Celebrating Financial Literacy Month
April is Financial Literacy Month, a time dedicated to increasing awareness and understanding of financial principles. This month presents a prime opportunity to enhance your financial knowledge and take control of your financial future. One super important piece of the financial literacy puzzle is understanding the magic of saving money - and Norry Bank is here to help you on this savings adventure!
"It's never too late to get financially fit," said Tim Botts, Northumberland Branch Manager/Lender.
He emphasized that when it comes to saving money, it's important to see it as a marathon rather than a sprint.
“Just as marathon runners pace themselves to ensure they have the stamina to reach the finish line, successful savers understand the value of patience and perseverance over the long haul,” said Tim (who also has completed a marathon himself)!
"Evaluate your financial situation, take charge, and adhere to a new budget or savings strategy," Tim said. "By managing your personal finances, you'll be better equipped to save and prepare for unforeseen expenses."
Here are some tips Tim shared on how to get financially fit.
Get organized
Consider investing in a financial organization system as a gift to yourself. Alphabetized file folders or dedicated filing systems for financial matters can be incredibly useful when preparing for tax season. While you're organizing, consider purchasing a shredder to protect your personal information from identity theft.
Create a budget
"Monitor your income and expenses to understand how much money is coming in and how much you're spending," shared Tim.
"If you're dealing with debt, creating a budget will help you in paying it down while also saving. Analyze your spending habits, set realistic goals, and regularly review your budget to ensure you stay on course."
Lower your debt
Debt from student loans, mortgages, and credit cards is quite common, with many families carrying around $10,000 in credit card debt.
"Create a budget that allows you to pay down these debts while also saving," he said. "Be mindful not to spend more than you earn, as this can lead to financial strain."
Save for the unexpected and beyond
"Pay yourself first! Saving is important - it ensures a comfortable future that can endure financial surprises. And no matter how old you are, it's never too late to begin saving," he said.
Additional tips he provided include:
- Save money efficiently. Norry Bank offers various savings accounts that pay tiered interest rates which allow your savings to grow over time. The more you save, the more you earn.
- Keep at least three months' salary in a savings account in case of financial emergencies like medical bills, car repairs or home repair costs.
- Save at least 10 percent of your income for retirement. Enroll in a retirement plan or consider optimizing an already established retirement plan. Contribute at least the maximum amount that your employer will match and increase your contribution as your income increases. If your employer does not offer a retirement savings plan, Norry Bank also offers Individual Retirement Accounts (IRAs).
- If you receive direct deposit at work, ask your employer to send a specific amount to your savings account for an easy and convenient way to save. Or you can set up automatic transfers from your checking to savings accounts right in online or mobile banking.
No matter if you want to save a little or save a lot - Norry Bank can help. Call us at 888-877-6623 or stop by any branch.