Here’s Why I Plan to Contribute $5,000 More to My Savings Account in 2024

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Many people set savings goals for the new year. Find out why one writer hopes to put aside an additional $5,000 next year. 

We’re already near the last few days of 2023, which makes now the ideal time to outline financial goals for the following year. If you have yet to consider what personal finance goals you want to tackle in 2024, it’s not too late to get planning.

As for me, I hope to stash more money in my high-yield savings account. After reviewing my savings progress from this year, I’ve decided I want to save an additional $5,000 in 2024. Let me explain why.

1. I want to continue building my emergency fund

An emergency fund is a valuable financial tool. Handling a costly, surprise bill is easier when you have extra cash in the bank. Building a sizable emergency fund takes time, though. While I’ve worked hard to grow my emergency savings this year, I haven’t finished saving yet.

Life continues to get more expensive, and I want to be well-prepared if something unexpected happens. The last thing I want to worry about is racking up costly credit card debt. By boosting my savings goal, I’ll feel more comfortable about being able to handle anything that comes my way.

2. I’m boosting my retirement contributions

These last few years, I’ve done an excellent job of prioritizing saving for my eventual retirement. But I still feel as if I have work to do to catch up. Like many young adults, I had minimal extra cash to contribute to my IRA account throughout my 20s. Now that I have more money to prioritize this goal, I plan to boost my retirement account contributions.

For this reason, I’m setting aside more money in my savings account. Why? I like to have these funds sent to my savings account regularly to ensure I don’t accidentally spend them before they are sent to my retirement accounts. I also have multiple retirement accounts, so this strategy keeps things more organized for me.

3. I hope to increase my income

As a self-employed freelance writer, I have more control over how much I earn than the average employee. I can set higher goals for myself and put in the work to increase my income. I hope to continue to increase my income in 2024. Since I’ll likely make more, putting extra cash in my savings account will be possible. I don’t want to waste my extra earnings.

Do this to stay on top of your savings goals

You’re not alone if you hope to reach your savings goals in 2024. Saving more money is a common goal for people of all ages. But when life gets busy, it can be easy to be forgetful. You may spend all your extra money, rather than transferring it to your savings account.

One tip to help you meet a goal like this is automating your savings. Through your bank’s mobile app or website, you can set up automated savings contributions so you don’t have to manually transfer money from your checking account to your savings account. Doing this can make saving effortless and less stressful. I follow this strategy myself — and it works.

One final suggestion: Keep your savings in a bank account that earns interest. Interest can help you reach your savings goals sooner. For this reason, I keep my savings in a high-yield savings account instead of my checking account. Review our list of the best high-yield savings accounts to find the right account for your needs.

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