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Savings: meaning, definitions and examples

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savings

 

[ˈseɪvɪŋz ]

Definitions

Context #1 | Noun

personal finance

The amount of money that is not spent or used for immediate expenses, but rather kept aside for future use or emergencies. Savings can be stored in a bank account, investment account, or other financial instruments.

Synonyms

funds, nest egg, reserves.

Which Synonym Should You Choose?

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Word Description / Examples
savings

Used to refer to money that has been set aside, often in a bank, for future use or emergency situations.

  • I dipped into my savings to pay for the car repairs.
  • He's been building his savings for years to afford a house.
funds

A broader term referring to available money for a particular purpose, such as investments, projects, or specific expenses.

  • The charity event raised significant funds for cancer research.
  • She's allocating funds for the company's marketing campaign.
reserves

Generally used to describe money kept back for specific needs or emergencies, often in a business or institutional context.

  • The company maintains financial reserves to cover unexpected expenses.
  • During the pandemic, many businesses had to dip into their reserves.
nest egg

Informal term for money saved over time, typically for retirement or major financial goals. Often used in a personal finance context.

  • They have a substantial nest egg saved up for their retirement.
  • A good nest egg can provide financial security later in life.

Examples of usage

  • Her savings allowed her to buy a new car without taking out a loan.
  • It's important to have savings to cover unexpected expenses.
Context #2 | Noun

economic context

The portion of income that is not spent on consumption. Savings can also refer to the total amount of money saved by individuals, businesses, or governments.

Synonyms

capital accumulation, hoarding.

Which Synonym Should You Choose?

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Word Description / Examples
savings

Use this word to refer to money that you have set aside for future use, typically kept in a bank account. It is often associated with personal finance and financial planning.

  • I have been building up my savings for a down payment on a house.
  • Make sure to put some of your earnings into your savings account.
capital accumulation

This term is more formal and is used in the context of economics and finance. It refers to the process of gathering and increasing the amount of capital (assets, investments) over time. Mainly used in business or academic discussions.

  • Capital accumulation is essential for the growth of a company.
  • The economics course covered various methods of capital accumulation.
hoarding

Hoarding has a negative connotation and is used to describe the act of accumulating money or possessions in excessive amounts, often secretly and without intention to use them. It can also refer to a psychological condition where individuals excessively collect items.

  • His hoarding tendencies have taken over his entire house.
  • Hoarding cash can be detrimental to the economy.

Examples of usage

  • High levels of personal savings can indicate a strong economy.
  • The government encourages savings by offering tax incentives.

Interesting Facts

Etymology

  • The term 'savings' comes from the verb 'save', which has roots in the Old French word 'sauver', meaning to rescue or keep safe.
  • In the 17th century, 'saving' referred to preserving money for future needs.

Economics

  • Personal savings allow individuals to fund future expenses without relying solely on income, creating financial security.
  • Higher national savings rates often indicate strong economic health, as they lead to increased investment in infrastructure and education.

Psychology

  • Research shows that people who regularly save report feeling more secure and less stressed about their financial future.
  • The 'mental accounting' theory suggests that individuals categorize their money into different accounts (like savings, spending), affecting their spending behavior.

Pop Culture

  • Many movies and songs emphasize the importance of saving money for dreams, such as buying a house or going to college.
  • The concept of saving is often featured in children’s stories, where characters learn the value of saving up for something they really want.

Financial Planning

  • Financial experts recommend saving at least 20% of your income for emergencies and future goals.
  • 'Compound interest' can significantly boost savings over time, where you earn interest on both the principal and previously earned interest.

Translations

Translations of the word "savings" in other languages:

🇵🇹 poupança

🇮🇳 बचत

🇩🇪 Ersparnisse

🇮🇩 tabungan

🇺🇦 заощадження

🇵🇱 oszczędności

🇯🇵 貯金 (ちょきん)

🇫🇷 économies

🇪🇸 ahorros

🇹🇷 tasarruf

🇰🇷 저축 (jeochuk)

🇸🇦 مدخرات

🇨🇿 úspory

🇸🇰 úspory

🇨🇳 储蓄 (chǔxù)

🇸🇮 prihranki

🇮🇸 sparnaður

🇰🇿 жинақтар

🇬🇪 დაზოგვა

🇦🇿 qənaət

🇲🇽 ahorros

Word Frequency Rank

At position #2,606, this word belongs to solid intermediate vocabulary. It's frequently used in both casual and formal contexts and is worth learning for better fluency.