Save For Your Goals | My Financial Future | Keller Graduate School of Management

Save for Your Goals

There are big rewards if you manage your money carefully.

If you have enough discipline to save 10% of your income every month, you'll be on top of your emergency fund and on your way to meeting big goals like finishing your college degree and taking the next step toward a successful career.

Since there are competing demands for your money, ask your employer to directly deposit the amount you plan to save every time you're paid. If the money isn't in your checking account, you won't miss it.

Where should you save? Your bank or credit union probably offers a number of different savings accounts, with different rules and different interest rates. The easier it is to withdraw from the account, the less interest it's likely to pay.

One approach is to use a regular savings account or a basic savings account to start accumulating savings. For example, if you deposit $100 a month, in less than a year you'll have $1,000.

Then you might want to buy a one-year certificate of deposit (CD) with the $1,000 and earn more interest than on the regular savings account. And you could go on using that regular account to accumulate the next $1,000. You get the picture.

There will be times when you may have to take money out. There may be fees you have to pay that aren't covered by financial aid.

But if you treat your savings with a "hands off" policy, the money will be there when you need it. That's worth saving for.