If you don't already participate in online or mobile banking, chances are your bank offers these services at no charge. Some even offer financial incentives for forgoing paper statements. Online banking capability is the first step in being able to automate much of your savings and bill paying.
Automating your finances can not only simplify your financial life, but it can prevent many of the most common financial blunders. The ability to pay bills, track expenses, manage money and even invest from a smart phone or computer is a benefit that members of previous generations would have loved and can give you a financial leg up as you plan for the future.
Automating your finances can not only simplify your financial life, but it can prevent many of the most common financial blunders. The ability to pay bills, track expenses, manage money and even invest from a smart phone or computer is a benefit that members of previous generations would have loved and can give you a financial leg up as you plan for the future.
Some of the best ways to automate your financial life include:
Start banking online. If you don't already manage your day to day finances online, this is an excellent way to monitor the balances of your checking and savings accounts and pay your bills (while saving on postage).
Sign up for direct deposit. If your employer offers direct deposit this offers an easy way to automate another aspect of your financial life, and can save you from having to take time out of your schedule to deposit your pay check.
Sign up for Personal Capital Management. PCM is a budgeting web site that automatically logs into each of your separate online bank accounts, investment accounts, and creditor's websites. The site allows you to create an itemized budget that is easy to monitor and adjust, and will also send you reminders when bills are due, monitor the returns of your investment accounts, and track the interest rates on your credit accounts.
Sign up for your company 401K. If your employer offers matching, try to contribute up to the match amount. 401K contributions can put you in a lower tax bracket, and are another excellent automation technique for your retirement savings.
Automate your credit card payments. If you use a credit card for day to day expenses and pay the balance monthly in order to qualify for incentives or rewards, consider paying the bill automatically from your checking account at the end of each month. This can save you a fortune in interest payments and late charges, not to mention time and energy.
Set up recurring transfers. Saving for retirement or even a special event or occasion? Set up to have a designated amount transferred on a weekly or monthly basis. This will ensure that you are saving for the future, and as an additional benefit, allows you to dollar cost average buying into retirement or investment accounts.
Combining these automation strategies can cut stress from your financial life, and give you more time every month to focus on more important things like spending time with friends and family, exercising, working a second job or side hustle, and financial research.
So go ahead, let the machines do some work and reap the benefits.
Start banking online. If you don't already manage your day to day finances online, this is an excellent way to monitor the balances of your checking and savings accounts and pay your bills (while saving on postage).
Sign up for direct deposit. If your employer offers direct deposit this offers an easy way to automate another aspect of your financial life, and can save you from having to take time out of your schedule to deposit your pay check.
Sign up for Personal Capital Management. PCM is a budgeting web site that automatically logs into each of your separate online bank accounts, investment accounts, and creditor's websites. The site allows you to create an itemized budget that is easy to monitor and adjust, and will also send you reminders when bills are due, monitor the returns of your investment accounts, and track the interest rates on your credit accounts.
Sign up for your company 401K. If your employer offers matching, try to contribute up to the match amount. 401K contributions can put you in a lower tax bracket, and are another excellent automation technique for your retirement savings.
Automate your credit card payments. If you use a credit card for day to day expenses and pay the balance monthly in order to qualify for incentives or rewards, consider paying the bill automatically from your checking account at the end of each month. This can save you a fortune in interest payments and late charges, not to mention time and energy.
Set up recurring transfers. Saving for retirement or even a special event or occasion? Set up to have a designated amount transferred on a weekly or monthly basis. This will ensure that you are saving for the future, and as an additional benefit, allows you to dollar cost average buying into retirement or investment accounts.
Combining these automation strategies can cut stress from your financial life, and give you more time every month to focus on more important things like spending time with friends and family, exercising, working a second job or side hustle, and financial research.
So go ahead, let the machines do some work and reap the benefits.
Photo By: Sam Pullara
Great points! I do all those although I do not have a smartphone.
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