You are using an older browser version. Please use a supported version for the best MSN experience.

6 encouraging signs you're saving enough money

Business Insider Logo By Business Insider of Business Insider | Slide 1 of 1: How much money is enough?It depends.The number varies by person, but it's always a lot.In fact, pretty much everything in personal finance varies by person, from how much you need to live to how much you should be saving.Below, find six guidelines that indicate you're probably saving enough, no matter what that means for you.You have savings goals, and you've priced them outThe first step to saving "enough" is knowing how much "enough" is, and that varies by savings goal. Just socking away money with no clear end date or amount or use isn't very motivating, and generally isn't very effective. An effective savings goal has a purpose, an amount, and a timeline. For instance:• Purpose: 20% down payment for a $500,000 house, based on research on home prices in my area• Amount: $100,000• Timeline: 5 years• How much I need to save: $20,000/year; $1,666/monthIt's impossible to know if you're saving enough until you give "enough" a number.

smiling happy summer raft

How much money is enough?

It depends.

The number varies by person, but it's always a lot.

In fact, pretty much everything in personal finance varies by person, from how much you need to live to how much you should be saving.

Below, find six guidelines that indicate you're probably saving enough, no matter what that means for you.

You have savings goals, and you've priced them out

The first step to saving "enough" is knowing how much "enough" is, and that varies by savings goal. Just socking away money with no clear end date or amount or use isn't very motivating, and generally isn't very effective.

An effective savings goal has a purpose, an amount, and a timeline. For instance:

• Purpose: 20% down payment for a $500,000 house, based on research on home prices in my area

• Amount: $100,000

• Timeline: 5 years

• How much I need to save: $20,000/year; $1,666/month

It's impossible to know if you're saving enough until you give "enough" a number.

© Flickr / Dan Zen

More from Business Insider

image beaconimage beaconimage beacon