Quite a number of people have gotten so used to living from hand to mouth, from one month salary to another, swamped with expenses here and there, some of which can be avoided, that they have either forgotten the importance of saving money or they have gotten so “comfortable” with that lifestyle and just overlook the idea of saving.
Living pay check to pay check is an unpleasant but predominant lifestyle amongst salary earners, so much so that several people have accepted it as their reality. But you don’t have to live this way, you shouldn’t live this way. You can create a financial pathway that is sustainable. The pay check to pay check lifestyle can be very stressful. You are constantly scrambling to make ends meet, anxious about being unable to afford even basic bills like rent and electricity.
On the other hand, there is this level of peace of mind you feel when you know that you have some money saved somewhere, especially when an emergency comes knocking on your door. With this in mind, I want to share with you five concrete reasons why you should look into building your savings today! Do read on…
1. Emergencies/Bad Times/Unforeseen Expenses
Emergencies can be expensive. Life is quite unpredictable and as much as we hope that emergencies do not occur, they do and that is life. So why not be prepared rather than potentially become another victim of an emergency.
2. Financial Goals
We've all got goals and many of them probably require money to be achieved. It's never too late or early to start saving towards our goals, be it's getting a masters, taking a vacation abroad or even buying a home or a car.
3. Get Out of Debt
One way to begin the process of getting out of debt is to trim unnecessary spending and start saving money towards paying back your debts.
We would all agree that it is a most fortunate thing to be able to enjoy some level of financial wellness at every level of one's life. However, it gets to a time when something slows us down especially age, and at this time we may not be able to earn as much by direct activities except perhaps through investments and pensions. While you are still very active, it is wise to save for that time when you will no longer be as active, so that you will enjoy a relaxing retirement.
5. Financial Independence
This means having enough income to cover your living expenses without relying on a job. To achieve this you must get control of your money i.e. spend less than you earn, build a budget, multiply your income streams, SAVE SAVE SAVE and INVEST.
Look out for more tips and knowledge on how to start saving money on our blog and social media pages and share your financial stories with us if you have learnt one or two things from us. We will be glad to hear from you.
Till next time!
Your Personal Finance Coach