No one likes taxes, but most of us rarely fail to send them in, either. This is because, for most full-time employees, taxes are immediately taken out of a paycheck. Try the same strategy with your savings.
If you use direct deposit, your employer can probably split your paycheck among several accounts. If not, most banks and investment tools allow you to set up automatic withdrawals. Either way, having an automatic deduction that you treat as importantly as taxes will make you less likely to fudge it. As personal finance blog Free From Broke explains:
When does the government take their taxes? Every time you get paid, automatically. The whole system is set up without you, or them, having to blink an eyelash about it. Think about it. When was the last time you worried about having to send in your taxes after you got paid? You didn't. In fact it was super easy (outside of the shock of how much they take).
For a similar reason, contributing to your 401(k) or other employer investment accounts is a good idea, as you can automatically deduct money and never miss it. Be sure to discuss your options with your employer, as you may be able to adjust the amount of money deducted based on your paycheck, which can be extremely helpful if it fluctuates.
How to Put Away Savings (Just Like the Government Does With Your Money) | Free From Broke via Rockstar Finance
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