As hurricane season looms large in the region, many are already prepping for the worst and hoping for the best. The forecasts have called for an active season, which could lead to plenty of financial burdens. For those who don’t have the padding of a savings account specifically for evacuation, it can be tough to cobble the necessary money together when it’s time to get out of town quickly.
UNO Business Professor Mark Rosa advises Louisiana residents that a few small measures can go a long way when it comes down to hurricane evacuation crunch time. Specifically, how savings accounts are named can incentivize people to contribute more than they otherwise might.
“You’ve got to make a deal with yourself like dieting or anything else in life where you decide to start today. And you can do that by saving so much a month in an Evacuation Fund,” says Rosa. While it may sound trivial to give a name to a savings account, Rosa emphasizes that naming a specific fund can do psychological wonders for someone trying to save up money for a specific purpose. “Some may have a Christmas club or a vacation/travel fund or emergency fund and it becomes a game a person plays with themselves where they begin to fund those things with purpose every time they get paid,” Rosa goes on to explain.
Rosa also says keeping money that is being saved for a specific purpose separate from your general savings account helps most people to keep their eyes on the goal they’re saving for. That ultimately leads to them finding ways to put aside more money than they otherwise might. What’s in a name? Perhaps your next vacation.