The only way to reach your goals is to identify what they are, when you want to reach them and then create a plan of how you’re going to get there.
Setting goals will motivate you to save more
Once you do that, you can create a plan and timeline to keep yourself on track to reach your goals when you want to reach them.
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A few goals to consider
Emergency savings
[ See how to get started on creating and building your emergency savings funds. ]
Buying a car or house
When preparing to buy a house, get a rough estimate of how much you think you’ll spend and then set a timeline. To get the best mortgage rate, you’ll want to put 20% down. So figure out how much you’ll need to save each month to have enough cash for the down payment when the time comes — and make sure to fit that in to your budget.
The easiest way to do it is to have your direct deposit automatically send that cash to a savings account each month, so you won’t be tempted to spend it and you’ll be more likely to stay on track to reach your goal!