Saving and an Emergency Fund
What it is
Section titled “What it is”Setting aside a small cushion of money for surprises.
Why it helps you
Section titled “Why it helps you”A cushion means one bad week doesn’t become a disaster. Even a small one brings real calm.
Good to have first
Section titled “Good to have first”A Budget.
This opens up
Section titled “This opens up”Growing Your Money.
Where to get help
Section titled “Where to get help”Make a simple plan
Section titled “Make a simple plan”An essential guide to building an emergency fund (CFPB) A short, plain guide from the Consumer Financial Protection Bureau (CFPB), a government agency. It helps you pick a small goal, find money to save, and make saving automatic.
- Cost: Free
- Who can use it: Anyone
- How to start: Read the first part. Then pick one small goal, like your first $50.
- Good to know: No account or ID needed to read it.
GreenPath Financial Wellness A nonprofit with free, private counseling sessions. A counselor can help you find room in your budget to start saving.
- Cost: Free counseling sessions. Some special services have a fee.
- Who can use it: Anyone in the U.S.
- How to start: Call 1-800-550-1961. Say: “I want help starting an emergency fund.”
- Good to know: You don’t need papers to start. A rough idea of your income and bills helps.
Keep your savings safe
Section titled “Keep your savings safe”FDIC BankFind A government search tool. Type in a bank’s name to check that it is real and FDIC-insured. “Insured” means the government protects your money if the bank fails, up to at least $250,000 per person at each bank.
- Cost: Free
- Who can use it: Anyone
- How to start: Search for the bank’s name before you open a savings account.
- Good to know: For a credit union, use the Credit Union Locator instead. Some money apps are not banks. Check who actually holds your money.
If you only do one thing first
Section titled “If you only do one thing first”Open a savings account next to your checking account, at the same bank or credit union. Put in a small amount, even $5. If you can, set it to move a few dollars over every payday. Small and steady adds up.
Watch out for
Section titled “Watch out for”- Keeping cash where others can find it. Cash at home can be lost, stolen, or taken. An insured account is safer.
- Savings in an account someone else controls. If a parent or partner is on the account, they can take the money. Open one in your name only.
- “Too good to be true” savings offers. Very high rates may come with hidden rules. Read the fine print, and check that the bank is insured.
- Fake bank texts and emails. A real bank won’t text you a link asking for your password or PIN. Call the number on the back of your card instead.
- Benefits with savings limits. Some benefits, like SSI (Supplemental Security Income), have limits on how much you can have saved. If you get benefits, ask your caseworker or a legal aid office how saving affects them.