Another set of individuals was offered a program that included public goal setting, monitoring and non-financial rewards. That group saw the number of savings deposits grow 3.7 times. The average balance nearly doubled.
The group that was offered the higher savings rates, however, saw little change.
“The motivation is not the problem of those participants; they want to save,” said Stephan Meier, James P. Gorman professor of business strategy at Columbia Business School. “What is hard is to actually implement it.”
The savings support group helped to make those changes a reality by keeping the goals at the top of mind for those participants.
“Just the talking about it helps,” Meier said.
If you want to get a group together to help further meet your goals, just make sure it comprises people who are in similar circumstances, Meier said. If you include your rich uncle in your group aimed at saving more, it may be more discouraging than beneficial, he added.