Kenyon Ndezi
  • Home
  • Discover
  • Finance
    • Business
    • Banking
    • Invest
  • Lifestyle
    • Travel
    • Food
  • Blogging
    • SEO
    • Troubleshoot
    • Themes
    • Plugins
    • WordPress Tips
featured
  • Conquer That Interview: Your Guide to Ace Your Next Opportunity
    • February 2, 2024
  • How To Build A Social Media Website Like Facebook And Reddit With WordPress.
    • September 4, 2021
  • How to Check Your Credit Score for Free in Canada: Credit Karma and Borrowell
    • July 23, 2023
  • A laptop screen showing OpenAI's website, with ChatGPT related information.
    With ChatGPT on the rise, is blogging still relevant?
    • March 19, 2023
  • The Importance of Networking for Bloggers and Digital Nomads
    • April 17, 2023
Kenyon Ndezi
  • Home
  • Discover
  • Finance
    • Business
    • Banking
    • Invest
  • Lifestyle
    • Travel
    • Food
  • Blogging
    • SEO
    • Troubleshoot
    • Themes
    • Plugins
    • WordPress Tips
Home Posts Learn How To Save And Build An Emergency Fund
  • Banking

Learn How To Save And Build An Emergency Fund

  • March 27, 2022
  • Kenyon Ndezi
Total
1
Shares
0
0
1

Building savings is equally as vital as learning to invest. Investing is a sure way to plan for a comfortable future, but having savings gives you the necessary safety net in the event of a financial emergency. Luckily, you don’t need to have a high income to build an emergency savings. There are ways to plan for the unexpected, even on a small budget. Here are some “do-able” tips to reassess your budget and to help you kickstart an emergency savings: 

  • Set automatic deposits. The easiest way to save is to set up an automatic transfer from your checking account into a savings account after you get paid. Not only does this ensure that you don’t see the money, but it also means you’re growing your savings at a steady rate.
  • Divide your income. The amount you should be saving will depend on your budget and your goals, but a good rule of thumb is to try to save 20% of your income every month, whether or not you’re also trying to pay off debt. This will leave enough room for other expenses, while also ensuring that you grow your savings consistently.
  • Try to live on last month’s income. It’s important to have at least 3 months of expenses, including rent. This will ensure that everything will be alright if an emergency occurs.
  • Set a savings goal. It’s hard to save unless you have something specific to work towards. Whether it’s an emergency fund, down payment on a house or just enough to get you through the holiday season, having a goal in mind makes it easier to put money away.
  • Keep track of your spending. If you’re not sure where your money is going or what your budget should look like, write down all your expenses and review the numbers at the end of each week. This will help you see where your budget needs improvement and make any necessary adjustments.
  • Keep track of bank fees. Bank fees can pile up quite quickly. Try to avoid NSF fees (non-sufficient funds) and any other related bank charges that can be avoided.
  • Watch out for convenience fees. It’s tempting to use an ATM that isn’t part of your bank’s network when cash is needed right away — but convenience fees add up fast. Try to avoid these fees
  • Keep track of your bills. Paying your bills will give you oversight on how much you really have.
  • Set up a budget. It’s important to pay yourself and set aside disposable income. Without budgeting, it’s hard to avoid sporadic spending. You can use Microsoft Excel or download any budgeting app to get started. 
  • Be realistic. Set realistic expectations and have your goals in mind. Don’t starve yourself or hinder your health for the sake of saving money. Be strategic and always follow the plan. 
  • Stay consistent. Whether you’re saving $10 a month or $300, the key to successfully saving is to be consistent.
  • Live within your means. We all want the best things in life, but it’s okay if you don’t have that shiny new Tesla, or the latest PS5 console. Social pressures can push people to spend more than they need or to buy things they can’t afford. We all feel this pressure but you don’t need to prove anything to anyone. The best way to get the things you want is to assess your income, debts and other expenses before making big purchases.
  • Set up a joint account. If you’re living with someone you share expenses with, setting up a joint account can help with budgeting.
  • Keep track of your subscriptions. Almost every streaming platform charges in the form of monthly or yearly subscriptions. From Netflix, Hulu, Disney+ to Spotify, it’s easy to subscribe to them all. However, the cost adds up a lot when you have multiple subscriptions. To stay ahead, cancel and re-subscribe platforms that have content that you only watch seasonally, such as sports. Also, try to avoid duplicate subscriptions such as having Apple Music and Spotify, which in a sense do the same thing. 

