Guide to saving money

Guide to saving money

Whether you're saving up for unforeseen expenses or something special, here are some tips for how to go about it. Most people open a savings account and put a set amount into it each month. However, there are other ways of setting money aside that could even save you money in the process.

7 savings tips

  • Keep an overview of what you earn and what you spend
    Our KBC Touch app's 'Income & Expenditure' feature gives you a clear picture of where most of your money is going to and where you can make savings
  • Use standing orders to save yourself having to keep remembering to set aside some money
  • Compare prices when making major purchases
  • Try to cycle more often instead of travelling by car to save on fuel and do your bit for the environment in the process
  • Take advantage of price reductions and special offers
  • Plan your holidays in advance so you can compare prices and benefit from early booking promos

Save the same amount every month

Whether you're saving for something special or just building up a reserve, the easiest way to do so is by saving a fixed amount regularly (every month, for example). In this way, you make sure you save instead of spending that money.

Choose a realistic sum so as not to leave yourself in everyday financial difficulties by trying to save overly large amounts. Depending on your personal situation, it's advisable to save a certain percentage of your salary. If you keep doing that consistently, you'll end up with a nice nest egg in your savings account.

Save what you have left over

Besides the fixed savings method, you can also choose to save whatever you can spare. This means that you choose to leave a certain amount in your current account at the end of the month. And save anything above that amount. This allows you to avoid quickly getting into financial difficulties if you're faced with more costs than usual in some months.

Traditional savings account

The safest way to save is by opening a savings account. It lets you save without risk and you know in advance how much interest you can expect to earn. Interest rates can of course change due to external influences like the European Central Bank.

Not only can you save for yourself, but you can also open special savings accounts to easily save for loved ones such as your children. A savings account also lets you decide how much you want to save and when. So, if there are months when you're a bit short of cash, you just save a bit less.

Save over a fixed period of time

If you have money that you can spare, you can also save it by placing it on deposit for a fixed time. A time deposit account gives you the certainty of knowing that at the end of a specific term you'll have a tidy sum waiting for you. That's because the money you deposit is held for a fixed term at a fixed rate of interest that's guaranteed when you open the account. So, any change in interest rates after you open it has no influence on the rate you get for your investment. Just as with a savings account, your capital is guaranteed.

The advantage is that the rate of interest is often higher than for an ordinary savings account. On the other hand, you pay a higher rate of withholding tax (30%). Also, there's no tax-exempt tranche like for regulated savings accounts.

If you decide to open a time deposit account, you need to be sure that you can do without the money until the end of the term. If you do end up needing to access your money early, you can cash in the investment, but you'll be charged for doing so.

Was this page useful to you? Yes No

What to look out for when buying on finance

Need a new mobile, laptop or TV fast? Buying on finance or credit is an option. What should you look out for?
What to look out for when buying on finance

How much should you save each month?

Whatever you're saving for, it pays to put money aside on a regular basis
How much should you save each month?

Saving by standing order

The easy way to save and build up a nice sum.
Saving by standing order
KBC uses cookies to make your online experience easier and to fit your needs and preferences. By browsing the KBC site, you agree to the use of these cookies. Learn more and see how to decline cookies?Click here.