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Many of us are able to put aside a little money each month into a pot of savings. Depending on your circumstances, this might be a modest double-digit figure for a rainy day or you might be able to put aside a sizeable sum which might go towards a deposit, holiday or retirement. But, if you’re thinking of saving and not spending, what is the best way to make your money work harder for you?

Age and Saving

  • Child Saving Accounts

Having children is expensive, and this is something which – far from getting easier – is probably only to become more of a challenge as time goes on. You may want to think early on about putting money aside for their future. If you do, you might be surprised about the rates of interest available. For example, Halifax is offering a whopping 4.5% for their regular saver. Accounts like this often have requirements, for example, you need to deposit £10-100 each month (although there is no penalty for missing a month) and you cannot make withdrawals. After 1 year, it becomes a ‘Young Saver’ account, which you can eventually access. But that interest rate will be hard to beat.

  • Working Adult

This is perhaps the most challenging in the current climate. Interest rates are at a historic low, and it can be difficult to see how to make savings work. With all the different products out there, the one most well known is probably the ISA. However, you might be asking yourself: what is an ISA? There are currently three different kinds: cash, stocks & shares and a lifetime ISA. They all have different requirements and work slightly differently. However, they make the best long-term investment. While there are numerous saving products on the high street and online which look good in the short term, historically ISAs have enjoyed rates of above 3%. If you put money in them now and the rates improve, then one day you could potentially see a significant tax-free return.

  • Retirement

Don’t think that the time for savings is too late! National Savings & Investments used to offer 65+ bonds with great returns. While the product is no longer available, it did perform better than expected and you should, therefore, expect to see similar products offered again.

What are your Saving goals?

Finally, why are you saving? If you are looking for something long-term, you definitely need to consider an ISA. If you are looking to pop a little away every month you’ll dip into every so often, you will probably want a regular saver. And if you are in the enviable position of exhausting all tax-free options, you need to think about premium bonds – there’s nothing quite like a surprise cheque arriving through your front door!


In present days saving is the most important part of our life. If we don’t have to save for the future, we are not ready for the future uncertainties.