How to start a Christmas sinking fund and save!

christmas in july sandman with christmas hat

Before complaining about a Christmas piece in July, hear me out. Money doesn’t grow on Christmas trees, right? Expenses are everywhere, and with the rising cost of living it's better to start ‘sleighing’ your Christmas savings goals early. 

That’s why I’m here to tell you that you should start a sinking fund. Trust me, you’ll thank me later. 

A sinking fund is a strategic way to save money where you put aside a bit each month for a planned expense, such as Christmas spending. 

If you start today by depositing $150 into a savings account each month, you’ll have $750 to go Christmas shopping by December.

Jingle your Christmas savings goals

It’s never too early to make a list and check it twice. Also, you don’t need to get everyone fancy gifts; it's best to find out who’s been naughty or nice and plan accordingly. 

Parents and siblings? They should be on the nice list, but if they’ve been naughty, maybe there’s no need to get them those Harry Style concert tickets or fancy smartwatch. Instead, get them nice coal chocolate from Haighs. 

If you plan your budget early, you’ll also be able to figure out the perfect gift for everyone and within your means.

Santa approved savings accounts

While our expert judges aren’t the jolly man in red (or are they??), they try to analyse and find the best savings accounts to make your search a bit easier–like a thoughtful gift. 

Every year Mozo announces the Mozo Experts Choice Savings Awards^, where we crown the best of the best in a savings account. 

This year some of the winners included:

  • Macquarie Bank
  • Virgin Money
  • AMP Bank
  • ING

These accounts offer solid interest rates and not too many extra fees or hoops to jump through.

You deserve the best, and so does your Christmas sinking fund. After all, isn’t the gift of earning interest like a Christmas miracle?

Browse more saving account options below.

Savings account comparisons on Mozo - last updated 29 March 2024

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure
  • Savings Account

    5.35% p.a. (for $0 to $250,000)

    4.75% p.a.(for $0 to $1,000,000)

    Yes up to $250,000

    Bonus variable rate is available for the first four months.

    Competitive introductory variable rate for first 4 months (on deposits up to $250,000). No account keeping fees to pay. Multiple 2023 Mozo Experts Choice Award winner.

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  • Mozo Expert Choice Badge
    High Interest Savings Account

    5.75% p.a. (for $0 to $250,001)

    4.40% p.a.(for $0 to $250,001)

    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account . Receive the maximum rate when you grow your balance by at least $200 each month. No Account keeping fees. No minimum balance.

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  • Reward Saver Account

    5.25% p.a. (for $0 to $1,000,000)

    0% p.a.(for $0 and over)

    Yes up to $250,000

    Intro bonus rate of 5.25% for balances up to $1,000,000 for the first 4 months, reverting to 3.25%. Minimum deposit of $50 and no withdrawals.

    Introductory bonus rate for balances up to $1,000,000 for the first 4 months. Minimum deposit of $50 and no withdrawals. Start your account online in under 10 minutes and earn interest on balances up to $1,000,000 (T&Cs apply). No monthly account fees, helping you save smarter and faster.

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  • Reward Saver

    5.25% p.a. (for $0 to $100,000)

    0.30% p.a.(for $0 and over)

    Yes up to $250,000

    Earn a high interest bonus rate if you hold an eligible transaction account and meet the bonus rate conditions (T&Cs apply). Only requires $1 to open. Free e-banking transactions. No monthly service fees to pay. Access your account via e-banking or the Bendigo Bank app. Not applicable to business customers.

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  • Mozo Expert Choice Badge
    AMP Saver Account

    5.40% p.a. (for $0 to $250,000)

    1.20% p.a.(for $0 to $5,000,000)

    Yes up to $250,000

    Enjoy a bonus rate when you deposit at least $1000 per month with the AMP Saver Account.

    No account fees. Unlimited transactions when linked to an AMP Bank transaction account. Easy online access to your money. Option to link your savings account to an everyday transaction account. 2024 Mozo Experts Choice Award winner.

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  • High Interest Save Account

    5.10% p.a. (for $0 to $250,000)

    0.10% p.a.(for $0 and over)

    Yes up to $250,000

    Deposit at least $200 to either Spend or Save account from an external source each month.

    No monthly fees on any of your save accounts. Split your money with up to 10 Save accounts. Set savings targets and track the progress of all your Save accounts. Deposits guaranteed up to $250K per customer.

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^See information about the Mozo Experts Choice Savings Account Awards

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