Why It's Important to Save Money and Ways to Do It

Why It’s Important to Save Money and Ways to Do It

Jul 28, 2018 Robert McMullan Technology 0

Some people have a knack for saving money, while others can’t seem to tuck away a quarter. If you fall into the later, you are not alone. There are people who make over $100,000. in a single year that have difficulty meeting their monthly expenses. There are many reasons people don’t have a savings account. Some simply don’t make enough money, others don’t know how to budget their money and some are just reckless with their money.

Why You Need to Save Money

It seems at the worst possible moment something happens that requires money to fix it. When you don’t have any money saved to fall back on you end up borrowing from your bill money to cover the urgent repair. And, if you already live paycheck to paycheck as many people do, this can send you instantly into a state of crisis. Saving money is also important to your health and wellbeing. When you have a savings your bills get paid on time, you have money to enjoy a well-deserved vacation and spend a few dollars on something you want.

Ways to Save Money Every Day

Everyone has something they waste money on. Maybe it’s your morning iced latte or excessive cable bill that literally has hundreds of channels that you never watch. Take a step back and observe what you spend money on that you don’t need to. The morning coffee on the fly can run up a tab of $20.00 or more a week and the cable bill can cost you hundreds each month that you can use to pay off debt or put away for a rainy day.

Ways to Save Money on the Things You Want and Need

Luckily, there are so many ways to save money, many of which you don’t think of naturally. For example, chances are good you own a few electronic devices like a computer, an iPad, a tablet or a cell phone. When it comes time to upgrade to say a newer more efficient model trade in your old one. An iPad trade in, or another device, is not an uncommon practice, yet most people simply pay full price. Stores are notorious for having big sales during a holiday weekend. If there’s something you need like a new washing machine, check the flyers of the local stores and online to see who’s got the best prices.

Start a Savings Account

Emergencies will happen. However, for those who prepare for them, they are just an inconvenience and not a catastrophe. Even if you think you can’t put away $20 a week, you can. Cut back on the wasteful spending like eating out or going to concerts and buying new clothes you don’t necessarily need and focus on the bigger picture, your financial future. At just $20.00 a week you can save over a thousand dollars a year. And, that’s just for starters. When you get a raise or pay off a debt, give a portion to your savings account.

Life is full of challenging moments. However, if you plan ahead and develop a savings account, you can get through the urgent repair or bill and move on basically unaffected.