Each February, America Saves Week spotlights the importance of saving money and preparing for the future. For business owners, it's a perfect opportunity to focus on the discipline of saving, which can be a vital step in reaching business goals.
Why not take the opportunity to promote good savings behavior in your business? Consider these five ideas for making the most of this annual focus on saving by jump-starting your own savings and bringing your employees along for the ride.
1. Take the Pledge
When you take the America Saves Pledge, you identify a savings goal and commit to a specific amount to save each month. Maybe your savings goal is to buy a new piece of office equipment or build an emergency fund. Setting a savings goal and sticking to it can help you build a more secure future and make investments that can help your business grow. You'll also set an example for your employees by demonstrating your focus, commitment and responsibility.
2. Make Savings Automatic
Most people intend to save whatever money they have left at the end of each month — but there's rarely a lot left, which leads to a lack of consistent savings toward their goals. Instead, commit to changing your approach. Set up automatic deposits that go from your general business account and into specialized accounts that you've set up for your savings goals. When you save first, it's easier to cut back on expenses; you'll just spend only what you have left.
3. Compartmentalize Your Savings
If you have several savings goals — a downpayment on a new delivery truck as well as funding your retirement, for instance — don't shuttle all your savings into one account. You may find that you're more successful in meeting your goals when you set up separate accounts for each goal.
4. Get Your Employees on Board
Fifty-three percent of all employees are stressed about their finances, and nearly a third say that financial stresses have been a distraction to them while at work, according to a PwC survey. People who have savings in the bank have fewer money worries, so by encouraging your employees to boost their savings, you can help them get their financial lives on track and increase their productivity at work. Why not encourage your employees to take the America Saves Pledge, as well, and join you in creating better savings habits?
5. Stage a Contest
You and your employees can post photos or videos of your savings goal on social media using the hashtag #ImSavingFor to enter to win $750. But you could also stage your own office contest to encourage employees to sign up for automated savings or automatic deposits from their paycheck into a savings or retirement account. For instance, every person who opts into automatic savings from their paycheck could be entered into a drawing for a free lunch.
By using America Saves Week as a jumping-off point to boost your savings, you can prepare for future business growth.