Smart Savings

This section assists families and individuals with smart saving strategies and opportunities.

What is saving and why is saving important?

Saving can be defined as a way to accumulate money for a future need. Savings provide funds for emergencies and purchases in the relatively near future. The primary goal of savings is to store funds and keep them safe. The Savings Basics Bulletin will provide you with a more comprehensive guide to the basics of savings.

Pay Yourself First

Pay Yourself First is a term that is often used when discussing saving money. This term simply means that when you get a paycheck, you need to put away the money that you want to save for some future goal. The benefits to this approach would be you may be able to increase your savings, save money for a future goal, or this can be an avenue to begin to manage your money more effectively.

What are some keys to saving?

One of the ways to assist with saving money is through the use of saving calculators. Saving Calculators assist individuals in helping them visualize what they can accomplish through the use of saving money.

Saving Calculators

The University of Illinois Extension offers an array of financial calculators to assist families in a variety of savings opportunities.

* Glossary of Savings Terms
* What will it take to become a millionaire?
* How much will my savings be worth?
* Saving for a car, home, etc.?
* Saving for a college education?
* How will taxes and inflation affect my savings?
* How much difference will the rate make?
* What's it worth to reduce my spending?
* How much, at what rate, when?
* Which is better: cash or payments?

Other keys to saving may include:

* Utilizing direct deposit for your checks
* Paying your bills on time and avoiding late fees
* Budgeting your finances and sticking to that budget to avoid unnecessary expenses
* Avoiding check cashing outlets and/or rent to own facilities. Many times these types of establishments can charge high interest rates.

Saving Mechanisms

How Can I Save Money for College?

Michigan has a few state college savings plans that can assist families and individuals when planning for their children’s higher education. Here are a few of the options available.

Michigan Education Savings Program - Offered through the Michigan Department of Treasury, Michigan Education Savings Program provides families a smart, flexible way to save for their children's future.

Michigan Education Trust - The Michigan Education Trust (MET) program allows parents, grandparents and others to pre-purchase undergraduate tuition.

Matched Savings Programs

Individual Development Accounts - Individual Development Accounts are a financial and economic development tool designed to help low-income families to save and accumulate financial assets. There are many different forms of IDA programs. Usually, individuals can save for one of the three following categories: homes, businesses, and education.

Savings Bonds

What are savings bonds?
A bond is a piece of paper that shows a person has agreed to loan money to the U.S. Government. The government uses the money to help pay its bills.

Savings Bond Rates and Options - This site offers a wide array of information on the world of Savings Bonds.

Savings Bond Calculators Find out how much your savings bonds are currently worth.

For information regarding curriculum on budgeting resources, please click on the Curriculum listing at the top of this page.