The importance of saving money cannot be disputed. With the rise of economic meltdown, one needs to keep a substantial amount aside for emergencies.
There are just a lot of reasons why you should save your money ranging from the need for financial freedom to the need to solve problems with the best choices in place.
Saving money doesn’t just happen on its own. It requires a level of discipline and consistency. An in-depth understanding on the reasons why you should save will help you become intentional about saving.
12 REASONS WHY YOU SHOULD START SAVING MONEY TODAY.
1. Financial Security:
Kara Perez, the founder of the financial education company that empowers women once said “I love saving money because it means financial security”.
Saving money builds financial security and provides a safety net to fall back on when an emergency arises.
2. Wealth Building:
One of the fundamental ways of building wealth is by saving. Overtime, the savings can grow through interest, investments and smart financial planning and can contribute to long-term financial success.
3. Debt Prevention:
Having savings can prevent you from getting a loan in times of emergency. It’s better to plan expenses with your savings rather than relying on a credit card.
4. Peace of Mind:
Knowing that you have some money saved in your account reduces stress and anxiety related to financial concerns. A good savings allows you to navigate life’s uncertainties with greater confidence.
5. Taking Advantage of Opportunities:
Saving money gives you the flexibility to seize opportunities when they arise, such as investing in stocks, real estate, or education that can further your financial growth.
6. Seizing the moment:
Saving money gives you the flexibility to seize opportunities when they present themselves. These opportunities could be investing in stocks, real estate, or education that can increase your financial growth.
7. Retirement planning:
Saving early for your retirement allows your money to compound over time. This helps you retire comfortably without any financial concerns.
8. Achieving Goals:
Most Goals we have require funding. Whether it’s going on vacation, buying a house or starting a business, saving money puts you closer to achieving your long term aspirations.
9. Calculated Risk:
With a good savings in place, you can take calculated risk with less worry. If you have no savings in place, it may be difficult to make certain decisions and pursue your passion.
According to Matt Becker, CFP, “Savings gives you the freedom to live life on your own terms”.
10. Work flexibility:
Having a good savings helps you have a support system to rely on when there is an employment gap or change in job.
Alex Crouch, The founder of Tech Financial planning based in Nashville, said “A huge benefit to saving is the flexibility it provides.
11. More travel Opportunities:
Having a good savings helps you have a support system to rely on when there is an employment gap or change in job.
Alex Crouch, The founder of Tech Financial planning based in Nashville, said “A huge benefit to saving is the flexibility it provides.
12. Helping others:
Once you attain a certain point in savings where you feel satisfied with your several savings funds, you can decide to support causes that go beyond your personal well-being.
This could be helping a friend, a family member or community development projects.
Goodness C., CEO MyGoodnessTv, once stated that some don’t give not because they are not willing but they don’t have the means.
As your savings build, you can contribute to more causes and gain more fulfillment from helping others. You can also place your savings in a high-yield savings account where it can grow overtime.
In Conclusion:
In essence, the importance of saving money is quite simple! It allows you to enjoy freedom and have your security ensured.
You can start by opening a simple savings account with a fin-tech app like FAIRMONEY and automate your savings process.
Guess what, it doesn’t have to be something difficult. You can automate your savings account to save a particular amount daily or weekly. With this in place, it won’t look like a big task.