Creating a Short-Term Savings Bucket

January 24, 2018
Updated 1mo ago

Your Cheddar hosts Kristen Scholer and Tim Stenovec discuss how to save money for something you'd like to purchase in the near future. What to go on a lavish vacation? You may have to start saving a year in advance.

Short-term goal savings is usually saved for one-three years out and you want the funds to be liquid. If you are going to spend $5,000 on a vacation in one year, you'll want to divide that cost by 12 months. You'll see that you need to save $417 dollars a month leading up to your getaway.