Advertisement
Saving Lincolns

Blog | December 28th, 2011

“The best thing about the future is that it comes one day at a time.”

           The 16th President of the United States of America, Abraham Lincoln, spoke those words many years ago. He is saying that the little things that we do each and every day make up what we commonly refer to as “the future”. One way to financially and frugally prepare for your future, day by day, is to simply collect five-dollar bills. Which, by chance, happen to feature Honest Abe himself.

How to save?

            Saving five-dollar bills will really test your commitment to saving. It’s easy in theory. Just save your fives! Every… single… one. You have to be dedicated and refuse to spend them. You’re sure to find it difficult to not use the one in your pocket for a $4.50 purchase. The program works best, though, when followed religiously. Every time you get a five-dollar bill back as change, put it directly into an envelope when you arrive home. Decide when you’ll deposit them in the bank. Will it be every week, every month, or maybe once you reach $100? Put them in a separate savings account, and don’t touch it! The key is to pretend you don’t have them, or that they are completely off limits, as soon as the bills reach your fingers. Trick yourself into thinking of them as worthless paper, not tempting five-dollar banknotes.

How much can you save?

            The sky is the limit! You may notice that, on average, you’re collecting two five-dollar bills each week. It may not sound like much, but President Lincoln has strength in numbers. Saving two bills every week, for all 52 weeks in a year, would leave you with an exciting $520 saved! Of course, if you averaged four bills each week you’d save over $1,000 annually. You may even find yourself buying things with cash more often, in hopes of receiving another bill to take to the bank. This is great, just make sure you don’t get carried away and spend cash on things you don’t need.

When can I use it?

            This is up to you, and you alone. Whether you save up for a vacation to The Bahamas or for a new TV, set a goal for yourself. Maybe the satisfaction of saving is enough, and you feel no need to do anything with the money but let it sit in the bank and collect interest. Maybe you allow yourself to access it after a year, or five. Maybe it’s for emergencies.  If you can fund half of a vacation for you and your spouse with the money you’ve saved from this practice, you’ll both be proud. While saving fives most likely won’t buy you a new car (but hey… you never know!), you could sure get a good start toward one.

            Some people find it easier to save money than others. For most of us, though, it takes a program. This one, saving a family of Lincolns, may not be the right one for you. It will take time to find the best way for you to save money. For some people, this program could be very beneficial! Its simplicity makes it easy to follow your progress. It’s up to you to find the best way to save that works for you. After that, it only takes commitment. 

Would you ever try anything like this? Have you? Let us know?