Question How much money should you be saving?
Answer Ten percent of your take-home pay.
Complete Answer At the very minimum, you should be saving 10% of your take-home pay.
The 10% Affect Saving 10% of your take-home pay may seem like an impossible task. It is if you try to do it all at once. If you do it one pay check/one purchase at a time, it’s not that difficult. I like to think of it as, “Small change equals big bucks.” For example, If you have $10 to spend on lunch, how different would your lunch be if you only spent $9? Instead of spending $100 for clothes, you only spent $90. Could you really notice the difference? That’s “small change”. If you do that for a year, you will have saved 10% of your take-home pay, that’s “big bucks”.
Financial Literacy Knowledge/Skill
Save 10% of your take-home pay.
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Next week’s topic: How should you be using your savings?