Pay Yourself First, or “PYF“, is a principle most successful savers use. It’s a “bill” you owe yourself for saving and an effective strategy because it helps you reach your goals quickly and effortlessly. In an almost post-pandemic world, most are flipping from spending to saving. Follow these 4 steps to make paying yourself first simple and effective.
- Set short-term and long-term financial goals.
When creating goals that stick, make sure they’re SMART:
- Set a target date for reaching each goal.
Realistically, how long will it take you to save to make the purchase you’re saving for?
- Look for ways to trim your budget or boost your income.
See how many budget busters you have hiding in your monthly expenses. Use this workbook to help you prioritize goals and this worksheet to help eliminate spending leaks.
- Put the extra cash toward your savings.
Establish a new savings account, set up a CD or IRA and be sure to check out our savings and deposit rates!
If you need help determining where to start, how to invest your money at the credit union or help with streamlining your goals, check in with one of our Certified Credit Union Financial Counselors. Sessions are always free to our members!