How would you like it if you could save money in just three easy steps?
Instant gratification oh yeah!
If you are struggling and wrestling each month to be able to save even a small amount of money in your account, know here that you are not the only one. There are millions of people who are continuously striving to be able to make even decent amount of their savings but they end up using almost all the money that they have in hand. It made me wonder as to the causes and I am sure it will make you wonder too.
Spending and earning are the two sided of the same coin. In fact the reason why we are earning it is because we need to be spending it.
Now, just imagine that if all the money that was earned was saved, then the economy can go kaput. Why? Here’s why. When you save money only, it is equivalent to hording your money in small rooms. The money stops from coming in to circulation, people don’t buy enough stuff with it and then the economy becomes sluggish.
On the contrary when the people earn and spend, there are job opportunities created, people’s purchasing power gets a boost, there is a lot of money pumped in to circulation and the economy is in the pink of the health.
Wait a minute, am I extolling the benefits of spending?
No! much as I would love the people to spend and keep the economy in a rosy condition, I also want to be able to make sure that each one of the person who is earning stows away a part, however small part of his earnings into a saving account which will give him a cover during any contingencies in life.
Everyone loves instant gratification and it is so easy to flash your credit card when you have no more cash to pay. But all said and done, it is one of the highest standards of financial prudence to be able to save.
Your savings can cover you in surprising events:
Imagine that you are involved in some sort of accident that prevents you from showing up from work. Or you just wanted to opt for a career switch and therefore you quit your job. Now, your only cushion is the savings that you have accumulated. This amount will indeed be handy to until you recover completely or you find a job that you prefer.
But why be only negative?
It is not necessary that you need to be negative. On the positive side, how about an impetus to save because your luxury holiday at Bali is still in your bucket list and it is time that you deserve it now!
If you are struggling to be able to save, here is a list of saving hacks that are mostly fruitful if you care to give them a serious try. If they happen to work for you, let us know in the comments section how they actually helped you save.
- ECS all the way:
If you are the type who forgets the dates of repayment, then you must automate your paying. A special instruction at the bank will make sure that the amount of repayment of the loan or the credit card is directly debited from the account. This can save a lot of money because 99% of cases you will need to pay late fees or penalties and that is usually calculated as a percentage on the amount due. There goes a chunk of money that could have been saved and sitting pretty in your saving account!
- Try applications:
It is a good idea to make use of saving apps on your PC, tablet or your smart phone. Every day spend a few minutes looking over your finances and then making notes of things that you ought to do. This practice is regarded as a golden practice because any anomaly can be detected and rectified earlier than usual.
- Give yourself a part of your earning:
If the word saving conjures up images that you cannot afford to save or you believe in living for the day, here is one more hack that will save your day. As soon as the salary package is received, determine the amount or the percentage of money that you will give to yourself. Stash away that money into a savings account. Voila! Your saving account is created. Now watch it swell. Good luck!
- Invest :
When you are not too good with keeping the money safe, and love to spend it anything and everything, you can wisely put it away by investing in a property. This investment will grow and can help you fund your financial needs in the future by mortgaging it. You can check http://www.whichmortgage.ca/ to know what your options are.