May
16
2023

8 Ways to Stay Motivated to Save Money

By | Budgeting & Goals, money | Comments Off on 8 Ways to Stay Motivated to Save Money

If you find your focus on saving money is losing steam, don’t give up. There are some simple habits that can help you get on track and boost your cash reserves without feeling too much of a pinch.

Here, you’ll learn eight habits that can help you get on top of your money and save for short-term and long-term goals that really matter. Whether that means the dream of booking a beach house next summer or putting away enough for your baby’s future education, you’ll see that there’s no mystery to being a smarter saver.

1. Finding the ‘Why’

Saving just to save may not be enough for some to stay motivated. Instead, it could be helpful to figure out your own personal “why.” Why are you saving, what are you saving for, and how long do you need to save to get it?

It can be easy to start saving and lose motivation when life gets in the way: The bills stack up, emergencies happen, the car won’t start, and on and on and on. However, if a person has a reason for saving, or a money goal, in the back of their mind it may be easier to stay the course.

By the way, a person’s savings motivation can be for literally anything their heart desires. Sure, it can be to save for retirement, to buy a house, or to start a family, but it can also be to go on vacation, renovate the kitchen, buy the latest mobile device, or to just have enough in the bank so they can have peace of mind. Make it whatever you want.

When finding money motivation, it can be useful to try to think about financial priorities. A person needs to pay for food, shelter, and clothing, but do they need to have a new phone? Or a new car? A new designer watch or the latest gadget? Before setting a budget and starting a new savings journey, it’s important to think about personal priorities.

2. Building a Budget

To help clarify savings goals, try building a personal budget around the priorities mentioned above. A personal budget makes a great road map for the future and can help keep you motivated to save because you know exactly where your money is going, and how it can help you get the things you want.

•   To create a budget, first, start tracking all personal spending. To do so, gather all account information and sift through a few month’s worth of expenses. Don’t forget about commonly forgotten expenses, such as birthday gifts for friends and family or insurance premiums.

•   Next, determine how to categorize expenses. Getting too granular can make it challenging to track. Consider keeping it generic with categories like “groceries,” “shopping,” “entertainment,” “health,” “home,” “bills,” “medical,” “car payment,” etc. Try to make sure every dollar spent has a home somewhere.

•   Then, plot out the next few months of anticipated expenses and see how much cash is left over. This can go into some type of savings account.

•   If you want to save more, you can take a critical eye to your purchases and see where you can cut back on spending. For example, not using that gym membership? Cut it. No longer reading that magazine subscription? Bye-bye. Every little bit can help.

3. Saving Little by Little

Once your priorities are in focus and your budget is set, it’s time to actually start saving. Yes, it can be thrilling to drop a whole heap of cash into a savings account, but the thrill can wear off after a while. Instead, try saving little by little. This way, you won’t feel the pinch and it won’t feel like you are missing out on the fun stuff just to save for a hypothetical future.

One strategy is to automate your finances and set up recurring transfers, so that money is saved without much effort. This can help a savings account add up without feeling like an effort, which could have major effects on your motivation.

4. Try Walking Away From Impulse Spending

There are a lot of spending triggers in this world. Sales, pretty items, shiny objects, nights out, the list goes on and on. Sometimes, the best thing people can do is walk away before purchasing or saying “yes.” Take a night out with friends as one example. Before immediately responding “Sure,” you could say, “Can I get back to you?” and then really think about whether you really want to attend or if it’s just a habit. Set an alarm for 30 minutes, and decide when the timer is up. Allowing yourself a minute to step back, can help you be intentional with your spending.

For bigger purchases, people can try the 30-day rule. It’s a financial strategy that can help people regain control over impulsive and compulsive shopping. Basically, if you see something you want to buy but don’t necessarily need, you just stop and walk away. Not just for a minute, but for a full 30 days.

Next, write down the item you want to buy and where you can find it, along with the price. Put it away and set a calendar reminder 30 days from that date.

At the end of that timeframe, if you really still want the item, you could return and purchase it. However, after a month has passed, you may no longer feel the urge to buy or may have forgotten the item altogether. As a bonus, if you get to the end of the 30-day block and decide you no longer need the item, you could put the amount you didn’t spend into a savings account to use the money toward your priority list instead.

5. Setting Short-Term Savings Goals

Saving for long-term goals, like retirement, is important, but don’t overlook the small stuff. Setting a savings goal can help people know there is an end in sight.

One place to start is establishing an emergency fund. Having an emergency fund can provide stability should you run into, well, an emergency.

Other shorter-term goals might include things like new furniture, a vacation, or a renovation. Having these smaller goals can make saving for something as grandiose as retirement seem less intimidating.

Recommended: Guide to What Is and Isn’t a Financial Emergency

Whatever it is, find a number and stick to it. Then, once you hit that goal, you can set another and start the entire process over again.

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6. Remembering to Reevaluate Every Now and Then

After setting a priority, budget, and goal, it’s important to also set reminders to reevaluate those markers from time to time too. One way to do this could be making it a New Year’s resolution to look at money goals and see if they are still in line with your personal goals.

Life changes and finances may need to change with it. It’s okay to reallocate the money already saved and put it in a new bucket.

Perhaps you began saving for a vacation but had a baby along the way and want to start saving for their college education instead. Or maybe someone switched jobs within the last year and is making more money now. They can readjust their budgets and savings plans to fit their new financial outlook. The same goes for those who may have lost work too. Reevaluating, reprioritizing, and reallocating can help make financial change more manageable.

7. Telling Others About Savings Goals

Sometimes, the best thing one can do to stay motivated is to let others know about their plans. You can let your inner circle in on your savings goals and priorities and ask those trusted few to help you stay on track.

By letting people in on plans, you can also avoid any tricky situations, like having to say “no” to events, parties, or nights out because people already know you are trying to save. The inner circle could also help keep you on the straight and narrow when it comes to wants vs. needs and help to keep financial goals in sight.

Recommended: How to Reward Yourself Without Breaking the Budget

8. Organizing Your Savings

Being able to see your savings grow is perhaps the best money motivator out there. There are a number of financial apps that can help you see your finances all in one place. Some even offer visual representations, such as bar charts and graphs, so you can see just how much your savings have grown over time. That can be very motivating!

The Takeaway

It can be easy to lose motivation when saving money, but with a little effort, you can adopt new habits to help you through. Those might include building or tweaking a budget, trying the 30-day rule, setting short-term goals, and sharing your financial goals with a few trusted friends or relatives.

SoFi can also be a trusted partner in helping you save money. With a SoFi Checking and Savings Account, you can create multiple financial Vaults within your account to help you save toward specific goals. You’ll also earn a competitive annual percentage yield (APY) and pay no account fees, both of which can help your savings grow faster.

