Think you can't save money? You can- you just haven't tried
hard enough. Expenses always seem to rise to meet income. If
you are really struggling, give this a try.
Get a Piggy Bank - just like you had when you were a child. You
need a big, round metal can, like the ones you buy with punch.
Buy the drink, and using a couple small holes (made with the
pointed end of a hand can opener), drain the juice into a
pitcher. Wash out the can and let it dry. Then, cut a small
opening in the top of it, just large enough for change and dollar
This will be your Piggy Bank. You can put the money in, but you
cannot see it or get it out unless you use a can opener to take
the top off. To make it more attractive, and make you less likely
to want to break it open, decorate it. This will also help if you
are worried about security. Make it look like something other
than a container holding money.
Put the Jar out on a counter where everyone can see it, and ask
everyone to "feed it". Let your little children put in pennies,
and your older children dimes and quarters. Put in paper money
when you can afford it. Let the whole family know that this is
the family emergency fund. Let all the members of your family
contribute for the unexpected.
This is a good opportunity to explain to children all the things
that make life so comfortable. They need to know that life takes
money, and that is why dad/mom need to leave them to go to work.
It is also a good opportunity for children to learn to give, feel
family unity, and an increased sense of self-esteem.
Here are some of the things you might mention as you talk about
the need to be financially prepared for the future:
HOUSEHOLD APPLIANCE REPAIR and REPLACEMENT
Emergency Travel Expenses
Increased insurance premiums
Unexpected Vacation Costs
Childcare if mom gets sick
If your family knows how hard you are trying to save money, they
will be more willing to help and make sacrifices. You just can't
go wrong saving money.
Here are a couple other suggestions to get an emergency fund
UNCLE SAM- Ask your employer to lower the number of exemptions
reflected on your paycheck. You paycheck will be smaller, but you
will receive it back at tax time in a block of money that you may
find easier to save. (Yes, you are giving Uncle Sam a tax free
loan, but this is sometimes they only way for some to save).
DIRECT DEPOSIT and BANK SAVINGS- Have your employer put your
paycheck directly into your bank, and have the bank transfer a
specified amount of money into your savings account each week.
Set aside enough to pay expenses that occur on a quarterly to
yearly basis, and then some. If you are going to be saving a
significant amount of money, set up an account with
and move the money from your regular bank to
Emmigrant so that
you can make interest on it until needed. It is easily done
Having an emergency fund is your first line of defense in keeping
to a budget and meeting your financial goals. When goals turn
into dreams, it is sweet!