saving

noun sav·ing \ ˈsā-viŋ \

Updated on: 13 Oct 2017

Definition of saving

1 :preservation from danger or destruction :deliverance

2 :the act or an instance of economizing

3 a savings plural :money put by

b :the excess of income over consumption expenditures —often used in plural

c :a usually specified lower cost —often used in plural

a savings of 50 percent

See saving defined for English-language learners

See saving defined for kids

Examples of saving in a Sentence

The new system will provide a saving in labor.
How much money do you have in savings?
She has her savings in stocks.
They were able to retire on their savings.

Recent Examples of saving from the Web

McPhee’s cap hit for this season is $7.825 million and the cap savings would be substantial if he was released.

— brad biggs, chicagotribune.com, "Bears Q&A: Pursuing Joe Haden, Mitch Trubisky's next start, roster locks and more," 30 Aug. 2017
On the upside, that means shorter games, savings on stadium lights and coaches are a tad less on edge.

— scott springer, Cincinnati.com, "Who's in first in local Division I boys soccer?," 30 Aug. 2017
The bottom line: Savings of 14 percent ($24.04 versus $28.02)

— kevin granville, New York Times, "The Amazon Effect: How Prices Dropped at Whole Foods," 28 Aug. 2017
Ask your payroll department to automatically deposit a portion of your paycheck into savings.

— mandi woodruff, Teen Vogue, "How to Create a Budget in College," 18 Aug. 2017
Most of the energy savings are derived from meeting the state's energy code, which dates back to 2007, said Byran Zichel, a field manager for Lockheed Martin Energy, which manages NIPSCO's program.

— amy lavalley, Post-Tribune, "New science building comes with $150K energy savings," 9 Aug. 2017
Party bus companies reap big savings by operating only in Kansas, which requires a minimum $350,000 in coverage, or only in Missouri, which requires $550,000.

— donna mcguire and judy l. thomas, kansascity, "Party buses promise a good time, but some can be dangerous — even deadly," 27 July 2017
Imarisha channels the savings of its 57,000 members into loans for school fees, business projects or, in Mr Biegon’s case, roof repairs.

— The Economist, "Regulating credit unions in Africa," 20 July 2017
Despite the agreement, Carrier is still moving its fan coil production from Indianapolis to Mexico. … Although Trump and Pence have been credited with saving Carrier's Indianapolis factory …

— james hohmann, Washington Post, "The Daily 202: Trump shows disdain for rule of law with new attacks on Sessions, Rosenstein, Mueller," 20 July 2017

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'saving.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

Origin and Etymology of saving

Middle English, from gerund of saven to save

NEW! Time Traveler

First Known Use: 14th century

See Words from the same year

saving

preposition

Definition of saving

1 :except, save

2 :without disrespect to

Examples of saving in a Sentence

saving three members, the club is now fully committed to the fund-raising project

Origin and Etymology of saving

Middle English, from present participle of saven

NEW! Time Traveler

First Known Use: 14th century

See Words from the same year

saving Synonyms

Synonyms

apart from, aside from, bar, barring, beside, besides, but, except for, excluding, exclusive of, other than, outside, outside of, save, except

saving

conjunction

Definition of saving

:except, save

Examples of saving in a Sentence

I would be ready, saving the fact that I can't find my missing shoe.

First Known Use of saving

1535

saving Synonyms

Synonyms

but, only, except, yet

Financial Definition of SAVING

saving

noun

What It Is

In economics, savings is the amount that is left after spending. In banking, savings refers to savings accounts, which are short-term, interest-bearing deposits with a bank or other financial institution.

How It Works

There are only two things to do with money: Save it or spend it. For example, let's say John Doe's paycheck is $1,600 every two weeks, or $3,200 a month. His expenses are the following:

Rent: $1,300
Car payment: $450
Student loan payment: $450
Credit card payment: $300
Groceries: $250
Utilities: $75
Cell phone: $75
Gas: $100
Total expenses: $3,000

Because John spends $3,000 of his $3,200 income per month, he saves $200.

If John's expenses are higher than his income, he is not saving; he is living paycheck-to-paycheck. If he gets fired, has an emergency or his company closes in two weeks, he would have little backup.

In banking terms, savings accounts are time deposits, meaning that a bank can require the account holder to give notice before withdrawing the funds or impose a penalty for withdrawal before a specified date. The interest rates on savings accounts vary by institution but are generally lower than interest rates on longer-term deposits, such as CDs or even money market accounts. Interest is usually compounded monthly.

Why It Matters

It is dangerous not to save money. Not only is it financially risky, it creates unnecessary stress. To enable savings, John must reduce his expenses so that they are less than his income, and he should make regular, disciplined deposits into a savings and/or investment vehicle.

Ironically, when a country saves so much money that it hardly spends anything, its economy can suffer. This is called the paradox of thrift, which is an economic theory developed by John Maynard Keynes that states that the more people save, the less they spend and thus the less they stimulate the economy.

It is important to note that the interest rate paid on a savings account may be below the inflation rate, meaning that the account actually might lose purchasing power over time despite the interest earned.

Source: Investing Answers