9 Ways to Use Our Savings
– An emergency fund.
– Set up a budget.
– Spending limits.
– Pay down debt.
– Pay down student loan repayment.
– Retirement savings.
– We leverage the power of compound interest.
– Diversify your investments.
#2 Establish An Emergency Fund
Establish an emergency fund for at least six months of necessary expenses such as rent, student loan payments, transportation, utilities, phone, food (even pizza). You may be living on your own or with roommates, and they’ll be expecting your monthly contribution.
#4 Spending Limits
Spend within your means by tracking and limiting purchases. The problem is that the new freedom you have to enjoy more things with your latest paycheck, the more likely you will spend more than you should.
#7 Consider Increasing Your Loan Payments
When you have extra savings or your income rises, pay down your student loans. You may decide to pay more than your current student loan bill if you get a bonus or substantial raise.