Do you have a robust savings plan? If you are one of the millions of people affected by the global financial crises then you know just how important a savings plan can be – especially when times are tough. Although no savings plan is meant to save you during a recession, it is a very handy thing to fall back on when times do get tough. The level of financial difficulty that the world was in was truly something that no one could have predicted or even anticipated but having a robust savings plan could have saved many families from losing it all.
With so few people having the financial “street smarts” to invest wisely, I believe that their savings plans are destined to fail. The 401k’s of the past is simply not sufficient to deal with the new world economy. We need to get smarter in the way we spend money and also in the way we save money.
Saving money in a bank account is absurd. In fact, saving money in a standard savings account that pays 5% interest is just plain stupid. If you do the maths then you will see that it actually loses you money when you do that. There is no long term growth and the fees and inflation is enough to kill anyone. These are savings plans of the old world economy and all it really did was to line the pockets of the fat cat bank managers.
Its estimates that you need at least 4 months of expenses saved up in cash. It will allow you to withstand any immediate financial crises and buy you enough time to find your feet again. I suggest that you look into money market accounts to get both a high interest on your money while still having sufficient access to it should you need it quickly.
The most important thing about having a robust savings plan is to actually have a plan. the next step is to follow that plan. Fix an amount of money that you save every month and do whatever it takes to stick to it. Add as much to it as soon as possible and use the power of compound interest to grow your money for you. For profitability and accountability Blake Saving plans is the best for you