In my experience as a money editor, I’ve received quite a bit of good (and bad) savings advice over the years. The bad? Anything that requires me to cut out a daily coffee. (Yes, I know, my $4-a-day Starbucks habit is draining my kid’s college fund!) As for the good advice? Here’s what I’ve got:
1. Nickname Your Accounts
I learned this one from my very own financial planner: When setting up a new savings account, label it by intention (say, a 2020 Portugal vacation or a better car) in order to incentivize yourself to contribute. Most banks make nicknaming easy (Capital One’s 360 Savings, for example, gives you the option to label 25) and I’ve found it’s also a useful way to spend the funds you save on stuff that actually makes you happy.
2. Gamify Savings with Your Spouse