We all want to save – but if you find it tough, you’re not alone. In fact, most Australians are only saving $3.20 for every $100 earned. Want to hear the good news though? A small tweak to the way you budget can go a long way to sorting this out quick smart.
In this series, we’re going to introduce you to a group of Australian savers so they can share what has worked for them. First up, we spoke to Jason, who uses multiple accounts to categorise the money he spends so he doesn’t dip into his primary savings for bills and other expenses.
Research conducted in November 2017 by Galaxy with 1,000 Australians, on behalf of ING.
It’s easier to know exactly how much you’ve saved up when you’re not drawing from one big pot, and multiple personalised accounts is a great way to handle your day-to-day budgeting.
If you need this in your life, check out how you can put it into action, step by step.
Log into your online banking and click “Apply for Products” in the sidebar to open a new savings account that’s linked to your current account.
Click “Savings” from the pop-up menu and then select the type of account you want to open. To save for everyday expenses, a Savings Maximiser is a good way to go as it has competitive variable interest rates and no fees or penalties on withdrawals.
You can have up to nine accounts so you can create one to save for each of your major regular expenses.
Follow the steps through the account confirmation process. You’ll be asked about your tax info and the bank account you want to link to. Have your phone handy, as you’ll be texted a confirmation code to enter. Once you go through these steps, the account is all set up. You just need to transfer some money into it to activate it.
Rename your new account by clicking on “Accounts” in the sidebar, clicking into it, then clicking the pencil next to the name at the top of the page. Name each account after the specific bill or regular life expense, such as “Internet,” “Phone Bill” or “Utilities.”
When payday comes around, take a few minutes to go to online banking or the ING app and transfer the amount you need for the upcoming bill/expense into the appropriate account. This way, you don’t lose sight of how much money you have left in your savings, and you don’t take money away from your spending budget.
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