Save | Practical Money Skills

SHORT TERM

Art supplies
Musical instrument
Sporting equipment

MEDIUM-TERM

Tablet, smartphone, or laptop
Holiday spending money
New bike

LONG-TERM

University
A car
Holiday

Short-term goal (1 month)
What item are you saving for?
How much does your goal cost?
How much will you contribute weekly?
Calculate
Medium-term goal (2-12 months)
What item are you saving for?
How much does your goal cost?
Calculate
Long-term goal (over a year)
What item are you saving for?
How much does your goal cost?
Calculate
Saving It's all about the interest
1

Savings accounts enable you to keep your money safe and help it grow with interest. You can open an account and start saving at any age with the help of your parents.

2

The longer you leave your savings untouched in a bank, the more your money will grow. You should limit how often you withdraw money from your savings account and only do so if you really need it.

3

Compound interest is when you earn interest on both the money you’ve saved and the interest you earn.

4

The average savings account interest rate is currently 0.06%, but can vary between financial institutions and over time. If you save a little each week, your savings will grow over time with interest.

How will your savings grow?
Initial balance or deposit
Interest rate you expect to receive on your savings
%
Amount of savings you will add each year
Number of years
Calculate
1
TRUE OF FALSE? The longer your money is in a savings account, the more money you'll earn.
Correct!
Not quite. In a savings account, your money accumulates interest, so you'll have more the longer it stays in that account.
2
TRUE OF FALSE? The easiest way to save your money is to pay yourself first.
Correct!
Not quite. It’s easy to pay yourself by putting a portion of what you earn in a savings account.
3
TRUE OF FALSE? Compound interest is when you earn interest on both the money you’ve saved and the interest you earn.
Correct!
Not quite. Compound interest is when you earn interest on the money you’ve saved as well as the interest you earn.
4
TRUE OF FALSE? The interest rate on a savings account decreases as you deposit more money.
Correct!
Not quite. As you deposit more money into a savings account, the interest rate increases.
5
TRUE OF FALSE? A university fund is an example of a short-term goal.
Correct!
Not quite. A university fund can take a long time to save up for.
You’re now a savvy saver!