Money Management
Savings
We often hear it’s good to save on a regular basis but why do we need to save and where should we save?
There are several reasons for needing to save regularly –
- For covering emergencies: to give you a pot of money that you have set aside to fall back on to help you deal with unexpected situations such as car repairs or replacing household appliances
- To help pay for Christmas: to have money set aside to pay for presents and enjoying the festive season without having to miss bills or stretching yourself
- To fund things you are planning to do: to set aside money to pay for the things you are planning to do such as moving/setting up a new home, buying new things for your home, going on holiday or buying a new car or even maybe planning a wedding or a new baby!
- To save for your retirement: to have money put away to help you when it’s time to give up work. Saving for this life event is often through a pension plan set up by your employer who take your savings deductions direct from your wage/salary or you can set up your own pension plan not linked to your employer.
Having savings set aside to fall back on can remove the worry of where you are going to find the money from when you need it and also helps prevent you falling into debt.
Where to save?
There are a lot options available on where to put your money but only a few types of account. Here is a quick guide to the different kinds of accounts that are available to see which would suit your plans.
Credit Unions
Credit unions are also a good place to save. Credit unions also provide their members and regular savers access to loan products.
Here are links to the two community credit unions open to residents living in Dundee and Angus. There are also credit unions linked to where you work or your industry – search Find Your Local Credit Union.
The 2 main Credit Unions that cover the local area are –