Many of you know how I left the corporate world to be a stay-at-home mom. I chose to make less and live more. This was a major life change in so many ways, but one I don’t regret. That’s not to say that my family and I didn’t experience some bumps along this new career path. Obviously, our bank account suffered. So, we simplified our lives and relied more on savings.
Saving money never goes out of style
A Wisconsin coalition recently launched a statewide initiative. The initiative encourages Wisconsinites to establish emergency savings accounts through automated savings. On May 12, 2021, the Wisconsin Department of Financial Institutions (DFI) announced a statewide Wisconsin Saves Automatic Saving Initiative. Prosperity Bookkeeping supports this initiative. We offer payroll solutions to employers to encourage employee participation.
You never know when a career change, life change, or an unexpected expense will tap your pocketbook. Emergency expenses come out of the blue. The Federal Reserve’s 2019 Report on Economic Well-Being of U.S. Households found that 39% of adults say they either could not cover an emergency expense costing $400 or would cover it by carrying a balance on credit cards and borrowing from friends or family.
Beginning automatic split deposit
The Wisconsin Saves initiative encourages small- and medium-sized employers to encourage employees to save automatically with a split deposit. A portion of the employee’s paycheck is automatically placed in his or her savings account.
“Working with employers, we know we can have a positive impact on the financial lives of Wisconsin residents,” said State Treasurer Sarah Godlewski, announcing the initiative. “Helping employees save in the short-term enables them to build a more secure tomorrow and create a more productive workforce.”
Managing financial hardships
By involving employers in Wisconsin Saves, more employees will grow their emergency savings in order to manage financial hardships.
“America Saves understands that saving is a journey and that getting started can be difficult,” said George Barany, Director of America Saves. “Saving even a small amount of money, $5 or $10 every paycheck, is helpful, and using split deposit is a simple and effective way to save. That’s why we so strongly encourage its use.”
Contact Prosperity for payroll solutions
Prosperity Bookkeeping provides payroll resources to clients. We make it easy for employers to encourage employee participation. In the long run, Wisconsin Saves helps employees overcome minor setbacks and be better prepared for major catastrophes. Contact us to learn how to implement Wisconsin Saves into your workplace. Employers in all Wisconsin locations and all industries are eligible.