Save smarter with SoFi.

SoFi® Checking and Savings is offered through SoFi Bank, N.A. ©2024 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender.
The SoFi Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

SoFi members with direct deposit activity can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Direct Deposit”) via the Automated Clearing House (“ACH”) Network during a 30-day Evaluation Period (as defined below). Deposits that are not from an employer or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Direct Deposit activity. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. SoFi members with direct deposit are eligible for other SoFi Plus benefits.

As an alternative to direct deposit, SoFi members with Qualifying Deposits can earn 4.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Qualifying Deposits means one or more deposits that, in the aggregate, are equal to or greater than $5,000 to an account holder’s SoFi Checking and Savings account (“Qualifying Deposits”) during a 30-day Evaluation Period (as defined below). Qualifying Deposits only include those deposits from the following eligible sources: (i) ACH transfers, (ii) inbound wire transfers, (iii) peer-to-peer transfers (i.e., external transfers from PayPal, Venmo, etc. and internal peer-to-peer transfers from a SoFi account belonging to another account holder), (iv) check deposits, (v) instant funding to your SoFi Bank Debit Card, (vi) push payments to your SoFi Bank Debit Card, and (vii) cash deposits. Qualifying Deposits do not include: (i) transfers between an account holder’s Checking account, Savings account, and/or Vaults; (ii) interest payments; (iii) bonuses issued by SoFi Bank or its affiliates; or (iv) credits, reversals, and refunds from SoFi Bank, N.A. (“SoFi Bank”) or from a merchant. SoFi members with Qualifying Deposits are not eligible for other SoFi Plus benefits.

SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.00% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.

SoFi Bank reserves the right to grant a grace period to account holders following a change in Direct Deposit activity or Qualifying Deposits activity before adjusting rates. If SoFi Bank grants you a grace period, the dates for such grace period will be reflected on the APY Details page of your account. If SoFi Bank determines that you did not have Direct Deposit activity or $5,000 in Qualifying Deposits during the current 30-day Evaluation Period and, if applicable, the grace period, then you will begin earning the rates earned by account holders without either Direct Deposit or Qualifying Deposits until you have Direct Deposit activity or $5,000 in Qualifying Deposits in a subsequent 30-Day Evaluation Period. For the avoidance of doubt, an account holder with both Direct Deposit activity and Qualifying Deposits will earn the rates earned by account holders with Direct Deposit.

Members without either Direct Deposit activity or Qualifying Deposits, as determined by SoFi Bank, during a 30-Day Evaluation Period and, if applicable, the grace period, will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances.

Interest rates are variable and subject to change at any time. These rates are current as of 12/3/24. There is no minimum balance requirement. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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May
15
2023
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Understanding the Basics of an Employee Savings Plan

By | Budgeting & Goals, money | Comments Off on Understanding the Basics of an Employee Savings Plan

Here’s what an employee savings plan offers: It is a tax-advantaged investment plan that an employer makes available to members of their staff. The employer may or may not contribute a company match of some level in addition to the money contributed by their employees. These accounts can typically be used at a later date by the employees, who can tap the funds for long-term goals such as retirement or for healthcare expenses.

One benefit of employee savings plans is that they can simplify the saving process. The employer typically takes automated deductions from a worker’s paycheck before income tax is assessed. In this way, these savings plans may increase your contributions to retirement savings contributions while also saving on taxes.

What Is an Employee Savings Plan?

Some employers offer an employee savings plan to help employees invest for retirement and other long-term financial goals, like a down payment on a house. Leveraging an employee savings plan is one of the first steps to building a simple savings plan you can stick to.

Each employee chooses how much they want to contribute to the plan each month. That amount is then deducted from the employee’s paycheck each month. If paychecks are distributed biweekly, the contribution will likely be split up between the two.

The automated process can help make it easier to save, and employees generally have the option to change their contribution amount based on their needs and goals.

Employee savings plans contributions are made on a pre-tax basis. That means the funds are transferred to your savings plan before taxes are taken from your paycheck. This allows account holders to save money while paying taxes on a smaller portion of your salary.

In some cases, your employer may offer a matching contribution to any funds you contribute to your employee savings plan. Usually, there is a match limit equivalent to a certain percentage of your salary.

For instance, imagine your employer matches your contributions up to 3% of your salary and you earn $75,000 a year. That amounts to $2,250.

As long as you contribute at least $2,250 to your plan, your employer will give you the same amount, for a total of $4,500 — plus anything over that amount you decide to contribute.

Recommended: How to Switch Banks

Types of Employee Savings Plans

There are several types of employee savings plans you may have access to through your job.

Many organizations offer qualified defined contribution plans, which means it qualifies for pre-tax contributions and tax-deferred growth. Private companies offer these through 401(k) plans, while public or non-profit organizations generally offer 403(b) or 457(b) plans.

Another type of employee savings plan you may see is a health savings account (HSA). Some companies will offer this kind of account to their team.

If you have a high-deductible health plan (HDHP), this plan lets you save money tax-free to pay for qualified medical costs that aren’t covered by insurance.

A profit-sharing plan is less common, but also helps you save for retirement. Employees own shares of the company and receive distributions from the company either quarterly or annually. However, as an employee, you cannot add your own contribution to a profit-sharing plan.

A defined benefits plan, also known as a pension plan, is another type of employer-sponsored plan. In this type of plan, employees are offered a specific benefit, which may be based on factors like your years of service at the company.

These days, very few companies offer this type of benefit, instead opting to offer a 401(k) plan or other similar option.

What Are the Benefits of an Employee Savings Plan?

There are a number of advantages to using an employee savings plan. The first is that contributions are tax-free. In most cases, income taxes are paid at the time of withdrawal. That may reduce the amount of taxes you’ll have to pay on your overall salary.

So even though your take-home pay is smaller because of those automatic contributions, your taxable income is also less. Plus you have a growing investment account to help you prepare for retirement or other goals.

Another advantage of participating in an employee savings plan is that your employer could offer a free contribution match as part of their benefits package to retain team members. According to a Bureau of Labor Statistics report, 51% of employers who offer 401(k) plans provide some kind of company match.

Employee savings plans also come with larger annual contribution limits compared to individual retirement accounts (IRAs), which are also tax-advantaged. For the tax years 2023, the limit for employee savings plans is $22,500 . A traditional IRA, on the other hand, only allows you to contribute $6,500 for the tax year.

If you’re 50 years or older, both types of plans do allow for an extra catch up contribution. You can add an extra $7,500 for eligible employee savings plans in 2023, but only an extra $1,000 for your IRA.

Employer matches do not count towards your plan’s contribution limit.

Get up to $300 when you bank with SoFi.

