Save 1 percent of your earnings monthly
Setting aside a small, incremental amount of your earnings will help you slowly build savings. One way to do that is to trick yourself by budgeting less than what you really earn.
"If you've recently started your first job, it's a great idea to budget as if you're earning just 85 cents on the dollar and put away the rest," Sweeney says.
Here are some suggestions from Fidelity to find the cash to save a bit more:
- Share baby-sitting duties with friends instead of paying a sitter.
- Turn off your lights and appliances to lower your electric bill.
- Take advantage of coupons, as well as senior, student or veterans discounts.
- Plan a "staycation," or vacation in the offseason.
- Allocate your savings on a loan refinance into your retirement account.
- Sign up for employee perks such as pretax public transportation programs or a health savings account.
- Put yourself on a cash allowance, especially if you're prone to impulse buys.
Every time you spend a little less, make sure you put that extra money into your savings account. Don't have one? Compare savings accounts all in one place.