Should you save or Invest?

The answer is to do both. Investing money is the best way to build wealth in the long run. The average annual rate of return for investments is 10% which is way more than the interest rate of any savings account. Saving on the other hand is also important, especially for emergency funds and immediate cash. To learn more about investing, check out our article here.

Total
1
Shares
Share 0
Tweet 0
Pin it 1
Kenyon Ndezi

Kenyon Ndezi is a multifaceted blogger, developer, and the founder of NeonBuild.com, a platform empowering users to create apps without coding. Residing in Newfoundland, Canada, Kenyon shares personal experiences, travel adventures, and culinary explorations on Kenyonndez.com. His rich background in web development, server management, and WordPress expertise, combined with his innovative approach to technology, makes his blog a go-to resource for enhancing online presence and enriching daily life. Kenyon also runs Vividbay.com, where he delves into the latest in gadgets, science, and technology. With extensive experience in developing websites for organizations and educational institutions and a degree in economics with a minor in computer science, he seamlessly blends analytical thinking with technological innovation to offer insightful and engaging content.

You May Also Like
View Post
  • Banking

How to Check Your Credit Score for Free in Canada: Credit Karma and Borrowell

  • Kenyon Ndezi
  • July 23, 2023
View Post
  • Banking

The Pros and Cons of Using Credit Cards for Travel

  • Kenyon Ndezi
  • April 17, 2023
View Post
  • Banking

Banking Without the Fees: My Experience with Koho

  • Kenyon Ndezi
  • March 30, 2023
girl pushes friend on a cart
View Post
  • Banking

Mydoh Review: Make Your Kids Money Smart

  • Kenyon Ndezi
  • September 10, 2022
View Post
  • Banking

CIBC US Smart Account: A Travel Companion

  • Kenyon Ndezi
  • November 5, 2021

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Featured
  • The Top Money Mistakes to Avoid in Your 20s and 30s
    • April 17, 2023
  • The Pros and Cons of Living in a Digital Nomad Community
    • April 16, 2023
  • Low-Cost Business Ideas for Beginners
    • December 5, 2024
  • Hidden Gems & Things To Do St. John’s NL
    • April 27, 2021
  • A laptop screen showing OpenAI's website, with ChatGPT related information.
    With ChatGPT on the rise, is blogging still relevant?
    • March 19, 2023
Latest
  • New to Canada and Unsure About Your Career? Here Are Two Industries You Can Break Into With Just a High School Education
    • May 21, 2025
  • Micro-Business Boom: How Gen Z Is Turning Side Hustles into Six-Figure Empires
    • May 14, 2025
  • Airbnb is Surprisingly Lucrative in Tanzania: Here’s How to Tap Into It
    • May 13, 2025
  • How to Use AI Properly for Homework: A Comprehensive Guide
    • December 5, 2024
  • Low-Cost Business Ideas for Beginners
    • December 5, 2024
Categories
Banking
6 Posts
View Posts
Blogging
5 Posts
View Posts
Business
12 Posts
View Posts
Finance
13 Posts
View Posts
Food
3 Posts
View Posts
Invest
6 Posts
View Posts
Lifestyle
12 Posts
View Posts
Travel
15 Posts
View Posts
Wordpress Tips
5 Posts
View Posts
You Might Like
  • 1
    5 Tips for Building a Successful Travel Blog
    • April 16, 2023
  • 2
    With AI Content on the Rise (ChatGPT and Google Gemini), Does Affiliate Marketing Still Work?
    • July 16, 2024
  • 3
    Should I save or invest my money? The classic financial dilemma
    • December 13, 2022
  • 4
    The Top Money Mistakes to Avoid in Your 20s and 30s
    • April 17, 2023
  • 5
    The Pros and Cons of Living in a Digital Nomad Community
    • April 16, 2023
SUBSCRIBE TO OUR NEWSLETTER
Kenyon Ndezi
  • Contact
  • About
  • Privacy Policy
Business & Lifestyle

Input your search keywords and press Enter.