Make 2015 Your Biggest Year For Savings Yet

Family-Budget-CalculatorSavings Tips and Investment Ideas for 2015 – Make this Your Biggest Year for Savings

If you are searching for savings tips and investment ideas for 2015, you are in the right place. By reading this financial guide, you have the potential to make this your biggest year for savings, yet. Piggy banks, stocks, low fee index funds, stocks, and other types of investment and saving opportunities assist millions of people each year in optimizing their savings for a rainy day. It is imperative to understand, though, that there are major differences between the interest earning potential and the taxes that you will be required to pay on the various types of savings tips and investment ideas at your disposal in 2015. In this guide, you will learn the top-rated tips for savings and investments, as offered by financial experts.

Dump That Debt

In nearly all instances, the interest that is paid on the debts that you have acquired through life is much higher than the interest that is generated by your savings. For example, many pay an average of 18% interest on the credit card related debts that they possess, but, only earn 2% interest on the savings account that they own. In this instance, money is actually being lost – not gained. This is why it is best to discover ways to dump any debt that you have. If you are searching for methods to save in 2015, it is quite likely that you do not have the funds available to completely eliminate the debt that you possess. If this is the case, you should consider balancing transfers or even consolidating your debts. In taking these measures, you will successfully reduce the amount of interest that you are responsible for on those debts. In addition to this, if you have a mortgage, you should look into remortgaging. According to reports and analysis, the current interest rates on mortgages are at an all-time low. By remortgaging, you will find that you are able to successfully reduce the amount of money that you pay on your mortgage each and every single month. Before attempting to engage in these activities, ensure that your debts do not include special charges for early repayment. If you find that it will cost more in balancing transfers and/or consolidating debt, avoid taking these steps.

Harness the Power of Compounding

One of the most productive and popular savings tips and investment ideas is to harness the power of compounding – as early as possible. Due to the power associated with compounding interest, the first dollar that is saved and invested is considered to be the most important. According to a wealth management specialist at PNC, Joe Jennings, this is because of the fact that the one initial dollar has the highest growth potential, as time progresses. For example, if you invest $5,000.00 at the age of 25, your money has a 40 year potential for growth due to compounding interest. If you invest that same amount of money at the age of 60, the money only has a total of 5 years when it comes to growth potential. The sooner that you save and invest, the sooner you will experience the power of compounding interest – to your advantage.

The Almighty 401(k)

When searching for savings tips and investment ideas, you will consistently see information about the almighty 401(k), and there is a reason for that. For most families, retirement is a major goal when it comes to savings. In order to maximize the potential of the retirement savings associated with a 401(k), it is imperative that you max out the plan, as well as any other retirement-based plan that is offered by your employer. This is especially important if your employer offers you matching contributions on the plan. If you have a higher income and would like to increase the amount of money that you save for retirement, you should also consider opening up and contributing to an IRA. This will allow the money that you invest to grow tax-free until you reach retirement.


In 2015, the savings tips and investment ideas experts are starting to expound on the fact that, in order to truly optimize each dollar that you obtain, you should pay yourself – first and foremost. Throughout history, it has been established that if you make a financial plan for your family and go through the process of constructing your life around that plan, you will experience a higher level of financial success. Unfortunately, most people set up the life that they have and then make an attempt to save around the life that they have created. This results in a general lack of success, financially speaking. By dumping your debt, harnessing the power of compounding interest, and paying into the almighty 401(k) and/or IRA, you will experience a new financial start on life that allows you to pay the most important aspect of it all first – yourself and your loved ones.

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