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Firstly...why should you save money and how much should you save?

You never know what is around the corner and it is always a good idea to have a little bit of money stashed away in case of a rainy day. Money kept in a savings account can earn a very good rate of interest if you make the right choices.

It is recommended that your savings should, as a minimum, be equivalent to 3 or 4 months wages. You'll need to be aware that some high interest accounts will require you to give a period of notice before withdrawing your money, so make sure that you at least have some of your savings in accounts where you can get immediate access to the cash, even if this means accepting that you'll receive a lower rate of interest.

Keep an eye out for a large number of banks that do now offer high interest, instant access accounts online. They may well be able to offer you a better deal than their high street rivals. Some banks also offer good interest rates on current accounts.

Tax free savings

Tips on Saving Money

Our money saving tips can help you to make some dramatic savings. We've divided them up into a number of articles, each of which deals with a different aspect of saving:

Saving Made Simple: We take a look at how you can save money by reducing your household energy costs. The beauty of this type of saving is that it also helps towards saving the planet.

Money Saving Tips: Explore how you can reduce your weekly grocery bills, saving you money with minimal effort.

The Saving Mentality: Success as a saver is all about the right attitude. Take a look at our information on how you can save money without thinking about it.

A Savings Regime: Our complete guide to some great hints and tips on reducing your outgoings, enabling you to save more.