Saving 101

1. Live below your means. Saving even just 10% of your income each month can build a healthy nest egg to put towards retirement, travel, education or an emergency fund.
   
   
2. Create a budget. Find out how much you need to live on each month and stick to the spending levels outlined in your budget.
   
   
3. Keep track of your spending. Write down each purchase in a small notebook and review your spending weekly. Look for ways to cut spending.
   
   
4. Pay off your credit cards. By paying off the accumulated balance on time every month, you maintain a good credit rating while avoiding costly interest. If you are carrying a hefty balance on any credit card accounts, make it top priority to get these paid off before worrying about any savings plan.
   
   
5. Begin a 401(k) or IRA account. It is never too early to start saving for retirement.
   
   
6. Consolidate your loans. If you have several outstanding loans, avoid the hassle of paying individual loan payments at high interest rates by consolidating your loans into one loan with a lower interest rate.
   
   
7. Learn about investing. Become fully informed about the risks and benefits of different investment strategies.
   
   
8. Buy insurance. Without car insurance, health insurance, life insurance and homeowner’s or renter’s insurance, one tragedy could wipe out your savings.
   
   
9. Keep an emergency fund. Even if you have insurance, you should keep an emergency fund separate from your regular savings account just in case, so you don’t have to find funds elsewhere in the middle of a crisis.
   
   
10. Be thrifty. Frequent thrift stores, clip coupons and invite friends over for dinner instead of going out.