Taking charge of your finances should involve regular contributions to a savings account. As a high school or college student, you may feel you are merely trying to get by; however, even small contributions made on a regular basis may work to your benefit. And the younger you start, the better off you will be – in terms of the smart habits you establish and the amount of money you may save as a result.
- Pay yourself first. When you receive your paycheck or other money, deposit or electronically transfer a portion of the funds into your savings account. You can also ask your employer to directly deposit some of your earnings into your savings account. A less formal way to save may be collecting loose change in a jar, setting a goal for how much you want to collect. At the end of each month, deposit your collections into your savings account.
- Watch your savings grow. Even very small sums of money add up, over time, with interest. The interest you earn today is added to your savings total, further increasing the amount of interest you earn in the future.
- Get a jump start on savings by landing a summer or paid internship. Make arrangements to have some of your paycheck deposited into a back-to-school savings account. By completing this simple task, you may dispel the need to take out additional loans. Additionally, having a part-time job or internship while in school can mean a higher starting salary upon graduation.