True or False: Using pre-authorized checking withdrawals can help automate your savings each month.

Using pre-authorized checking withdrawals can indeed help automate your savings each month. This method allows individuals to set up automatic transfers from their checking accounts to their savings accounts on a regular schedule, which can be daily, weekly, or monthly. By automating this process, it reduces the temptation to spend the money instead of saving it, as the transfer occurs without requiring any action each time.

Automated savings are effective in building a consistent savings habit. Moreover, it ensures that savings occur first before other spending, which aligns with sound financial practices. By treating savings as a non-negotiable expense, individuals can steadily grow their savings over time without additional effort.

In contrast, alternatives like depending on individual circumstances or only for large amounts introduces variables that could hinder consistent savings habits. Automation removes these variables and offers a straightforward approach to saving.