Savvy consumers understand there are numerous reasons to save money for future expenses, such as emergencies or significant life events like purchasing a home, funding a child’s education, or retirement at the end of a career.

Another compelling reason is inflation.

It might seem counterintuitive because as prices rise, it appears wiser to spend sooner rather than later. Why not make purchases before prices climb even higher?

The flaw in this logic is that not everything can be bought now, and as inflation erodes your purchasing power, inevitable future expenses will likely cost more tomorrow than today. More savings are required to bridge this gap.

The extent of the increase depends partly on the rate of inflation, which measures how quickly prices rise over time.

Over the past 20 years, the U.S. Bureau of Labor Statistics reported monthly inflation rates ranging from a high of 9.1% in June 2022 to lows of 0% in February and September 2015. There was only one instance, during the Great Recession in 2009, when the inflation rate turned negative, a phenomenon known as “deflation.”

Historical trends suggest that current high prices are unlikely to revert to previous levels in the short term. Instead, prices are more likely to continue rising, albeit sometimes at a less painful pace.

Commit Daily and Weekly

So, how can you save more money? This seems particularly challenging when prices rise, and your income doesn’t keep pace.

One way to find good saving strategies is by participating in “American Savings Week.” The annual event, sponsored by the nonprofit Consumer Federation of America, is described as “an annual celebration and a call to action for everyday Americans to commit to saving successfully.”

Monday: Automate Your Savings

Setting your savings to automate can help you save more without having to think about each contribution to your savings account.

Tips:

1. Take the “American Savings Pledge” to set a savings goal and make a specific plan to improve your financial habits.

2. Automate your savings by having deposits directly transferred to your savings account and setting up monthly transfers from your checking account to your savings account.

3. Review how much you’ve automatically saved and consider if you can increase these amounts to save more.

4. Share your commitment to automatic savings with your family and friends.

5. Invest in a high-yield savings account to increase your savings interest income. A higher yield can help offset the effects of inflation.

Tuesday: Save for the Unexpected

Unexpected expenses can disrupt your savings plan and wreck your budget. Saving in advance for emergencies can help minimize the damage and get you back on track faster.

Tips:

6. Open an emergency savings account today if you don’t have one.

7. If you do, reassess how much you’ve set aside and consider if you can save more to ensure you’re prepared for any surprises.

8. Share your commitment to building emergency savings with family and friends.

Wednesday: Save for Major Milestones

Saving isn’t just for emergencies. This important personal finance habit can also help you afford a home, seize educational opportunities, or prepare for retirement.

Tips:

9. Create a savings plan for your short-term, medium-term, and long-term financial goals, such as buying a car, covering your child’s education expenses, or feeling financially secure when you stop working.

10. Share your plans and savings goals with your family and friends.

Thursday: Paying Off Debt Is Saving

Paying off debt might not seem like saving, but it frees up funds so you can save more for other needs and desires.

Tips:

11. Make a plan to pay off any loans, credit card balances, or other debts you might have.

12. Consider refinancing or restructuring your debt to lower your monthly payments or total interest costs, or to pay off your debt faster.

13. Share your debt reduction plan with family and friends.

Friday: Saving Is for Every Age

Saving isn’t exclusive to the young or the elderly. It’s important for everyone, regardless of age.

Tips:

14. Share your personal “money story” and saving plans with members of older and younger generations in your family.

15. Help your children open a savings account so they can set aside money for their important goals.

More Tips for Saving Money

Opening a savings account and paying off debt aren’t the only ways to boost your savings. You can also focus on cutting expenses or increasing your income to create more opportunities for saving.

Tips:

16. Try negotiating a raise with your employer.

17. Look for a second part-time job.

18. Turn your hobby into a side hustle.

19. Learn about investing for higher savings returns.

20. Look for ways to reduce housing, car, utility, grocery, streaming services, and other monthly expenses.

21. Ask your tax preparer about tax deductions and credits that could lower your income tax.

How Credit Cards Can Help You Save Money

Credit cards can be a costly form of debt. But if you take full advantage of the opportunities they offer, they can also help you save money.

Tips:

22. Apply for a new card with a cash signup bonus.

23. Pay off your card balance each month to avoid interest charges.

24. Apply for low or no annual fee reward cards that offer cash back, shopping points, airline miles, hotel stays, or other benefits.

25. If you frequently use enhanced benefits to offset the annual fee, consider applying for a premium travel card.

By now, saving might seem like a daunting task. Fortunately, it doesn’t have to be overwhelming. Remember, while American Savings Week is officially celebrated once a year, these tips can help you boost your savings all year round and for many years to come.