Now is the best time to start an emergency savings account.
The earlier the better.
First, start considering your emergency savings account as self-care.
Seriously. A main point of stress for most Americans is money.
We need to recognize that saving money can prevent stress.
It is inevitable that there will be a point in everyone’s life when we need to replace something or an expected emergency happens.
Prevention is the name of the game!
Second, you will fill more in control. As you keep saving, developing that habit, you will see that you can control your money. You can do this!
Third, the earlier you start, the more you can save.
Personally, we have to save little amounts at pretty irregular intervals. That means our savings grows slowly. That’s ok.
The important point is that we are on the board and building a habit.
The great thing about online savings accounts is that you can often open them with a very small initial deposit.
Fourth, once you have funds in a savings account you will be earning interest. The interest you earn is measured in Annual Percentage Yield or APY.
This is a type of passive income and that’s good!
And different banks will have different procedures for paying interest.
But the great thing is your interest earned will grow as your savings account grows, provided the money stays in the account. This is great motivation to prevent us from dipping into our emergency accounts during nonemergencies.
Last, and the most important reason to start a savings account now, is to quit procrastinating. Today is the day to get it done. Take the first step to control! Even is that step is just a few dollars.
Hi! I am Ali, a homeschool mom who is passionate about science, managing my money and time well. Unfortunately, with an army of tiny faces, I am always still kind of a mess.
I was tired of not having a judgement free place to talk about money troubles with other moms. So I created one!
Click on the picture above to join my Facebook Group, Money Savvy Mommas.