StashLearn
Get the app
Get the app

Join millions of investors on Stash

Investing, simplified

Start today with as little as $5
Get the app
Teach Me

How to Put Money Away for Short-Term Savings

July 29, 2019

Tip of the Week

Prioritize putting money away for short-term savings goals.

1 min read

You’re probably familiar with the idea of long-term savings goals—saving money for retirement or buying a house, for example. But it’s important to put money away for more immediate expenses and your short-term financial goals too.

Jargon Hack

What is short-term savings?

Short-Term Savings

Money set aside for upcoming expenses, such as vacations or holiday gifts, that you keep in an easily accessible account.

Find out

Strategies

Note: Psychologically it might be easier to meet a short-term savings goal, because it involves a smaller amount of money than the cost of a long-term savings goal.

Example:

If you put away $20 a week, at the end of one year you will have $1,040.1

Jargon Hack

What is long-term savings?

Long-Term Savings

Savings you let sit in an investment or high-yield savings account for years, often for bigger goals such as retirement, or buying a house.

Find out

Jargon Hack

What is discretionary income?

Discretionary Income

Money left over after you’ve paid your monthly essentials, such as rent or mortgage, student loans, and utilities.

Find out

Make your future money

Learn more about Stash Retire

Start now

Make your future money

Learn more about Stash Retire

Start now

Make your future money

Learn more about Stash Retire

Start now

By Stash Team

1Expected returns are hypothetical in nature and may not reflect actual future results.

Investment Profile

Bonds Worldwide

An International Bond ETF on Stash

Learn more
Explore more articlesChoose a topic to learn more about
Careers budgeting love and money pop culture social media
Disclaimers

This material has been distributed for informational and educational purposes only, represents an assessment of the market environment as of the date of publication, is subject to change without notice, and is not intended as investment, legal, accounting, or tax advice or opinion. Stash assumes no obligation to provide notifications of changes in any factors that could affect the information provided. This information should not be relied upon by the reader as research or investment advice regarding any issuer or security in particular. The strategies discussed are strictly for illustrative and educational purposes and should not be construed as a recommendation to purchase or sell, or an offer to sell or a solicitation of an offer to buy any security. There is no guarantee that any strategies discussed will be effective.

Furthermore, the information presented does not take into consideration commissions, tax implications, or other transactional costs, which may significantly affect the economic consequences of a given strategy or investment decision. This information is not intended as a recommendation to invest in any particular asset class or strategy or as a promise of future performance. There is no guarantee that any investment strategy will work under all market conditions or is suitable for all investors. Each investor should evaluate their ability to invest long term, especially during periods of downturn in the market. Investors should not substitute these materials for professional services, and should seek advice from an independent advisor before acting on any information presented. Before investing, please carefully consider your willingness to take on risk and your financial ability to afford investment losses when deciding how much individual security exposure to have in your investment portfolio.

Past performance does not guarantee future results. There is a potential for loss as well as gain in investing. Stash does not represent in any manner that the circumstances described herein will result in any particular outcome. While the data and analysis Stash uses from third party sources is believed to be reliable, Stash does not guarantee the accuracy of such information. Nothing in this article should be considered as a solicitation or offer, or recommendation, to buy or sell any particular security or investment product or to engage in any investment strategy. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission. Stash does not provide personalized financial planning to investors, such as estate, tax, or retirement planning. Investment advisory services are only provided to investors who become Stash Clients pursuant to a written Advisory Agreement. For more information please visit www.stashinvest.com/disclosures.