You’re new to saving

Part of determining how much to save for retirement or other financial goals is knowing where you’re at from a “money in” and “money out” perspective. Review your average monthly expenses, including any loan payments, in comparison to your take home pay and see how much you have left over. Whatever remains is what’s available to put toward your short-term and/or long-term savings goals.

Life happens and it does not always go the way you plan. Make sure you’ve set aside a “rainy day fund” in case of an unexpected big medical bill, house repair, car issue, or other surprise expense. A suggested starting point is $1,000 and then work your way up in savings to cover 3 to 6 months’ worth of essential expenses. Think of this as your way of safeguarding against dipping into savings or taking on debt so you can focus your hard-earned dollars toward your financial goals. Learn how to build up your emergency savings.

Contributing just 1% more of your pay to your 401(k) can make a big difference in the long run. Remember that you can change your contributions virtually any time, so as your financial situation allows it, consider increasing your contribution—at least enough to take full advantage of Disney’s 401(k) match, if eligible—otherwise, you could be leaving money on the table. Learn more about your Disney 401(k) Plan.