Six Reasons Why You Need To Automate Your Banking

Saving money can be challenging, especially if being organised doesn’t come naturally. One of the best ways to build your savings consistently is to automate your banking.

I am a huge advocate of doing things to make your life easier and to save time. Automating your finances can do both of those things, and it help you reach your goals quicker. Here’s why automating your savings will help your finances.

When you automate your banking it cuts out a lot of the effort

Adding in some simple automations can help ensure you’re consistent without a lot of effort. Once they’re initially set up you don’t need to think about it, save that brain power for something else.

You can set up regular transfers into savings accounts and pots. You might want to save into certain pots every month just after payday and other ones you may want to do weekly or bi-weekly. I even have automations for when I mark a book as complete it saves me £2!

You don’t need to worry about forgetting to save money as automations make it effortless, and you’ll stay on track.

It will help you prioritise saving

When you automate you’re paying yourself first. This means you’re prioritising saving over spending and that money will go straight towards your financial goals.

Over time you’ll forget it’s even happening and the growth in your savings will happen without you even knowing.

When you automate your banking it helps reduce the temptation to spend

If you have to put your savings aside manually there’s the temptation to spend the money and not save.

When the money automatically goes into your savings you’re less likely to miss it or be tempted to spend it. This can work really well if the savings pots you’re paying into are hidden or in accounts you don’t use as often.

If you suffer from impulse spending then this can really help.

You’ll reach your financial goals faster

Whether you’re saving for a house deposit, a holiday or an emergency fund automation will help you get there quicker. Consistency is key for building your savings and automation does this. So even in small amounts you’ll see your balance growing.

And there’s nothing stopping you from adding extra at the end of the month if you have it spare.

When you automate your banking you’re taking advantage of technology

There’s so much amazing technology out there for us to take advantage of that we might as well use it. Most banks and financial institutions will allow you to automation savings, transfers and deposits. This is especially useful if you have multiple accounts.

You may also be able to set up spending roundups, or use apps like IFTTT to do slightly more complex automations. IFTTT can help with savings challenges like the 1p challenge, or like my book saving. These tools make it easier to build your savings with little effort.

You have peace of mind

One of the biggest benefits when you automate your banking is peace of mind. Whatever happens in your life this your savings will continue to tick away behind the scenes

Do you automate your banking?

Automating your savings is a simple but powerful way to help achieve your financial goals.

We use a lot of automation when it comes to our money so I’ll do a follow up post talking through some of the things we do. But of course these will be very unique to our financial situation.