Top Offers of March 9, 2024
You could get over 10 times** the average savings account rate with our featured partners below.
*Annual Percentage Yield
**Accurate as of March 2024, assuming FDIC average savings rate of 0.46% and $2,500 deposit.
How To Save Money Fast
Saving money, whether for an emergency fund or a specific goal, can be approached using multiple techniques at the same time. Cutting out unnecessary expenses, bringing in more income and developing strategies can all help you save money fast in the short term and build good practices for the future.
Cutting Unnecessary Expenses
One of the fastest ways to increase your savings is to lower your expenses and send that money to a savings account that can earn interest. Here are some ways to see your savings grow immediately.
| Strategy | Action |
|---|---|
| Budget and track spending | Take a detailed look at where you’re spending your money and make a sensible budget, cutting back or cutting out unnecessary spending. |
| Cut out non-essential subscriptions and services | Take your budget app or latest bank statement to see everything you’re signed up for. Cancel the streaming services and other memberships you’re willing to part ways with. |
| Meal plan and eat out less | Eating out costs families an average of $303 per month, according to the Bureau of Labor Statistics. Make more meals at home, and make a list before going to the grocery store to limit impulse purchases. |
| Lower monthly bills | Explore alternatives and promotional deals for services such as cable, internet and phone. Downgrade coverage if needed and appropriate. |
| Shop insurance rates | Compare rates for car insurance from numerous companies and check into discounts you might be eligible for. |
Increasing Income
Growing your monthly income will quickly build your savings if you keep your spending in check. Here are a few ways to make extra money and ultimately hit your savings goal faster.
| Strategy | Action |
|---|---|
| Taking on a side hustle | If you have a talent for creating or designing, consider platforms like Etsy or Shopify. You could also take advantage of delivery services and deliver food, groceries or other items. Or find a service people want (babysitting, petsitting, etc.) and turn it into a hustle. |
| Sell unused items | Resale apps (such as eBay, Mercari and Poshmark) and consignment stores make selling unused or lightly used items easy. Sell items directly in resale apps, or sell through consignment for a portion of profit. |
| Rent out extra space | Spruce up extra space and post it to an online rental site, like Airbnb or SpareRoom, to get matched with a renter. If you don’t want to share your living space, consider renting out your parking space or even your car for extra cash. |
| Do freelance work | Some companies hire editors, web designers, coders and other professionals as freelancers or contractors. You have more control over your schedule and how much work you take on. |
Implementing Smart Saving Strategies
Certain strategies can make saving easier and a little fun, even in the short term. Try these out to help your money grow as quickly as possible.
| Strategy | Action |
|---|---|
| Automate transfers to savings | This is a set-and-forget strategy that can help maximize savings. Set an amount to move from your checking account to a high-yield savings account (whether at the same bank or elsewhere) each month and let the balance grow. Treat savings as a monthly expense and part of your budget. |
| Participate in savings challenges | These help make saving fun and feasible. There are many to choose from, from putting aside a few dollars each week to committing to a no-spend day or no-eating out week. |
| Open high-interest account | Consider a high-yield savings account or money market account if you need to access the money regularly, or a CD if you can afford to let the money grow. |
Common Pitfalls To Avoid
One of the biggest challenges to saving is constantly spending the money you’re trying to grow.
Spending habits can be tough to break, so create more separation by depositing savings into a bank account different from your checking account — preferably one that earns a competitive annual percentage yield (APY). APY is more comprehensive than an interest rate, as it also considers compounded interest.
Set clear guidelines for yourself, defining when it’s okay to tap into your savings and when it’s not. Unexpected costs and other financial mishaps will happen. But you can overcome each challenge by continuing to put money away, even if just a little bit.
The Bottom Line
If your goal is to build savings quickly, tackle it from all angles — lower your expenses, increase your income and adopt savings strategies that make it as easy as possible. Setting clear savings goals, both long- and short-term, will keep you focused so you always stay on track.
Top Offers of March 9, 2024
You could get over 10 times** the average savings account rate with our featured partners below.
*Annual Percentage Yield
**Accurate as of March 2024, assuming FDIC average savings rate of 0.46% and $2,500 deposit.
FAQ: How to Save Money Fast
Some of the fastest ways to save money are by spending less, earning more and depositing money in an interest-earning account — like a high-yield savings, CD or money market account. Keep your savings separate from your checking account, or any account you can access with a debit card, so you’re not tempted to spend it.
If you don’t have much money and want to build savings, try starting small. The goal is consistency. Build the habit of saving so that as you earn more, your savings can grow. Keep an eye on your expenses, even if you’re not earning a lot. Keeping your expenses low will also work to your advantage as your income, and ultimately your savings, grow.
To save for a big purchase, start by identifying the savings goal. Then, calculate how much you can save each month until you reach your goal. For example, if you want to save $1,800 and you can put away $150 per month, expect to hit your savings goal in one year.
How much you should save each month depends on your savings goals and personal finances. Some may start with as little as $10 per month, while others stash away hundreds. What’s more important than a specific amount is to contribute consistently, making saving a part of your budget. No matter where you start, keep your money in a separate account that can earn interest.
*Data accurate at time of publication
Editor’s Note: Before making significant financial decisions, consider reviewing your options with someoneyou trust, such as a financial adviser, credit counselor or financial professional, since every person’s situation and needs are different.
Trea S. BranchContributing Writer
Trea S. Branch is a writer passionate about helping those navigating hard financial situations. She aims to level the playing field financially, often drawn to groups and communities who are overlooked. Trea has a bachelor’s in economics from the University of Michigan and a master’s in business administration from the University of Notre Dame. Her articles have been featured in the Associated Press and several financial publications. She lives in Chicago, Ill., with her husband and two children.
Jared MacarinEditor
Jared is an editorial veteran who joined Home Solutions after more than 20 years in the newspaper industry. He has written, edited or designed more than 50 newspapers across the country, winning numerous awards. Jared has also edited and wrote for Forbes Advisor, Lending Tree, The Streamable and Lonely Planet. When he isn’t working, Jared enjoys spending time with his wife on outdoor adventures, watching sports and reading.
