How to Keep Some Money Stashed Away

Saving money can be difficult, particularly when there are so many bills to pay and expenses that seem to constantly increase. There are ways you can save some money that will eventually grow and you'll have a nice little nest egg to fall back on in case of an emergency.

Instructions

Difficulty: Easy

Things You’ll Need:

• Locking safe
• Savings account rates

1. Buy a fireproof-locking safe and put any extra cash in it. Over time, the amount of money will increase, and you'll always have cash on hand in case you need it.
2. Call banks and find out what the going rates are on savings accounts. Choose the bank who offers you the highest rate, and start putting money into the savings account each week.
3. Check on IRA rates, as these are another great way to save money. Be sure to learn the difference between a traditional and a Roth IRA before making a final decision.
4. Find out current CD rates. Much like a savings account, CDs have an interest rate on the amount of money you save, but they can only be withdrawn at certain times.
5. Ask your employer if they offer a 401k plan so you can start automatically deducting money out of your paycheck for savings.

Tips & Warnings

• Educate yourself as much as possible about current rates, fees and penalties for each type of savings plan so you can make the best informed decision.
• Be aware that certain savings plans only allow you to deduct money at certain times or they will tax or charge you a penalty for withdrawal.