Good day and hope your week have been going well? On Tuesday, I discussed on the topic SAVINGS and I could not exhaust it all in a single post and so I am back today to finish up. Check this link in case you missed it and are curious to know what is written there.
I defined savings as the act of putting aside some money to achieve our material and other goals in life. I also talked about reasons we save and the medium we use in saving. I will talk on the remaining parts which are, long term goal and no goal at all.
Long Term Goals: This is the kind of savings for the future. You aren't planning to touch your savings sooner but later in the future. Examples of long-term goals are buying a car, owing a land, buying a house, saving for kids’ school fees, financial independence, early retirement, paying your house rent and so on. This is bigger or larger compared to the short-term goals. We can create an account in a separate bank for any of this purpose so that we will not be tempted or make mistake in touching them, we keep saving till our goal is met and we are able to achieve our dream. Don't forget banks aren't the only ways to save in just as I said, we can actually save the money as an investment in any Cryptocurrency believing that it will yield enough for you when you need it. Also, remember to go for potential coins and DYOR on them to avoid stories that touch in the nearest future.
No Goal at all: This is what I call emergency funds. We can also term this as short term goals because you may need it anytime. No one can tell when health will fail or when emergency would happen, but having an account set aside for an emergency will save us so much stress of suffering from bankrupt or financial distress. It suddenly means we are planning ahead for unforeseen situations.
HOW THEN DO WE SAVE?
We keep saying our salaries are small, where do we save from? The gist is, when we put our minds towards a thing, we can achieve it. It doesn’t matter how much we put in, it is the effort that matters which will pay up in the end. Same thing also for a student like me. We may think, we aren't working but trust me, I wouldn't want to believe that all students do not have a source of income either offline or online. Do not depend only on your parents.
Cut down on debts. We have the habits of borrowing and borrowing to most especially satisfy our wants and not need. Many people especially students would always like to compete with themselves thereby borrowing to put on fancy dresses, shoes etc
Needs are things we just cannot do without and wants are things we long to have but can do without, why are we stressing ourselves to borrow money to buy wants and not need? This habit should be worked on to help us cultivate the habit of saving.
Save money automatically. There are saving apps in which they are automated to take some money at a particular time, it could be daily, weekly or monthly based on what we have set in the app. But before getting such an app, be sure it is not a fraud app, make your necessary research. Do not come and meet me that I suggested this one when the deed has been done. Make enquires 😁
Spend unexpected income wisely. There are some money that comes to us that we never expected, we term them as free money. When these money come in, what do we do with it? How do we spend it? When we don’t have any need for money at that time, save it! But when we have need for money, since you weren’t expecting the money in the first place, take some money out and save, do not spend all.
Skip unnecessary bills, subscription, phone bills and the likes. You have to pay some price to end well.
We know we all love to go for vacation, see if you can skip that expensive vacation, when necessary, go for a lower price vacation to enable you save as much.
Be very conscious about how you spend, think twice before buying that bag, that shoe. The money you are saving will not go into another person’s pocket, it remains your money. You will only start saving when you learn healthy, wise and smart money habits, this will let your future needs be more important than your current wants when you make saving money a priority. START SAVING TODAY!!!!!!!
Thanks for reading my article today.
|November 04, 2021|
Saving is a vital part of life; a buddy often tells me that no matter how little we have, we should save.