No account or overdraft fees. No minimum balance.

Up to 4.00% APY on savings balances.

Up to 2-day-early paycheck.

Up to $2M of additional
FDIC insurance.


What to Look Out For

While there are a number of advantages that come with an employee savings plan, there are also some pitfalls to beware of. Consider these points:

•   Some employers require you to work at the company long enough to become vested before you can access your matched funds. Being fully vested means that you’ve reached the minimum number of years to be able to make withdrawals from your employer match.

•   If you leave the company before becoming vested, you do get all of the contributions (and growth) you’ve made in your plan. But if you leave before becoming vested, you may lose the matched funds from your employer.

In some cases, you may receive a percentage of that money based on how long you’ve been there. Either way, it’s important to find out these details from the human resources department at your company, especially if you’re thinking about a job change.

•   Another downside to an employer savings plan is that although your contributions are tax-free, you do have to pay federal and state income taxes when you make withdrawals.

•   Another factor to consider is your tax bracket. Some people may expect to be in a higher tax bracket during their prime working years, so the immediate tax deduction may be helpful. Others may end up being in a higher tax bracket after they’ve accumulated wealth over decades and reach retirement age.

•   In addition to paying income taxes on your withdrawals, employee savings plans also typically come with a 10% early withdrawal penalty if you take out cash from, say, a 401(k) before reaching 59 ½ years old. There are some exceptions to this penalty, but be aware of it should you be considering making an early withdrawal.

•   Also remember that your plan contributions are investments that are subject to risk. It’s not like a savings account through a financial institution that offers a yield based on your deposits. You will typically be responsible for crafting your portfolio and managing your investments. The options available to you may vary based on the specific plan offered by your employer.

•   No matter how much you contribute, the value of your plan is impacted by the performance of your investment choices, regardless of how much money you contributed over the years. It is also helpful to review your goals regularly and gauge your risk based on your time horizons.

For instance, investors may opt to invest in riskier investment vehicles when they’re younger because the potential for gains may outweigh the risk. As they get older and approach retirement, they may begin to allocate less money to those higher-risk investments.

•   Finally, be aware of any administrative fees that come with your plan. The average cost is 0.37% of invested assets per year for the largest plans and 1.42% for the smallest plans; fees will probably vary based on the plan.

Explore different options available within your plan to choose the one that makes sense in terms of both investments and fees.

Recommended: How to Automate Your Finances

Borrowing from Your Employee Savings Plan

Many employee savings plans designed to save for retirement allow you to borrow funds from your account if you choose to. The IRS has limitations, such as only being able to borrow the lesser of 50% or $50,000.

You’ll pay interest just as you would with any other loan, but that money gets paid back into your account. This may be one option to consider if you find yourself in need of cash, but there are several drawbacks to be aware of.

The loan terms only apply while you remain at the job providing the employee savings plan. If you leave your job with a loan balance, you must repay the full amount by the due date of your next federal tax return.

Another consideration is that if you don’t pay the loan back by its due date, it counts as a distribution and you will likely have to pay income taxes and penalty on the money.

You’ll also miss out on the growth those borrowed funds may have experienced, which could set back your retirement goals. When considering different types of savings accounts, it’s wise to acquaint yourself with a variety of possible scenarios.

The Takeaway

An employee savings plan can be an advantageous way to save towards retirement and other goals. It can be especially beneficial if your employer offers matching contributions, which can help boost your savings.

By starting early and automating the process, you can build an investment account with robust contributions throughout your career.

An employee savings plan may be just one part of a well-rounded financial portfolio, but there are other types of savings accounts that can be useful. For shorter-term goals, like an emergency fund, it may be worth looking into another type of account, like a checking or savings account.

SoFi Checking and Savings is an online bank account that allows users to save and spend in one place. You’ll earn a competitive annual percentage yield (APY) and pay no account fees, which can help your money grow faster.

SoFi Checking and Savings: See how we can help you meet your money goals.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

SoFi® Checking and Savings is offered through SoFi Bank, N.A. ©2024 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender.
The SoFi Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

SoFi members with direct deposit activity can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Direct Deposit”) via the Automated Clearing House (“ACH”) Network during a 30-day Evaluation Period (as defined below). Deposits that are not from an employer or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Direct Deposit activity. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. SoFi members with direct deposit are eligible for other SoFi Plus benefits.

As an alternative to direct deposit, SoFi members with Qualifying Deposits can earn 4.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Qualifying Deposits means one or more deposits that, in the aggregate, are equal to or greater than $5,000 to an account holder’s SoFi Checking and Savings account (“Qualifying Deposits”) during a 30-day Evaluation Period (as defined below). Qualifying Deposits only include those deposits from the following eligible sources: (i) ACH transfers, (ii) inbound wire transfers, (iii) peer-to-peer transfers (i.e., external transfers from PayPal, Venmo, etc. and internal peer-to-peer transfers from a SoFi account belonging to another account holder), (iv) check deposits, (v) instant funding to your SoFi Bank Debit Card, (vi) push payments to your SoFi Bank Debit Card, and (vii) cash deposits. Qualifying Deposits do not include: (i) transfers between an account holder’s Checking account, Savings account, and/or Vaults; (ii) interest payments; (iii) bonuses issued by SoFi Bank or its affiliates; or (iv) credits, reversals, and refunds from SoFi Bank, N.A. (“SoFi Bank”) or from a merchant. SoFi members with Qualifying Deposits are not eligible for other SoFi Plus benefits.

SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.00% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.

SoFi Bank reserves the right to grant a grace period to account holders following a change in Direct Deposit activity or Qualifying Deposits activity before adjusting rates. If SoFi Bank grants you a grace period, the dates for such grace period will be reflected on the APY Details page of your account. If SoFi Bank determines that you did not have Direct Deposit activity or $5,000 in Qualifying Deposits during the current 30-day Evaluation Period and, if applicable, the grace period, then you will begin earning the rates earned by account holders without either Direct Deposit or Qualifying Deposits until you have Direct Deposit activity or $5,000 in Qualifying Deposits in a subsequent 30-Day Evaluation Period. For the avoidance of doubt, an account holder with both Direct Deposit activity and Qualifying Deposits will earn the rates earned by account holders with Direct Deposit.

Members without either Direct Deposit activity or Qualifying Deposits, as determined by SoFi Bank, during a 30-Day Evaluation Period and, if applicable, the grace period, will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances.

