As the holidays approach and budgets seem to be getting tight, I ask myself if I’ve put enough away for the holidays. Holiday meals, gifts and extras can add up very quickly. Large family expenses can result in a major dent in your wallet.
This year was the first I began slowly putting a way in late April. It was a late start but knew that if I didn’t start putting dollars away for the end of the year it, I would end up in a financial squeeze.
With ING Direct, I had opened up a separate savings account and setup direct depot through my job. I chose to first save $15 dollars a month then bumped it up to $25 dollars. My goal was to have at least a small pot of cash that I could withdraw during the holiday season to help provide a cushion for my wallet.
So what can a solid $25 dollars a month add up to at the end of the year? A solid $300 dollars not including interest. Compound interest would likely be enough to treat yourself for a free lunch. After all, you’ve earned it.