On the Path to Saving

 9/15/2015

Lori Franklin socked away $250 in her new savings account in just four months while participating in Goodwill Tulsa’s pilot Savings Match program.

“This is the first time since I was 8 years old that I’ve had a savings account!” Lori said.

Lori is not alone in that. Last year, Gobankingrates.com did a survey, and 44.5 percent of the respondents said they did not have a savings account. The Personal Savings Rate, reported by the U.S. Bureau of Economic Analysis, plummeted after July 2014 through the end of the year. In a recent Retirement Confidence Survey, 50 percent of workers said the reason they did not save, or save more, was the cost of living and daily expenses.

Goodwill offers the Savings Match program as part of our overall financial wellness initiative. The goal is to help employees make saving a habit. The incentive: Goodwill matches 125 percent of the ending balance of the savings account after four months, up to $200, if the employee fulfills the terms of the program agreement.

Lori met the challenge. During the program’s pilot phase, May to September, she attended financial education classes. She prepared a budget and reviewed it with the Employee Success Coordinator. And she made regular deposits into her new savings account.

Lori, Goodwill’s longtime receptionist, said that she learned a lot and had a lot of fun while earning her financial stripes these past four months. Better yet, the experience has given Lori the tools and desire to keep adding to her savings account.

“I was blown away with the success of this pilot program,” said President David Oliver. “Out of the original cohort of 20 participants, 15 employees achieved the goal of saving $200 more in four months and earned the maximum match of $250.

“Our goals of providing financial education and establishing a savings amount to address potential emergencies were definitely achieved. And we are looking forward to starting the next cohort of employees on the path to savings.”

MORE

Visit these sites for saving information and strategies*: 

• www.feedthepig.org/manage-your-money/saving
• www.forbes.com/the-7-best-money-saving-tips-for-millennials/

 *for informational purposes only; not endorsed by Goodwill Industries of Tulsa