In today’s fast-paced world, finding unconventional and unique ways to make money has become increasingly popular. We bet you’ve also thought about it at least once in your life! In that case, you need to get on SoFi. Short for Social Finance, SoFi’s mission has been to help individuals embrace these side hustles, which could range from testing websites to renting out a shed to testing websites. The best ways to improve finances with SoFi push you towards financial independence, thanks to its comprehensive resources and tools.
Hence, anyone can delve into a world of side hustles, explore different ways to make money, and improve their personal finances. Taking control of your financial future doesn’t have to be complicated, especially when you have the right tools and strategies in place. And SoFi is with you every step of the way. Here are some ways to improve your finances with this fintech company’s offerings.
Also read: The Best Personal Finance Products and Services From SoFi.
Creating a Budget
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The first and most fundamental step to managing your finances effectively is to create a budget. SoFi provides an array of tools and resources that are designed to simplify and automate this process, allowing you to focus on achieving your financial goals with ease.
SoFi Relay
The feature of SoFi Relay allows you to do that, and then some. For instance, you can automatically divide your income into categories such as savings, flexible spending, bills, and rent using SoFi Relay. It also allows you to set up recurring transfers so every category is funded without you having to intervene. Also, you can create and manage multiple accounts for different spending purposes, from investment savings to daily expenses.
Another thing you can do is monitor and adjust your budget with SoFi Relay. Firstly, it gives you a complete view of all your financial accounts in one place, including bank accounts, investments, and loans. So, you get a clearer picture of your overall financial health. Secondly, it even has a spending tracker that allows you to compare your monthly spending against past months in every budget category. Hence, you can even identify trends and make necessary adjustments. Finally, you can also keep an eye on your credit score and discover areas for improvement to enhance your financial standing.
SoFi Vaults
You can set and achieve your goals using SoFi Vaults. You can use SoFi Vaults to earmark funds for specific goals. This could be everything from an emergency fund to a vacation, ensuring that you automatically end up saving a portion of your income. What’s more, you can even establish and set spending limits within your specific budget categories. Thus, you can avoid overspending on anything and also stay on track with your financial goals.
Did we mention that you can also use SoFi’s financial insights tools for comprehensive budgeting and credit score monitoring? So, you can track your investments, property, and debts all in one place. Finally, you can also leverage resources like articles, tools, calculators, and guides provided by SoFi to deepen your understanding of various financial topics.
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Automating Savings and Bill Payments
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One of the best things about using SoFi was how it helped us automate our savings and bill payments. This is a very useful and strategic approach to managing your finances more efficiently. Here’s how you can use SoFi tools to streamline this process:
- Set Up Autopay for Regular Bills: You can use SoFi’s mobile app or online banking services to set up automated payments for recurring expenses such as credit card bills, loans, and utilities. This not only helps you avoid risking overdraft fees, but also helps you manage your cash flow better, consolidate bill dates, avoid late fees, and even protect your credit score.
- Automate Your Savings: There are many ways you can use SoFi to automate your savings. Firstly, you can use direct deposit options to direct a portion of your paycheck into a savings account automatically. Next, you can schedule regular transfers directly from your checking to your savings accounts. If possible, consider using SoFi’s online-only bank, so you incur fewer fees and get higher interest rates. Finally, you can also maximize your savings by enrolling in your employer’s 401(k) program and automating the contributions.
- Monitor and Adjust: Finally, you can regularly monitor and adjust your automated settings on SoFi’s dashboard to ensure that they align with your current financial goals and situation. Make sure you have reminders and alerts on to keep track of everything.
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Investing with SoFi
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Did you know that if you begin investing with SoFi, you have access to a wide range of options? Whether you’re a seasoned or a newbie investor, you have many investing opportunities available to you.
For one, there’s automated and active investing. You can choose between using SoFi’s automated investing to let experts handle your portfolio or actively managing your investments. Nevertheless, both options include access to IRAs, ETFs, fractional shares, and stocks. What’s more, there are special investment opportunities, including IPO investing and fractional shares. With IPO investing, you get early access to IPO shares, which were available only to institutional investors earlier. Finally, there are fractional shares: Invest in high-value stocks like Google and Amazon without buying a whole share, making it easier to diversify your portfolio.
You can also take advantage of SoFi’s diverse loan options, such as student loan refinancing, personal loans, and mortgage solutions tailored to meet different financial needs. If that wasn’t enough, SoFi’s insurance offerings, including life, auto, and homeowners insurance, help you protect your assets and future.
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Cashback and Member Rewards
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When we talk about improving your finances, it’s more than simply cutting back on your expenses. It also means that you need to make your everyday spending work harder for you. With SoFi products, you can support your larger financial goals by turning routine purchases into meaningful rewards. For instance, you could earn cashback on eligible purchases, redirecting those rewards towards investing, savings, or even paying off debt.
For instance, the SoFi Smart Card offers competitive cashback rates on categories of everyday essentials. So, the money you’ll already be spending on necessities could generate additional value every month. Over time, these rewards could add up significantly — especially if you apply them consistently toward high-impact goals such as reducing high-interest balances or building an emergency fund.
Of course, there are tons of financial benefits to becoming a member of SoFi. You could earn points for using SoFi’s financial services, enhancing your investment journey. What’s more, you could even benefit from free financial planning and personalized advice from credentialed financial planners, and that too for no extra fee. Finally, you even receive 15% discount on services such as will and trust creation, bettering your financial legacy.
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Setting Financial Goals with SoFi
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When it comes to achieving financial independence, setting financial goals is a crucial step. SoFi guides you through every phase of this journey with its comprehensive collection of financial tools and services.
For one, you can start by using SoFi’s financial planning services, which are available for free if you’re already banking with SoFi. Defining clear, achievable goals and integrating them into a multi-year plan ensures a structured path and makes your financial targets achievable. Secondly, you can also opt for SoFi Banking, which offers high-yield checking and savings accounts. You can enjoy up to 0.50% APY on checking and 4.60% APY on savings accounts, enhancing your ability to save more efficiently.
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How can I earn returns on my savings with SoFi?
SoFi members can earn up to a 4.60% APY (Annual Percentage Yield) on savings balances, including SoFi Vaults. Furthermore, they can also earn a 0.50% APY on checking balances if they have the qualifying deposits.
Is SoFi only for investing, or can I use it for daily banking?
Yes, SoFi is more than simply an investment platform. It offers high-yield savings and checking accounts, financial planning, investing, loans, and spending tools.
Do I need to pay fees to use SoFi’s financial tools?
No. In fact, many of SoFi’s core features, such as financial insights, basic investing, and savings accounts, don’t need any monthly fees.
Some images on this article are copyrighted by SoFi.
