Wish you’d been able to take Banking 101 in school? While personal finance isn’t always taught in class, it’s never too late to start learning the rules that can lead to financial success, and Union Savings Bank’s FutureTrack coaches are here to help you do just that!
Key Financial Rules to Live By
- The 50/20/30 Rule: This budgeting method is a simple way to divide up your income. Here’s how it works:
- 50% of your income goes toward necessities (housing, groceries, transportation)
- 20% goes toward savings and debt repayment
- 30% is reserved for discretionary spending (entertainment, dining out, vacation)
Sticking to this formula ensures you’re covering your essential needs while still saving for the future and having some fun!
- Compound Interest: One of the most powerful forces in finance is compound interest. This is interest that earns interest, allowing your savings to grow faster over time. Whether you’re saving in a high-interest account or investing in a retirement fund, starting early helps compound interest work in your favor.
- CD Laddering: This savings strategy helps you maximize the return on your savings while maintaining access to your funds. By purchasing multiple CDs with staggered maturity dates, you ensure that part of your money is always accessible, while the rest continues to grow.
Where Your Coach Comes In
Your FutureTrack coach can teach you these financial principles and more, answering your specific questions along the way. They’ll help you understand not just the “what” but the “why” behind each financial rule, so you can feel confident in your banking moves.
End the year on a high note by scheduling a meeting with a FutureTrack coach today—it only takes 15 minutes! With their guidance, you’ll be ready to tackle 2025 with confidence and a clear financial plan. Get started today!