NORFOLK, Virginia – The pandemic has changed the priorities of many people.
For many, that means saving more money.
In a Bankrate survey released in May, 26% of people said they plan to start saving more for emergencies due to COVID-19.
Some savings programs are already seeing improvements.
Virginia529, an education savings plan, says they’re seeing record numbers.
According to the College Savings Plan Network, savings from 529 accounts nationwide increased 14% in 2020.
Virginia529 says they see this trend continuing into 2021 for both the Education Savings Plan and ABLEnow, a disability savings program they also manage.
CEO Mary Morris says there are likely a number of factors, including stimulus checks for people who don’t need the money right now.
“We’ve seen this especially with the ABLE accounts where it may have been unexpected resources,” Morris said.
ABLEnow offers people with disabilities a place to save money without losing their eligibility for certain benefit programs.
He started about five years ago.
For people who have a hard time getting started with a savings account, Morris says start small.
“If you can find $ 10, $ 25, we have very low opening balance requirements for our accounts,” Morris said, “small amounts over a long time really make a difference.”