People often save with a particular goal in mind. Savings goals can be short term or longer term. Longer term goals often include buying a house or saving for college. People also save to have money in case of an emergency. Today, most people keep their savings in a financial institution.
Financial institutions offer special accounts for savers called savings accounts.
They allow people to earn a little money over the amount they save. Even though the financial institution holds your money, you can always withdraw your money whenever you need it. Generally, the amount of money people save is based upon how much money they earn, what immediate expenses they need to pay, and why they are saving. A person who wants to buy a house will have to save more money than a person who wants to buy a computer. The most important thing about saving is to save consistently.