Interest rates are variable and subject to change at any time. These rates are current as of 12/3/24. There is no minimum balance requirement. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SoFi Invest®

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SoFi Invest encompasses two distinct companies, with various products and services offered to investors as described below: Individual customer accounts may be subject to the terms applicable to one or more of these platforms.
1) Automated Investing and advisory services are provided by SoFi Wealth LLC, an SEC-registered investment adviser (“SoFi Wealth“). Brokerage services are provided to SoFi Wealth LLC by SoFi Securities LLC.
2) Active Investing and brokerage services are provided by SoFi Securities LLC, Member FINRA (www.finra.org)/SIPC(www.sipc.org). Clearing and custody of all securities are provided by APEX Clearing Corporation.
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Neither the Investment Advisor Representatives of SoFi Wealth, nor the Registered Representatives of SoFi Securities are compensated for the sale of any product or service sold through any SoFi Invest platform.

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May
15
2023

Top 10 Fun Things to Do When Visiting St. Louis

By | credit card, Money & Life | Comments Off on Top 10 Fun Things to Do When Visiting St. Louis

Welcome to your gateway to the Midwest: St. Louis! The city is a fun, energetic place to visit; it’s packed with culture, history, parks, and live music. If you play your cards right, you’ll never be bored in this Midwestern metropolis.

Whether you prefer to indulge in delectable dishes or marvel at historical landmarks, you’re sure to find something in St. Louis. So get ready as we journey from the top of the Arch to the endless city parks and beyond. You’ll learn not just the best things to do in the city, but also smart strategies about when to go and how to score deals.

Best Times to Go to St. Louis

The best time to visit St. Louis depends on your preferences and what you hope to see. However, for most people, the best times to visit St. Louis is likely to be in the fall or spring for two reasons. First, St. Louis can be bitterly cold in the winter and hot and sticky in the summer. For these reasons, you might prefer the milder weather in the fall or spring.

In addition, some of the city’s best events occur when the weather is less extreme. For instance, there is the St. Louis Renaissance Festival, which runs from September to October. There is also the Taste of St. Louis and the Great Forest Park Balloon Festival, both of which take place in September. If you visit these attractions, consider a travel credit card to earn some extra points or miles.

This isn’t to say there is nothing to do outside of the fall in St. Louis. In the spring, there is St. Louis Earth Day. Plus, baseball starts in spring, so it’s always a great time to catch a game.

On the topic of events, however, you might want to bundle up and head to St. Louis in the winter. One of the best events in the city is Soulard Louis Mardi Gras, which takes place in January and February. While it isn’t necessarily the best time to visit in general, it’s an amazing event if you love Mardi Gras. The St. Louis event features a family festival, scavenger hunt, and a cajun cook-off.

Bad Times to Go to St. Louis

Bad times to visit St. Louis will also depend on your preferences. However, there are certain things you may want to avoid:

•   Extreme weather: St. Louis can be extremely hot in the summer with temperatures above 90 degrees Fahrenheit and a hefty dose of humidity. This might complicate your summer travel plans. In the winter, temperatures can drop below freezing at times, with periods of snow and ice that make walking and driving dangerous.

•   Tourist season: St. Louis often experiences an influx of crowds in the summer months and around on holiday weekends. This can mean long lines at tourist attractions.

•   Baseball games: The St. Louis Cardinals tend to draw big crowds when there are home games. If you aren’t a baseball fan or don’t like crowds, it’s best to stay away, especially from the areas near the stadium.

•   Spring allergies: While spring is a great time to visit St. Louis, there can be a lot of pollen during this time. If you are highly sensitive to pollen, you may want to visit during a different time of year.

Average Cost of a St. Louis Vacation

The cost of a vacation in St. Louis depends on several factors, depending on where you stay, what you eat, and the length of your stay. Keep in mind that credit cards often include travel insurance to protect you against unexpected costs and cancellations. This is good in its own right and may keep you from spending on separate trip insurance.

You will likely find St. Louis to be more affordable than cities like New York or Los Angeles. Of course, the cost estimates are also different for individuals and couples. Here’s what to expect:

For individuals:

•   Hotels: $80 to $200 per day for mid-range hotels, depending on the location and amenities and what steps you take to save money on hotels.

•   Food: $25 to $50 per day.

•   Transportation: Public transportation is $1 per ride for buses and $2.50 for trains in St. Louis. Day passes cost $5. However, renting a car may be necessary, depending on where you are staying.

•   Attractions: $10 to $25 per attraction, depending on what you decide to see.

This works out to an average budget of about $120 to $275 per day for individuals. A cash back or miles credit card could help you offset some of that cost.

For couples:

•   Hotels: $80 to $200 per day for mid-range hotels, depending on the location and amenities.

•   Food: $50 to $100 per day.

•   Transportation: Public transportation is $1 per ride for buses and $2.50 for trains in St. Louis. Day passes cost $5. If you will be flying to St. Louis, look into using an airline credit card.

•   Attractions: $20 to $50 per attraction, depending on what you decide to see.

This works out to an average budget of about $155 to $400 per day for couples. If you are struggling with the cost, look into book now, pay later vacations, but be careful about incurring too much high-interest debt.

10 Fun Must-Dos in St. Louis

There are so many fun things to do in St. Louis that narrowing it down is tough. However, there are certain things you can’t miss, especially if you’ve never been to St. Louis. Those attractions are included here, as are some hidden gems you may not have considered.

This list is culled from crunching the top ratings found online for the best things to do in St. Louis, as well as picking the brains of seasoned travelers who’ve been to this Missouri city.

1. Visit Gateway Arch National Park

It’s difficult to think of a single attraction that is a stronger focal point in a city’s identity than Gateway Arch National Park in St. Louis. At 630 feet tall, the Gateway Arch is a feat of engineering and represents the connection St. Louis makes to the western United States. While scaling the Arch is the obvious highlight, there is also a museum on-site and plenty of walking trails around the monument. Tickets for the tram ride to the top and back typically range from $11 and up for kids to $15 and up for adults. gatewayarch.com/

2. Go on a Ghost Hunt in the Lemp Mansion

The Lemp Mansion is a historic estate located in the Benton Park neighborhood. The mansion was home to the Lemp family, who dominated the local beer market before Prohibition. However, Frederick Lemp, who ran the William J. Lemp Brewing Co., tragically died of heart failure. After William died, three Lemp family members took their own lives. Now, you can go on a ghost hunt at the Lemp Mansion, which is an ode to the home’s troubled past. The tours are typically $25 per person. lempmansion.com/isithaunted.htm

3. Go on a Tour at Anheuser-Busch

If you love beer (and even if you don’t), going on a tour at Anheuser-Busch is a must when in St. Louis. Tours start at $15 per person, including experiences like seeing the famous Clydesdales, meeting the brewmaster, and some beer samples. The brewery also features a beer museum, a gift shop, and classes. If tours aren’t your thing, you can also visit the beer garden or restaurant on-site. budweisertours.com/locations/tours.html

