Keep more of your paycheck


Of course this is definitely a personal preference but this is how I feel about it. A tax refund can be a welcome thing when you’re living paycheck to paycheck. But a refund means you’re letting the IRS hang on to too much of your paycheck throughout the year. Your tax refund represents an interest-free loan to the government.

You can keep more of your money each month – and use it to boost savings – by adjusting your tax withholding. You can ask your human resources department at work for a new W-4 to claim more allowances, which will lower the amount of taxes withheld from your paycheck. You can use the IRS Withholding Calculator to figure out how many allowances to claim so you don’t have too much or too little withheld from your paycheck. 550437717-56a9392b5f9b58b7d0f961d7

Check out this scenario. If you received the average refund in 2016 of $2,732, adjusting your withholding could put $227 back into your paycheck each month. If you invested that amount each month at a 7% interest rate starting at age 25, you’d have nearly $600,000 by age 65. THAT’S HUGE!


Reduce wasteful expenses

If you find  you’re spending way to much on things you don’t need, those WASTEFUL expenses should be the FIRST things you do away with! Get rid of this poison from your life!

It can really help to visualize how much you can save by cutting out little things like coffee and a doughnut every morning before work.

Based on figures from Fort Pitt Capital, if you gave up buying a coffee and a doughnut twice a week, you could save an estimated $40 per month. If you were to invest that amount each month instead with a 7% annual return, you would have $32,402.87 after 25 years for that one change alone!  THAT’S MORE AWESOMENESS!!

I wish you folks continued success in your savings journey. The EARLIER you get started the better! Please comment with your own strategies and ideas. I’d LOVE to hear from you!

Thanks for reading,


Leave a Reply