- Set a clear savings goal.
- Create a budget to track income and expenses.
- Automate savings by setting up regular transfers to a savings account.
A new bicycle for weekend rides.
- Cook meals at home instead of eating out.
- Cancel unused subscriptions or memberships.
- Use public transportation or carpool instead of driving alone.
- Buy secondhand items instead of new ones.
- Set a weekly spending limit and stick to it.
- High-yield savings account.
- Certificate of Deposit (CD).
- Investment account (e.g., stocks, bonds, or mutual funds).
The Rule of 72 is a simple formula used to estimate how long it will take for an investment to double in value based on a fixed annual interest rate. To use it, divide 72 by the annual interest rate (as a percentage). The result is the approximate number of years it will take for your money to double. For example, at a 6% annual return, 72 ÷ 6 = 12 years to double your investment.
Parent Tip: Review the logic above to help your child master the concept of savings worksheet.