4. Check out Citygarden

Here’s one of the fun free things to do in St. Louis: If you enjoy modern art and the outdoors, you can’t leave without visiting Citygarden Sculpture Park. Located downtown, the park features various greenery, fountains, and most notably, an array of modern-art sculptures. There are 25 sculptures from 23 artists spanning 12 decades. This park allows dogs, which is perfect if you are traveling with pets. It’s also a fun thing to do in St. Louis with kids, and it’s wheelchair-accessible. citygardenstl.org/visit/

5. Enjoy Forest Park

Opened in 1876 and spanning 1,300 acres, Forest Park is one of America’s oldest and largest public parks. The park is so large that it contains several other major attractions, including the St. Louis Art Museum, the St. Louis Zoo, the St. Louis Science Center, and the Missouri History Museum. Admission to every one of these attractions is free, so you could easily spend multiple days just visiting Forest Park. forestparkforever.org/visit

6. Explore the Soulard Farmers Market

Located on the grounds of the “Grand Hall,” the Soulard Farmers Market is an open-air market and one of the oldest farmers markets in the United States. It features various fresh meats, produce, and baked goods. It features 147 stalls and is open Wednesday to Saturday year-round. While an ATM is on-site, the farmers market recommends bringing low-denomination bills if possible. soulardmarketstl.com/

7. Catch a Baseball Game

People are passionate about sports in St. Louis with baseball as the focus. Head to Busch Stadium to see the St. Louis Cardinals play. Even if you don’t love baseball, attending a game can be a great experience on a spring or summer evening. Grab a beer and hot dog, and soak in the crack of the bat hitting the ball and the oohs and aahs of the crowd. Credit card rewards sometimes give you cash back for entertainment, so don’t forget to earn extra points if you go to a game. mlb.com/cardinals

8. Traverse the Katy Trail

If you’re looking for an escape from the city, go for a walk or a bike ride on the Katy Trail. You can pick the trail up in St. Charles, just on the other side of the Missouri River. However, Katy Trail is the country’s longest developed rail/trail, spanning 240 miles between Machens and Clinton. It features 26 trailheads and four fully restored trail depots along the trail. mostateparks.com/park/katy-trail-state-park

9. Take a Ride to Union Station

St. Louis Union Station was once a bustling rail station, transporting more than 100,000 people per day at one point. President Harry Truman, Joe DiMaggio, and Joan Crawford all came through the station back in those days. Now, the station is home to attractions like the St. Louis Aquarium and the St. Louis Wheel. Unlike the museums at Forest Park, these attractions aren’t free, but adult tickets start at $25 for the aquarium and $15 for the Ferris wheel. If you’re struggling with the costs, building a travel fund can help. stlouisunionstation.com/

10. Visit the St. Louis Science Center

As mentioned earlier, the St. Louis Science Center is connected to Forest Park grounds and accessible via an aerial bridge in the park’s southeast corner. The museum has more than 700 interactive experiences within 10 galleries. Among those experiences are a planetarium and a four-story OMNIMAX® Theater. Note that while admission to the Science Center is free, the museum is closed on Tuesdays and Wednesdays. slsc.org/

Getting Around

As mentioned earlier, trains and buses are very cheap in St. Louis, so using them is a good idea if possible. While there are many great areas in the city, some of the best areas to visit are Midtown, Forest Park, and Soulard. Whether you are traveling alone or traveling with family, St. Louis has a lot to offer.

The Takeaway

St. Louis is known as the gateway to the West, but this exciting city has no shortage of things to do. With everything from farmer’s markets to haunted mansion tours, from museums to hiking trails, St. Louis has all the entertainment you need — and then some.

SoFi Travel is a new service offered exclusively to SoFi members. Earn 2x rewards when booking with your SoFi Mastercard or debit card. Then apply those rewards to your next trip when you book through our travel portal. SoFi makes planning a getaway fast, easy, and convenient — perfect for people on the move.


SoFi, your one-stop shop for travel.

FAQ

Is St. Louis good for tourists?

St. Louis is a great city for tourists, with free museums, outdoor parks, and the Gateway Arch. There’s more than enough to keep tourists entertained in the city.

What is St. Louis best known for?

St. Louis is known for many things, including the Gateway Arch, the Anheuser-Busch Brewery, and its various parks and museums.

How to spend 3 days in St. Louis?

Three days should give you enough time to see some of the city’s highlights. On the first day, you might visit the Gateway Arch, one of the city’s museums, and a brewery. On the second day, you could visit the botanical garden, Forest Park, and then go for dinner and perhaps see some live music. On the third day, you could explore Soulard, catch a baseball game, and if you prefer, see the Cathedral Basilica of Saint Louis.

Photo credit: iStock/Sean Pavone

1See Rewards Details at SoFi.com/card/rewards.

**Terms, and conditions apply: The SoFi Travel Portal is operated by Expedia. To learn more about Expedia, click https://www.expediagroup.com/home/default.aspx.

When you use your SoFi Credit Card to make a purchase on the SoFi Travel Portal, you will earn a number of SoFi Member Rewards points equal to 3% of the total amount you spend on the SoFi Travel Portal. Members can save up to 10% or more on eligible bookings.


Eligibility: You must be a SoFi registered user.
You must agree to SoFi’s privacy consent agreement.
You must book the travel on SoFi’s Travel Portal reached directly through a link on the SoFi website or mobile application. Travel booked directly on Expedia's website or app, or any other site operated or powered by Expedia is not eligible.
You must pay using your SoFi Credit Card.

SoFi Member Rewards: All terms applicable to the use of SoFi Member Rewards apply. To learn more please see: https://www.sofi.com/rewards/ and Terms applicable to Member Rewards.


Additional Terms: Changes to your bookings will affect the Rewards balance for the purchase. Any canceled bookings or fraud will cause Rewards to be rescinded. Rewards can be delayed by up to 7 business days after a transaction posts on Members’ SoFi Credit Card ledger. SoFi reserves the right to withhold Rewards points for suspected fraud, misuse, or suspicious activities.
©2024 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender. NMLS #696891 (Member FDIC), (www.nmlsconsumeraccess.org).




Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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May
15
2023

Top 10 Fun Things to Do When Visiting Costa Rica

By | credit card, Money & Life | Comments Off on Top 10 Fun Things to Do When Visiting Costa Rica

Considering a Costa Rica vacation? As part of Central America, Costa Rica is a beautiful country with lush rainforests, active (and safe) volcanoes, and pristine beaches. It’s a natural wonderland that’s become a favorite destination for those who want to explore its beautiful landscapes.

It can also be a convenient trip: Many cities offer direct flights, which means you shouldn’t have to devote too much travel time. Plus, if you’re happy with mid-priced restaurants and lodging, it’s an affordable country to visit compared to other popular travel destinations.

