If you’re like most Americans, you have very little money in savings. If a real emergency happened to you, you would be scrambling to cover the financial cost of it.
Approximately 62% of Americans have less than $1,000 in their savings accounts, and 21% don’t even have a savings account, according to a new survey of more than 5,000 adults conducted by Google Consumer Survey.
How do you plan to pay your emergency room copay, which typically costs $250, $500, or $1,000? How will you pay for a car repair?
If you find yourself with little to no savings in your accounts, the new year is a great fresh start to take control of your finances and get started saving today.
Here are three reasons you should start saving money today.
1. Build Good Habits
Setting good financial habits is a part of a lot of people’s financial goals. By building your savings, you are instilling solid financial habits that will stick with you for the future.
Build good money habits and get serious about saving money by creating a savings plan. If you tell yourself that you don’t have any money to save, you are simply lying to yourself.
Start small, even if that means $1 a week. And then work slowly to increase it little by little. You’ll find that you can live on less if you force yourself to do so.
By instilling good financial habits now, you’re setting yourself up for financial success in the future.Three no nonsense reasons everyone needs to start saving money today! Click To Tweet
2. Break Free of Your Past
When people want to start saving and building good financial habits, they most likely made many money mistakes in the past, and a lot of those mistakes involve debt.
Debt is the ugly four-letter word in personal finance that can really destroy morale and make it difficult to start saving money. Having an emergency fund and savings ensures that you will be free of the debt that plagued your past.
There will be no more fear of emergencies that will ruin your finances, or unexpected expenses, because you will now have the means and resources to do something about it.
Be free of your past, and never fall into debt again by building your savings and having the resources and knowledge to take on any financial challenges that come your way.
3. Secure Your Future
Building your savings and increasing your financial security sets you up for success in the future. Making your savings a priority is telling your finances that you are making your future a priority.
The longer you save, the more money you’ll have—essentially, securing your future.
There’s no reason that you can’t make 2016 the year you put yourself first and secure your future by saving money.
Do you have a savings plan in place for this year? How do you plan on reaching your savings goal?