| "> | | | | * Work out where your pay goes by listing all |
| After paying off debt saving is the best way to | | | | your spending. You won't be able to cut down on |
| hedge against future costs you haven't budgeted | | | | bills for groceries, utilities, rent and so on, but you |
| for, or better still, a special purpose such as a | | | | can save here and there by taking your lunch to |
| holiday, a car or an investment. | | | | work and limiting take-away coffee, soft drinks |
| Here's how to kick off a savings plan: | | | | and splurges at sales. |
| Step 1: Make a plan and stick to it | | | | Step 4: Set up a high-interest online savings |
| * If you prioritise your saving goals, then socking | | | | account |
| away a set amount towards it each pay day into | | | | * With interest rates of up to 9 per cent, these |
| a savings account will be much easier. | | | | online savings accounts, which can be linked to |
| * Once you've decided what it is you want to | | | | everyday transaction accounts, are a saver's |
| save for, estimate how long it will take to save | | | | dream. |
| by putting away an affordable amount each | | | | * Special purpose savings accounts can |
| week. At $70 a week you can save for a $2000 | | | | sometimes penalise you if you do make a |
| off-season holiday to Thailand in just over six | | | | withdrawal by dropping interest back to a low |
| months. | | | | rate, so to take full advantage of these savings |
| Step 2: Get rid of old debts | | | | accounts, you must make regular deposits and no |
| Debt is the biggest burden you can carry. Always | | | | withdrawals - this encourages good savings |
| pay off your credit card in full each month. Better | | | | discipline! Not all high interest online savings |
| still cut it up and get a debit card instead. If you | | | | accounts will penalise you though, so just read |
| have existing debts, eliminate them by upping the | | | | through the fine print. |
| repayments. | | | | Happy saving! |
| Step 3: Nail down your expenses | | | | |