Keep reading to find out the best and worst times to visit, how much you can expect to spend, as well as some fun experiences and locations worth checking out while you’re there.

Best Times to Go to Costa Rica

There are two things to consider when planning a trip to Costa Rica: people and weather.

If you want to avoid heavy rain and tourists, the sweet spot for visiting Costa Rica is January and February. Not only is the weather dry and warm, but you won’t feel like you’re in a sea of people.

If you’re researching how to save money for a trip to Costa Rica, one of the best things you can do as a frugal traveler is book during the off season. With its rainforests, beaches, and and volcanoes, Costa Rica is a popular tourist destination for a variety of reasons. Determine what excites you the most to narrow down when you should travel so you’re not overwhelmed by fellow tourists and heavy rainfall.

Recommended: Credit Card Miles vs. Cash Back: How to Choose

Bad Times to Go to Costa Rica

As briefly mentioned above, the two things you want to keep in mind when visiting Costa Rica are weather (especially rainfall) and fellow tourists.

Costa Rica has an average temperature of 80 degrees Fahrenheit all year round, so you don’t need to plan around the temperature so much as the rain. May through November is when the region typically experiences its heaviest rainfalls (with September usually being the peak month).

Tourists often visit the country once the rainy season ends and kids are off for school break. Therefore, from December to April is when many people choose to travel. If you don’t like crowds and the possibility of bumped-up prices, avoid those months.

Recommended: How Does Credit Card Travel Insurance Work?

Average Cost of a Costa Rica Vacation

Here are some estimates of what a Costa Rica vacation can cost if you seek out mid-range restaurants and lodging. Knowing these prices can help you budget, decide where to keep your travel fund, and get started saving.

If traveling alone: If traveling with a spouse:

•   $18 per day on meals

•   $19 per day on transportation

•   $88 per day for lodging

Average amount spent per week: $602

•   $36 per day on meals

•   $38 per day on transportation

•   $88 per day on lodging

Average amount spent per week: $1,205

These costs don’t include your travel to and from Costa Rica. This expense will obviously vary depending on when you travel, where you are traveling from, and how you like to travel (say, business class vs. basic economy with no checked bags). Another factor: how well you do your research on how to get cheap flights and hack your way to the lowest possible prices.

Financial prep for travel can begin with considering how to finance your trip.

•   Do you have a year to save? Could you create a travel fund and have some money automatically transferred in with every paycheck?

•   Or, to afford a Costa Rica trip in the near future, could you take advantage of a book now, pay later travel deal without taking on too much debt?

•   Could you find a travel deal that makes the trip a too-good-to-pass-up prospect? That does happen sometimes, meaning spending time on research can reward you well!

10 Fun Things You Must Do in Costa Rica

Looking for fun things to do in Costa Rica? This list was developed by scouring online forums, review sites, and travel guides to formulate the top 10 things you should do in Costa Rica. Plus, there’s advice from savvy travelers who’ve explored the country.

1. Explore Monteverde Cloud Forest

One of the best things to do in Costa Rica is visit Monteverde Cloud Forest, which, for nature lovers, is like a vast playground. Here, visitors can explore the reserve via zip lines, go birdwatching, visit butterfly and hummingbird reserves, and take a nighttime guided tour to see and hear the park’s nocturnal residents. With almost 26,000 acres, it’s no wonder the reserve sees almost 70,000 unique visitors each year.

If you put this one on your list, you’ll want to purchase tickets in advance. On its website you can buy a day pass, book an experience, or reserve a room at the Monteverde Cloud Forest Lodge. Typically, a day pass is $12 for kids, $25 for adults. cloudforestmonteverde.com/

Recommended: How to Save Money on Hotels

2. Trek Around Arenal Volcano National Park

Located near La Fortuna, Arenal Volcano is an active volcano in Costa Rica. While it hasn’t had a major eruption since 1968, it still has frequent, minor eruptions that visitors can safely view and appreciate. Because of this, it’s one of the most unique things to do in Costa Rica.

Visitors should also consider spending time in the town of La Fortuna. While it provides great views of Arenal Volcano, there are also numerous restaurants and attractions to explore.

3. Soak in Tabacon Hot Springs

Just west of La Fortuna and Arenal Volcano National Park is Tabacon Hot Springs, which is one of the most popular hot springs in Costa Rica, if not the world. Here you can lounge in one of the many clean, natural pools heated by the Arenal Volcano. You’ll want to book your visit well in advance because spots are limited. Day passes start at about $80 for adults and $38 for kids, depending on the season; a full array of treatments, from facials to massages, are available at the spa. tabacon.com/

4. Take a Surf Lesson

If you’re looking for things to do in Tamarindo Costa Rica, one of the best things you can do is surf or take surfing lessons. With coastlines on both the Caribbean and the Pacific, it’s a dynamic country to get some great waves for both beginners and experts. If you’re just starting out, book a surf lesson to get the most of your time.

5. Bask on the Beaches of Guanacaste

Located in the northwestern part of Costa Rica (and about two and a half hours away from Arenal Volcano) is Guanacaste, which has some of the best beaches in the country. Note for those traveling with pets: Yes, dogs are allowed at these public beaches!

If you’re not one to soak up the sun, there are a ton of outdoor activities you can do in the area, such as snorkeling, scuba diving, and fishing. So, if you and your traveling partner have different tastes, one of you can enjoy a spa day at a local resort while the other has a little adventure.

It can be wise to work those credit card rewards when touring Costa Rica. Whether you use points to help pay for purchases or swipe a credit card to accumulate rewards doesn’t matter because both are smart financial moves.

6. Visit Manuel Antonio National Park

If you’re learning how families afford to travel, one of the ways they do so is by visiting locations that offer great experiences at reasonable prices. At Manuel Antonio National Park (manuelantoniopark.com/), you can reserve day passes and hike the trails, or you can book a variety of unique experiences, such as:

•   ATV tours

•   Medicinal plants tours

•   Jungle night walks

•   Zip line

•   Whale watching

Prices start at around $40 for kids and $60 for adults for a guided tour.

7. Go Whitewater Rafting

Costa Rica has a host of spots perfect for whitewater rafting. Depending on your skill level and taste for adventure, you can likely find a fun outing to splash through the scenery. It can be wise to book a rafting experience close to your hotel. For example, if you plan on staying in Guanacaste for the beaches, then the Tenorio River is close by and offers both class III and class IV rapids.

