a retirement plan with your employer, you can still schedule automatic contributions to your own retirement plan. Scheduling your contribution a day or two after you receive your paycheck ensures that saving for retirement is a priority.

Retirement Calculator

Try our free calculator to help you create a plan for your retirement.

Transferring to Savings Accounts

Prioritize your savings by setting aside a certain amount of your monthly income to savings. Moving funds from your checking account to your savings will help keep you from spending it and earn a higher dividend rate.

Set up a monthly or biweekly automatic transfer that coincides with your payday. It’s recommended that you save at least 20% of your income for financial priorities.

Pay Bills Automatically

Set your bills to be paid automatically and never struggle with a late fee again. Many companies will let you choose your payment dates to fit your schedule. Take advantage of this and stagger the dates to give you more flexibility with your funds.

Ask your bill providers if they offer a discount for setting up direct payments too. Some will give a percentage off your monthly rate, saving you time and money while saving them the hassle.

Save While Shopping

In today’s day and age, it’s a lot easier to clip coupons and look up savings before leaving the comfort of your home. Grocery and retail stores oftentimes have apps with coupons that you can select from your phone and use at checkout. You may have to set up an account with that specific store to save the coupons, but that’s a small inconvenience compared to the big savings you’ll get.

To save money in-store, shop between name-brand and store-brand products; store products are often cheaper per ounce while name-brand products might have special coupons.

Consider using apps that feature store ads or flyers that you can view from your phone. This will help you plan shopping trips ahead of time and compare prices retailer to retailer.

Utilize Credit Card Rewards

There are many no-fee credit cards that offer cash back or rewards points. Decide what regular transactions you want to use your card for – maybe you only use it for gas or automate your insurance payments using it – and you’ll earn free rewards or cash back on purchases you were going to make anyways.

Choosing the right credit card can also mean additional perks like car rental and travel insurance, fraud protection, price match guarantee, and more when you pay with your card.

It’s important to use your credit card responsibly, so be sure you can pay your balance in full every month to avoid extra fees.

Taking advantage of these tips will increase your savings over time and create stable spending habits.

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