Smart Savings Choices

Finally, try to allocate 20% of your net income to savings and investments. This includes adding money to an emergency fund in a bank savings account, making IRA contributions to a

Banks don’t like to give away their money. That mindset is reflected in the interest rates of checking and savings accounts of 0,5% and 0.9% avg. annual interest respectively.

When you deposit your money in the bank, the bank turns around and invests that money at 7% a year or more. ...

You’ll only build wealth if you save a reasonable percentage of those earnings.

• If your employer offers a 401(k) plan, increase your contribution.
• Automatically send a portion of your money to your savings or investment accounts before you can spend it.
• Purchase a home ...