Savings & Emergency Funds
Saving should be an active part of a financial plan. Learn more about savings strategies and how to meet your savings goals below.
Did you know that experts say you should have at least 3 to 6 months’ worth of expenses saved for your emergency fund? Emergency savings are used for expense or financial emergencies outside of your normal routine bills such as a loss of a job, car repairs, medical costs or other emergencies and will make all the difference.
Why Do I Need an Emergency Fund?
Having an emergency fund will help you stay above water the next time you have an unexpected expense. Without an emergency savings a financial shock, even a minor one can set you back such as a loss of a job, car repairs, medical costs or other emergencies and will make all the difference.
How Do I Start Building My Emergency Fund?
- Have a Goal: if you are saving for a specific goal for example, "I want to put away $1,500 into my savings every year". Will help you stay focused to achieve that habit.
- Consistency: Make it a habit to save something every time you get paid and leave it. The best way to make it consistent is to set up a direct deposit from your paycheck to start building your emergency fund. This way you are making your contributions consistent.
- Manage Your Cash Flow: You may find times that you might be running short to make that savings contribution. But if you manage your cash flow regularly, you will find opportunities to adjust. Use Personal Finance Manager in our Online Banking portal, this will help you actively manage your budget and will also allow you to create savings goals.
- One Time Savings: There may be times throughout the year that you get an influx of money. This could be your tax return, a bonus, birthday, or other money. While it is tempting to spend it, taking all or a portion of those funds will help you jump start your savings.