This is a great time of year to start saving because summer is over and it’s ahead of the holiday season. How much is enough? That is the question. For many of us, we assume we are limited by what’s left over at the end of the month. How about approaching it a different way?

1. Decide what you want to save for (retirement, big purchase, holiday)
2. Determine the amount you will need
3. Estimate how long you have to save
4. Divide the amount by the number of months to determine the monthly amount to save
5. Do you have enough after your expenses are paid to save this amount each month? 

If not, are you prepared to cut down on something else to make sure you save each month?  If your budget is simply too tight right now, then start with what you can save and increase it when either you earn more money or reduce expenses. 

To make it easy on yourself, set up an automatic savings transfer from your regular bank account to a savings account on a monthly date (mid month?) that works for you. It won’t take long for it to add up!