Saving Change and Why It Matters

As digital banking is gaining popularity with a lot of consumers, the value of spare change can often be overlooked. However, small coins can add up to significant savings over time.

Whether you prefer a traditional piggy bank or use a modern savings app, setting aside change can have a meaningful impact on your financial health (Opens in a new Window).  Here’s why saving change matters and how you can make the most of it.

The Power of Small Savings

While a few coins may seem insignificant, consistently saving spare change can lead to substantial amounts over time. Consider this: if you save just 50 cents per day, you’ll have $182.50 by the end of the year—enough to cover a bill, start an emergency fund (Opens in a new Window), or contribute to a financial goal.

Why Saving Change Matters

1. Creates a Savings Habit – Developing the habit of setting aside small amounts can build a strong foundation for larger financial goals. Many folks who start by saving change, move on to saving larger amounts like $1 bills or $5 bills.
2. Acts as a Financial Cushion (Opens in a new Window) – Having extra cash available can help in emergencies, preventing reliance on credit cards or loans.
3. Encourages Mindful Spending – When you consciously save your change, you become more aware of how small expenses add up.
4. Great for Kids and Beginners (Opens in a new Window) – Teaching children or new savers about money management through change savings can be an effective and fun lesson.
5. Eases Budgeting for Unexpected Expenses – A jar of change can serve as a backup fund for surprise costs like parking meters, tips, or minor household purchases.

OTHER ACTIVITIES THAT TEACH CHILDREN FINANCIAL RESPONSIBILITY (Opens in a new Window)

Ways to Save Your Change

1. Use a Coin Jar or Piggy Bank – The classic method of dropping change into a jar can still be effective.
2. Round-Up Savings Apps – Some banks and financial apps offer round-up features that automatically transfer spare change from purchases into a savings account.
3. Cash-Based Budgeting – If you use cash for transactions, set aside the coins you receive as change instead of spending them.
4. Coin Counting Services – Once your jar fills up, take your coins to a bank to deposit or exchange them. Keep in mind that many coin-counting machines outside of your bank may charge fees to exchange currency.
5. Use for Small Goals – Assign your change savings to a specific purpose, such as a vacation fund, a special treat, or a holiday budget.

SAVING STRATEGIES FOR YOUR DREAM VACATION (Opens in a new Window)

Final Thoughts

While digital payments dominate our financial transactions, the habit of saving change is still a powerful way to grow savings effortlessly. By consistently setting aside small amounts, you can work toward financial security and reach your goals faster. Start saving your change today and watch how a just a little change can make a big difference!

To learn about other strategies to maximize your savings, check out our blog discussing how you can benefit from compound interest.