April is Financial Literacy Month

Posted on April 5, 2022

Here are 10 things you can do this month to meet your financial goals.

Automate everything. The easiest and most effective way to save is automatically. Set a goal for how much you would like to save each month. Then, set up a monthly transfer from your checking to your savings account. You can also set up automatic payments for your credit card to avoid late fees.
Increase your DCP contribution. If you have a DCP account with the state of Washington, consider increasing your monthly contribution amount by 1 or 2 percent. For example: if you’re currently contributing 3% of your salary, bump it up to 4%. Your future self will thank you. Use the DCP calculator to see how much a small change can make a big difference over time.
Estimate your retirement benefit. Use the DRS Benefit Estimator tool to get an idea of your monthly retirement income. This calculator will allow you to see a private preview of what your monthly income may look like. Log in to your account and select ‘Benefit Estimator’ to see your estimate.
Talk about your finances. Have a conversation with your spouse, siblings, your kids, or your grandkids. Talk about what’s helped you in your financial journey. Help each other make a plan.
Read a finance book or listen to a money podcast. Do some research online and find a book, article, or podcast that sounds interesting. Some of the most popular topics include creating a savvy budget, learning about the stock market, and getting out of debt.
Know where you stand. If you have any outstanding debt, take some time to know how much you owe and what the APR (annual percentage rate) is for each credit card or loan. Generally, it’s a good idea to focus on paying down the debt of the card with the highest APR first.
Consider opening a High Yield Savings Account (HYSA). The average rate of a standard savings account is 0.006%. However, with a HYSA, that rate can be closer to 0.50%. If you have $1,000 in your savings account, you could be generating $5 in interest each year instead of $0.06.
Track your spending. Seeing where your money is going can help you understand the bigger picture. If you already have a budget – great! Take a moment to review your expenses from last month and see if want to make any changes to your purchases this month.
Set some financial goals. Would you like to buy a house? Go on a cruise? Pay off your debts? Set short-term and long-term goals. Then, make a plan for how you’re going to meet those goals.
Have a savings account just for your emergency fund. If your car breaks down, or you receive a big medical bill, it’s helpful to have money set aside for the unexpected. Generally, it’s recommended that you have 3-6 month’s worth of living expenses set aside. Start with a small goal of $500 and build from there.

More resources:

Financial Wellness Library from VOYA
America Saves – A nonprofit that encourages, and supports low- to moderate-income households to save money, reduce debt, and build wealth.