8. Chow Down at Lola’s Restaurant

Located in Guanacaste, Lola’s Restaurant has exquisite food and photo-worthy views. You’ll be tucked amid palm trees by the beach. Soak in the sights while also enjoying some of the best food in Costa Rica, whether you’re craving a guanabana smoothie or some seared ahi tuna. If you’re lucky, you may even visit during a surfing competition or get to meet Lolita, the pet pig. lolascostarica.com/

9. Venture into Venado Caves

One of the top things to do in Costa Rica is visiting the Venado Caves. Located near the Arenal Volcano, Venado Caves can offer an all day experience if you have ever wanted to go spelunking. Not only can you take a guided tour, but you can also swim in underground pools and rivers. FYI, you will get wet and muddy, so be prepared! cavernasdelvenadocr.com/index.html

10. Hike to La Leona Waterfall

If you’re comfortable hiking 30 minutes to and from, La Leona Waterfall is one of the most magnificent waterfalls in Costa Rica. Group tours start at $30, while private tours are $45. Once you reach the bottom of the trail, you can even take a dip in the natural pools to cool off. leonawaterfall.com/

The Takeaway

Costa Rica is an exciting country to visit. Because it’s so popular, it can be wise to book your trip as early as possible to ensure you get to do everything you want. There are waterfalls, parks, whitewater rapids, and other natural wonders to see, as well as great food and spa treatments to enjoy, among other attractions.

SoFi Travel is a new service offered exclusively to SoFi members. Earn 2x rewards when booking with your SoFi Mastercard or debit card. Then apply those rewards to your next trip when you book through our travel portal. SoFi makes planning a getaway fast, easy, and convenient — perfect for people on the move.


SoFi, your one-stop shop for travel.

FAQ

Is Costa Rica safe to visit?

Yes, it is. The Department of State lists it as a safe country for Americans to travel to, but does warn to exercise increased caution due to crime. To help combat petty crime, the Costa Rican government provides additional security personnel for areas frequently visited by tourists.

What vaccinations are recommended for traveling to Costa Rica?

The Centers for Disease Control (CDC) recommends standard vaccines be up to date and also receive the following when traveling to Costa Rica: Yellow fever, hepatitis A and B typhoid, malaria, and possibly rabies.

Can I travel with my dog to Costa Rica?

Yes, you can, but travel forms and vaccinations are required.

Photo credit: iStock/SL_Photography

1See Rewards Details at SoFi.com/card/rewards.

**Terms, and conditions apply: The SoFi Travel Portal is operated by Expedia. To learn more about Expedia, click https://www.expediagroup.com/home/default.aspx.

When you use your SoFi Credit Card to make a purchase on the SoFi Travel Portal, you will earn a number of SoFi Member Rewards points equal to 3% of the total amount you spend on the SoFi Travel Portal. Members can save up to 10% or more on eligible bookings.


Eligibility: You must be a SoFi registered user.
You must agree to SoFi’s privacy consent agreement.
You must book the travel on SoFi’s Travel Portal reached directly through a link on the SoFi website or mobile application. Travel booked directly on Expedia's website or app, or any other site operated or powered by Expedia is not eligible.
You must pay using your SoFi Credit Card.

SoFi Member Rewards: All terms applicable to the use of SoFi Member Rewards apply. To learn more please see: https://www.sofi.com/rewards/ and Terms applicable to Member Rewards.


Additional Terms: Changes to your bookings will affect the Rewards balance for the purchase. Any canceled bookings or fraud will cause Rewards to be rescinded. Rewards can be delayed by up to 7 business days after a transaction posts on Members’ SoFi Credit Card ledger. SoFi reserves the right to withhold Rewards points for suspected fraud, misuse, or suspicious activities.
©2024 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender. NMLS #696891 (Member FDIC), (www.nmlsconsumeraccess.org).




Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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May
15
2023

Common Money Fights

By | Budgeting & Goals, money | Comments Off on Common Money Fights

Fighting about money is one of the top causes of strife among couples, and one of the main reasons married couples land in divorce court.

Married or not, it’s important to address the problems at the heart of financial disagreements and start communicating. Otherwise these issues may fester and grow.

Instead of judging each other’s spending habits or fighting over money, couples can learn how to start working on financial issues together as a team.

Here are some ways to help you make money discussions productive, and not a fight.

Common Causes of Couple Money Fights

While there are countless variations of money fights you might have, these are a few of the most common triggers:

Sharing important account information

Some couples struggle with privacy limits and financial security, and they may disagree upon what level of access their partner should have to their financial accounts. If one partner feels they don’t have fair access to financial accounts, passwords, and paperwork, resentment can build.

Married couples in particular may find it confusing and challenging to not have a full picture of their complete financial health.

Determining budgeting and spending limits

Maybe one of you likes to spend and enjoy life. And the other likes to save for a rainy day. This disconnect happens all the time. Not all couples see eye to eye on how much they should be spending and this can lead to anger and tension.

Dealing with debt

If one partner brings debt with them to the relationship, it isn’t uncommon for the couples to disagree about who is responsible for paying off the debt.

Tackling debt can be stressful under the best circumstances, and it can lead to turmoil and fighting if a romantic partner feels the debt is an unfair burden on the relationship.

Savings and investing

Some couples can’t agree how much money they should save and how they should be saving it.

One partner may feel investing their savings is the better path to a stronger financial future, but the other partner may find investing too risky and want to keep the money in a high-yield savings account. This can cause turmoil if both partners’ chosen path forward is the only one they are comfortable with.

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Retirement planning

When you’re balancing a lot of different expenses, deciding as a couple how much money to save for retirement and what age they may want to retire can be challenging.

But those who don’t have a plan for slowly and consistently saving for retirement can find themselves continually fighting about retirement savings. This is especially true if one partner is particularly worried about not being financially prepared for the future.

How to Stop Fighting About Money

Before your next money fight erupts, try these tips to help stop the arguing.

Changing the way you talk about money

Working on your communication skills can help keep financial discussions from devolving into arguments.

When you’re discussing money, the main goal of a productive talk is to really listen to each other and try to understand the other person’s point of view, as opposed to jumping to conclusions or making accusations.

One technique that can help with this is using “I” instead of “you” in your statements. For example, one partner might say, “I get frustrated when the bills aren’t paid on time. Can I help you out with that?” rather than, “you never pay the bills on time.”

Another method is trying to avoid using the words “always” and “never” when discussing money matters. These terms can put the other person immediately on the defensive.

Setting up a budget together

Creating a budget as a couple is key. To help establish your saving goals and monthly spending targets, begin by figuring out what your joint net worth is. Then track your income and expenses for several months.

Once you know what you’re spending money on, you can work out a flexible budget, with short-term financial goals and long-term goals.

Planning ahead helps both partners agree on how much needs to be set aside for retirement or a down payment on a house, and how much you each can allocate to spending as you individually see fit.

