18 Oct 2017

A Few Misconceptions About Saving Money!

Saving money is a goal that many try to achieve and most fail to do because money makes the world go round. Everything that you own costs money, from the food you eat to the clothes you wear. It can be hard to save, especially for those who love to eat and who love to dress to impress. But saving money doesn’t have to be difficult. There are just many misconceptions about saving money and these make many people hesitant to save money in the first place. Here are a few misconceptions about saving money.

Misconceptions About Saving Money

When you are saving, you can only buy basic necessities.

This is what makes a lot of people hesitant when it comes to saving money. Many like to live large because there are just so much that you can enjoy. Life is too short, they say, so we should enjoy everything that we can and think about the financial consequences later. For those who do think that saving money means you only eat cup of noodles for lunch and a piece of bread for dinner, then you might want to rethink your perception. Basic necessities are given expenditures. They should not be sacrificed because they are important. Saving money could also mean that you are spending on your basic necessities, but you’re just not binge shopping shoes and bags and clothes that you might not even wear.

Saving money means that you only spend for things that are necessities.

This is a common misconception because one would think that saving money means saving money in terms of the things that you spend on. It is true that saving money depends on what you purchase. But that doesn’t mean that you can’t treat yourself to thing that you want. You worked hard to earn that money. Spend some of it for yourself. You don’t have to lower your standard of living. You just have to spend wisely. Spend on what you need and then buy what you want in moderation and leave the rest for your savings.

When you save, you can buy what you want.

Saving is not just about saving up for a specific item. Saving means you have enough money to set aside in case of emergencies. Saving means that you have something to fall back on when unforeseen circumstances occur. Sure, saving money to buy that watch that you have always wanted can motivate you to save. But ultimately, saving money should be for long term goals.