The 2×2 System is where you set aside two hours on the calendar two times a month to complete a predetermined financial task. This modest but consistent effort can help you sustain financial health and build wealth in bite-sized chunks. To view July’s blog covering tracking your progress and improving your cash flow, click here. We hope you find this month’s information helpful.
August Session 1: Plan for holiday expenses.
There are only about 120 shopping days until the end-of-year holidays. Why not get ahead of the game with some holiday planning now, which can take a lot of angst out of the season of joy and giving? Try to set your spending limits today and set up savings accounts for gifts, activities, and travel. Calculate how much you’ll need for each category and divide by how many months you have left. Then have that amount deposited automatically into the respective accounts.
Tip: As November and December approach, stores are filled with holiday decorations, jolly music, and wonderful scents. Having a set spending amount in mind and making your choices before being exposed to this sensory overload can help you make decisions based on what’s best for you and your family, rather than letting the emotions of the season dictate your choices. Here are two options to help you save for the season. Our Holiday Club has no minimum balance or maintenance fees. It earns a nice 1.25% APY*. Here’s how it can lead to holiday happiness. The funds are held until early November and disbursed for free. It’s a bit of discipline to help you save. If you want to ramp up your earnings, consider our Limited Time 4-Month Certificate to earn 4.00% APY**. There’s no minimum balance, and if you open it today, it will come due right around the end-of-year festivities, ensuring you have funds to help pay for your holiday credit card charges come January 2026.
August Session 2: Make a charitable giving plan.
Speaking of the holidays, you know there will be a lot of appeals for philanthropic giving as the year comes to a close. Giving to those in need is a wonderful thing. But contributing beyond your ability can add to the stress of what can already be a challenging time of the year. Consider making a plan for your giving this year. You can start by listing the causes you give to every year and determining if you would like to give more or less than usual. You may want to focus your giving on a few causes that are most meaningful to you. To learn how generous the charity you donate to is, visit Charity Navigator. They’ve rated more than 225,000 charities on cost-effectiveness, including stability, efficiency, and sustainability; metrics that help you decide if your dollars are doing the most good.
Tip: Unexpected tragedies happen more often than any of us would like. Earmarking some funds in your plan for unforeseen events can help you give in an impactful way without jeopardizing your financial wellness. An Online Savings account is a great way to start an emergency fund. You’ll earn 3.00% APY† with Direct Deposit (2.00% APY without Direct Deposit). If disaster strikes, such as wildfire, flood, pandemic, hurricane, or tornado, a Special Assistance Loan can help you on the road to recovery. Rates are as low as 7.00% APR†† with Direct Deposit and Auto Pay (6.00% APR without). You can borrow up to $7,500 and have up to 48 months to pay it back. Please contact any branch or call 800.877.2345 for immediate help.
Final thoughts.
It may be hard to believe in August, but December’s holidays are right around the corner. Planning for holiday expenses and creating a charitable giving plan now can help make the holidays less stressful and more joyful. Especially when the bills begin rolling in at the start of 2026.
Thanks to our friends at Balance for these smart tips.
*APY = Annual Percentage Yield. APY is the annualized rate based on a compounding period of one year. When the deposited money earns dividends and the accumulated dividends starts earning dividends as well, we are talking about compounding. Fees could reduce the earnings on an account. All yields except Certificate yields are subject to change retroactively to the beginning of the month.
** Limited Time Offer 4-Month Certificate / Rates are subject to change without notice. This is a promotional rate of 4.00% APY. Bonus Rate may not be combined with any other rate increase/bonus. Annual Percentage Yield (APY) is calculated on a 3.93% base rate, no minimum balance, regular share certificate requirement on a 365 day basis. IRA share certificates do not qualify for this promotion. Deposit must be new funds to the Credit Union and may not be transferred or withdrawn and deposited back into the Credit Union from any existing Credit Union account. No additional deposits accepted (other than dividends) during certificate term. There is a substantial penalty for early withdrawal of certificate funds. Fees and other conditions may reduce earnings. The 4-Month promotional certificate will automatically roll over to a regular 3-Month term certificate at maturity. Federal regulations require dividends be paid from available earnings; dividends are contingent upon this regulation. Refer to our TISA Disclosure for terms and conditions. *APY = Annual Percentage Yield. This Promotional Rate is effective March 26, 2025 until further notice. Yields/rates are subject to change at any time. Fees could reduce the earnings on an account.
†APY = Annual Percentage Yield. APY is the annualized rate based on a compounding period of one year. When the deposited money earns dividends and the accumulated dividends starts earning dividends as well, we are talking about compounding. Fees could reduce the earnings on an account. All yields except Certificate yields are subject to change retroactively to the beginning of the month.
Rate bonus is for a minimum of $1,000 monthly ACH Direct Deposit or Agent Net Check into a Farmers Insurance Federal Credit Union Checking Account. Rates are subject to change at any time. No branch or call center access with this account.
† †APR = Annual Percentage Rate. APR is the annual rate of interest that is paid on an investment, without taking into account the compounding interest within that year. Rates are subject to change at any time.
1.00% rate discount is for a minimum of $1,000 monthly ACH Direct Deposit or Agent Net Check into a Farmers Insurance Federal Credit Union Checking Account and Automatic Payment/Folio Deduction as a repayment method to qualify. Rates are subject to change at any time.
