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Regardless of age, everyone has financial goals they aspire to achieve. Whether you're saving for a new car, purchasing a home, or planning for retirement, setting realistic financial goals and tracking your progress are essential steps to achieving success.
Setting your goals
Start by clearly defining your short-term and long-term financial goals. This will help you determine how much you need to save for each. For example, when planning your dream vacation, do you want to stay in an expensive 5-star hotel or choose a more budget-friendly option?
When setting goals, compare higher-end options to mid-range ones. This might take some research, but it’s important to get a clear idea of costs. That way, you’ll know exactly how much you need to save.
Once you’ve figured out the target amount, set a timeline. For example, is your vacation six or 12 months away? Knowing your target date helps you plan your savings and stay on track to reach your goal.
Staying on track
Staying on track is often the hardest part of saving. With multiple accounts across different financial institutions, managing cash flow can quickly become overwhelming. To simplify the process and ensure you're setting aside enough each month, consider directing a portion of your paycheck straight into a dedicated "vacation" savings account. This “set it and forget it” approach helps you stay disciplined, as the money is saved before you even have a chance to spend it elsewhere. Just be sure to adjust your other expenses accordingly to avoid overspending in other areas.
Staying on top of your finances is easier with the right tools. Pacific Service CU’s Financial Wellness tool gives you a clear view of your finances by connecting accounts from different financial institutions. With features like spending analysis, financial forecasts and health check-ups, this tool helps you stay on budget and in control of your financial goals.
Check your progress
Keep track of your progress, it’s a simple but powerful way to stay motivated. Watching your balance grow might even encourage you to save more and reach your goal faster. If you realize your current savings aren’t enough, you can adjust your direct deposit to stay on track. Don’t forget to review your budget regularly; you might find new ways to save that you hadn’t noticed before.
We wish you a happy savings for 2025!