Why Should You Save Money?
Saving money can be difficult to do but like any other skill saving gets easier with practice. It’s always a good idea to save so that you have cash on hand for emergencies, sudden loss of income, major purchases or irregular spending. Savings will also be required to buy a property (20% deposit). A good indicative range of the level of savings you should aim for are enough to support yourself and your dependents for between three to six months i.e. three to six months net annual income.
Where should you keep your savings?Savings should be kept where you can access them easily – i.e. an accessible on-demand deposit account. The government’s Deposit Protection Scheme covers savings up to €100,000 per person. The following list sets out a number of instant access savings accounts as recommended by www.moneyguideIreland.com:
- KBC (Smart Access) 1.5%. Min €3000 Max €100k (1.75% if you have a current account).
- RaboDirect 1.5% (online only). Min €1 Max €20k.
- PTSB 25% – Online Only. Min €1 Max €50k.
- Nationwide UK (Ireland ) 1.01% (Min 2k € Max 2m)