When you hear the words ‘save money’ or ‘savings’, is frugal living the first thing that comes into your mind? Setting aside a portion of your income every month for the future requires considerable willpower. After all, who knows what tomorrow holds? Seize the day! However, this sort of mentality can be dangerous because you could only be creating hurdles for your future self that way. Finding it difficult to motivate yourself to save? Here are a couple of ways in which saving can save your life, literally!
- Financial independence: We hear about this all the time. More money isn’t a surefire solution. Instead knowing how to control your money is what generates wealth. Imagine feeling stuck in certain circumstances or positions because you are dependent on your paycheck. Savings give you flexibility and choice in life so that you can chase your aspirations minus the stress about how much money you have available in the bank.
- Be better prepared for emergencies: As mentioned earlier, there’s no guarantee about what may happen next. The coronavirus pandemic is one such example of a black swan event. Many people have been made redundant, and/or have been swept by pressing health emergencies. Savings can give you much-needed temporary relief when these unforeseen events hit so that you can successfully overcome them.
- Take advantage of opportunities: All work and no play makes Jack a dull boy. Many people think saving money and having fun lie in opposite directions. In fact, those little getaways and entertainment is a critical part of ensuring your own well being, and hence your ability to generate more income. When you have savings, you can engage in fun activities minus the guilt of compromising with future finances.
So, what are you waiting for? Save money and save your life!