It starts for many Ghanaians with that small piggy bank your grandmother gave you as a child, or perhaps your first susu contributions in the market. The savings habit became ingrained from there. But here's the question every Ghanaian saver should be asking: How much of your hard-earned cedis are you actually losing to poor savings choices?
While building a savings habit is commendable, many Ghanaians are unknowingly watching their money lose value every single day. If you're keeping your savings in a traditional account earning little to no interest, or worse, under your mattress, you might be costing yourself more than you realize. That's where modern savings solutions like EasySave come in – offering up to 10% annual interest to help your money work as hard as you do.
Keeping additional cash on hand provides a buffer that can reduce the stress of running out of money before your next salary or business income arrives. For many Ghanaians – whether you're a trader in Kejetia Market or a salaried worker in Accra – having accessible savings is crucial for managing the ups and downs of daily life.
One of the first steps to building a surplus of cash is understanding where your money should actually live. Instead of letting inflation eat away at your savings, you should be earning meaningful returns that protect and grow your wealth. You also want to use some cash to prepay inevitable expenses, such as your children's school fees or annual insurance premiums, taking them off your worry list.
As research shows, saving money goes beyond just having cash available – it's about building true financial security in Ghana's dynamic economy.
Your accumulating cash doesn't have to sit in a low-yield traditional savings account where it barely grows. Many Ghanaians are discovering high-yield digital savings options that pay competitive interest rates while maintaining the flexibility to access funds when needed.
The beauty of modern digital savings is the flexibility. Unlike fixed deposits that lock your money away, you can deposit or withdraw from your EasySave account any day, with zero withdrawal fees. This means you're not sacrificing accessibility for better returns.
Financial experts universally recommend building an emergency fund to protect against life's inevitable challenges – job loss, medical emergencies, or business downturns. In Ghana's context, where many people work in the informal sector or run small businesses, this buffer becomes even more critical.
The magic number is typically three to six months' worth of living expenses. Think 6,000 to 12,000 GHS if your essential monthly expenses are 2,000 GHS. This allows you to maintain your lifestyle during tough times without borrowing or making desperate financial decisions.
Your personal circumstances affect how many months you should cover. Are you a Bolt driver whose income fluctuates? Do you run a seasonal business? You might want to aim for a larger cushion. However, if you're a salaried government worker with stable income, three months might suffice.
Many people make mistakes when trying to save, including not having a clear savings target or keeping money in accounts that don't grow with inflation.
Ghana's inflation rate means that money sitting idle loses purchasing power over time. If you find that your savings account balance far exceeds your monthly living expenses – say you've got two years of expenses earning minimal interest – then you're probably missing growth opportunities.
Another red flag is keeping money for long-term goals in traditional savings accounts. If you're saving for your child's university education five years from now, or planning to expand your business in three years, your money could be working much harder in higher-yield options.
"The biggest mistake we see people make is keeping large amounts in accounts that barely beat inflation," says a local financial advisor.
Higher-yield savings accounts make sense for almost every Ghanaian saver, but they're particularly valuable in certain situations. If you're building your emergency fund, you want it to grow while remaining accessible. If you're a small business owner saving for inventory or equipment, earning up to 10% annually means your business funds are generating income even while you plan.
The key is matching your savings strategy to your goals and timeline, not letting money sit idle when it could be growing.
Once you've built a solid emergency fund earning competitive returns, consider expanding your financial strategy. You might want to explore additional investment opportunities. The extra money you earn from better savings rates can be reinvested into your business, used for family needs, or saved toward bigger goals.
When your 5,000 GHS emergency fund earns an extra 400 GHS annually compared to traditional savings, that's meaningful money in the Ghanaian context.
Learning smart habits that help you save more money becomes even more powerful when combined with accounts that actually reward your discipline.
Your savings habit shouldn't cost you money – it should make you money. While building the discipline to save is crucial, where you save matters just as much. In Ghana's evolving financial landscape, digital solutions like EasySave offer the perfect combination of accessibility, security (powered by Access Bank), and returns that actually protect your wealth from inflation.
Don't let another year pass watching your hard-earned cedis lose value in low-yield accounts. Your future self will thank you for making the switch to savings that actually grow. After all, you're not just saving money – you're building the foundation for financial freedom in Ghana.
Ready to make your savings habit profitable? Download the Fido App and start earning up to 10% on your savings today.
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