Being open and honest

It’s tempting to omit key information when we’re trying to avoid conflict. But even if a person doesn’t fib about an expensive purchase or lending money to a family member, failing to share significant financial information can make the other partner feel like they’re being lied to and misled. This can breed distrust and cause financial stress.

Prevent these problems by being honest about financial decisions, even if you know they may upset your partner. As reluctant as you may be to bring these topics up, it can be better in the long run than hiding it from them and committing financial infidelity.

Establishing some boundaries

One way to avoid the need to cover up pricey purchases is to agree to a few simple rules about what spending decisions should be shared and what spending decisions are okay to make solo.

For example, one couple may decide they don’t need to alert each other about a purchase if it’s under $500. Another couple may agree to lend money to siblings when they need it. And some couples may together decide to never lend money to friends or family under any circumstances.

By setting boundaries and limits, and then adhering to them, couples may stop feeling like they have to report their every financial move.

Setting up a joint account

One of the main benefits of opening a bank account together is that it can provide a clear financial picture. A joint account allows couples to track spending, and it can make sticking to a budget easier, while also helping to foster openness.

On the downside, sharing every penny can sometimes lead to tension and disagreements, especially if partners have different spending habits and personalities. One solution might be to have a joint checking and savings account, as well as two individual accounts with a set amount of money to play with every month.

Having different accounts, including one for their personal use, can give each partner some freedom to spend on themselves without having to explain or feel guilty about their expenditures.

Teaming up against debt

Working together on a reasonable plan to start getting out of debt can help couples alleviate a major stress on their marriage.

One strategy for debt reduction might be the avalanche method. To do it, you make a list of all your debts by order of interest rate, from the highest percentage to the lowest. Then, while continuing to make all your minimum monthly payments on existing debts, the couple might decide to put as many extra payments as possible to the highest interest rate loan.

Or, they might decide to simply eliminate the smallest debt first, or look into consolidating debts into a single loan, which could make it easier to manage.

Whatever plan you agree on, working on debt reduction can give you a shared goal to work toward together.

Scheduling a monthly financial check-in

Even if one partner takes on a bigger role in managing finances, paying bills, and keeping on top of the budget, both parties need to stay up to date on what’s going on in order to achieve financial security.

Rather than only talking about your finances when you’re stressed about bills, a better strategy might be to set a specific time on your calendar each month to sit down together and review your recent spending, income, savings, bills, and investments.

If you can’t swing monthly meetings, then aim for quarterly or biannual financial sit-downs.

Getting help from an advisor

While spending more money may seem like an added stressor, some couples who pay for a financial coach may find that it helps them save more down the road.

And, it might be easier to talk about an emotionally charged subject like money with an unbiased third party who can help diffuse tension and get you both to agree on a smart spending and savings strategy.

The Takeaway

Fighting over money, or finding it hard to talk openly and constructively about it, is a common source of friction between couples. Some strategies that can help include learning how to communicate about financial issues more productively, setting up monthly money check-ins, and letting each partner have some financial privacy.

For couples who are ready to integrate their finances, SoFi Checking and Savings makes it easy to create a joint account that gives you both shared access to your money. Plus, you’ll earn a competitive APY and pay no account fees. That’s something that you can both agree is a good thing!

Manage your money as a team with SoFi Checking and Savings.

SoFi® Checking and Savings is offered through SoFi Bank, N.A. ©2024 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender.
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SoFi members with direct deposit activity can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Direct Deposit”) via the Automated Clearing House (“ACH”) Network during a 30-day Evaluation Period (as defined below). Deposits that are not from an employer or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Direct Deposit activity. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. SoFi members with direct deposit are eligible for other SoFi Plus benefits.

As an alternative to direct deposit, SoFi members with Qualifying Deposits can earn 4.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Qualifying Deposits means one or more deposits that, in the aggregate, are equal to or greater than $5,000 to an account holder’s SoFi Checking and Savings account (“Qualifying Deposits”) during a 30-day Evaluation Period (as defined below). Qualifying Deposits only include those deposits from the following eligible sources: (i) ACH transfers, (ii) inbound wire transfers, (iii) peer-to-peer transfers (i.e., external transfers from PayPal, Venmo, etc. and internal peer-to-peer transfers from a SoFi account belonging to another account holder), (iv) check deposits, (v) instant funding to your SoFi Bank Debit Card, (vi) push payments to your SoFi Bank Debit Card, and (vii) cash deposits. Qualifying Deposits do not include: (i) transfers between an account holder’s Checking account, Savings account, and/or Vaults; (ii) interest payments; (iii) bonuses issued by SoFi Bank or its affiliates; or (iv) credits, reversals, and refunds from SoFi Bank, N.A. (“SoFi Bank”) or from a merchant. SoFi members with Qualifying Deposits are not eligible for other SoFi Plus benefits.

SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.00% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.

SoFi Bank reserves the right to grant a grace period to account holders following a change in Direct Deposit activity or Qualifying Deposits activity before adjusting rates. If SoFi Bank grants you a grace period, the dates for such grace period will be reflected on the APY Details page of your account. If SoFi Bank determines that you did not have Direct Deposit activity or $5,000 in Qualifying Deposits during the current 30-day Evaluation Period and, if applicable, the grace period, then you will begin earning the rates earned by account holders without either Direct Deposit or Qualifying Deposits until you have Direct Deposit activity or $5,000 in Qualifying Deposits in a subsequent 30-Day Evaluation Period. For the avoidance of doubt, an account holder with both Direct Deposit activity and Qualifying Deposits will earn the rates earned by account holders with Direct Deposit.

Members without either Direct Deposit activity or Qualifying Deposits, as determined by SoFi Bank, during a 30-Day Evaluation Period and, if applicable, the grace period, will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances.

Interest rates are variable and subject to change at any time. These rates are current as of 12/3/24. There is no minimum balance requirement. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or other eligible status, be residing in the U.S., and meet SoFi's underwriting requirements. Not all borrowers receive the lowest rate. Lowest rates reserved for the most creditworthy borrowers. If approved, your actual rate will be within the range of rates at the time of application and will depend on a variety of factors, including term of loan, evaluation of your creditworthiness, income, and other factors. If SoFi is unable to offer you a loan but matches you for a loan with a participating bank, then your rate may be outside the range of rates listed above. Rates and Terms are subject to change at any time without notice. SoFi Personal Loans can be used for any lawful personal, family, or household purposes and may not be used for post-secondary education expenses. Minimum loan amount is $5,000. The average of SoFi Personal Loans funded in 2023 was around $33K. Information current as of 2/26/24. SoFi Personal Loans originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org). See SoFi.com/legal for state-specific license details. See SoFi.com/eligibility for details and state restrictions.

✝ To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

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