Give Your Savings Account a Name to Keep You Saving

For many people it is hard to save money for a financial goal or a big ticket purchase such as a new car or vacation that may be years away. Many people would rather have instant gratification and charge their purchase immediately instead of saving for the item. But, if you set a goal for a big ticket purchase that you’d like to make instead of going into debt for it, your finances will be much better off.



Have Savings Goals



Everyone should have some type of savings goal, both long-term and short-term. Instead of charging a family vacation on a credit card, you should save for it instead and pay for the trip in cash. Another great savings goal is to save for Christmas, birthday, or other holiday presents. Many times people forget to include presents in their monthly budget because these expenses only come around once or twice a year. If you know how much you spent on Christmas presents last year, for example, then you can divide that amount by twelve and set it aside each month in a savings account.



Give Your Savings Account a Nickname



The best way to save for a big ticket purchase is to make it personal. You should devise a nickname for your savings account. Naming your account such as the "Christmas Account", "Paris 2013", or even "BMW" is a great way of keeping your sights set on your goal. Naming your savings account gives you something to aim for and keeps your focus on saving money instead of spending it.



Make Savings Automatic



The best way to save for a goal is to make your savings automatic. With online banks and savings accounts, you can set up automatic deposits every month to be deposited into online savings accounts. Many banks allow you to set up an automatic savings plan and transfer as little as $25 per month into the account. If you automatically save money every month for your savings goals, you will not realize that you are building up your savings account. And, you will be less likely to raid your savings account for a purchase that is not associated with your savings goals.



Many people’s vacations follow them home after they get off the airplane because they are still paying the bills associated with it. When you purchase items with a credit card, you pay more and it tends to mean less to you. You will remember trips with your family and will be more proud of the purchases you make if you save for them and pay with cash. Using a savings account that you give a name to will help you reach your financial goals by keeping your eye on the real reason you are saving your money. Naming your account will make it more than a simple savings account with money in it. It will become the embodiment of that financial goal that you are working so hard to accomplish.



Hank Coleman is the founder of several financial blogs, focusing on topics such as how to reach your financial goals with a savings account. He is an entrepreneur and professional in the government sector. Hank holds a Bachelor’s degree in Business Administration, a Master's in Finance, and is currently studying for his Certified Financial Planning (CFP) credentials. Always looking for a trusted financial institution for advice and tips he tends to look up information at http://www.discoverbank.com more often than not.