Harnie Gold
Member
There are several wants and needs that may arise daily, weekly or even monthly that we may not have control over them but how we spend our hard earned money on any of these things, is our choice. Money spent unwisely, can never came back or bring profit to us.
Wise spending, savings and investment for ages, have been one key to wealth accumulation.
The ability to save is a very good virtue. We may never have the power to control or make decisions as regards the economy but we definitely have power how we spend or save our money.
Saving money as regularly as money comes into our hands is a habit that will never leave us broke or leave us crippled when we are presented with an investment opportunity.
The following points, will help you know how to save your money.
SEPERATE WANTS AND NEEDS
Before you spend money on anything, ask yourself, do I really want/need this? Can this expenses wait? Why do I need this? Am I buying this just to show offor because it is indispensable?
Several people make a lot of money but at the end of the day, they are still broke because they do not know how to separate wants and needs.
While needs are necessary, indispensable and essential things. Wants are things that can improve your quality of living and they are not essential or indispensable. For instances, shelter (house) is a need. While living in a mansion is a want. Shelter is a need because we all need a place to lay our heads at the end of the day but living in a mansion is a want because it is one of the many ways to provide shelter for ourselves.
Shelter is a basic need but living in a mansion is not.
CHECK THE SERVICES YOU CONSUME
When sharing the bus with other passengers can be convenient while take an Uber ride? When going to the fast food or restaurant is convenient and less expensive, why order home delivery.
These two examples above, are one of the things that bring extra expenses that affect our saving power.
When a service does not help you to cut cost, consider not enjoying it. Especially now that you are trying to save money for current and future investments.
Spending all your income on things that do not add to your wealth portfolio, is a recipe for future poverty and penury
SAVE AND SPEND UNEXPECTED INCOME WISELY
Save some part of the bonus you might get from work at the end of the day, week, month or year.
So many people think that bonuses are meant to be spent and not saved.
If it a several large some, you can invest it immediately or save it for future investment.
AVOID GOING FOR LUXURY ITEMS
Almost everybody loves to enjoy luxury goods and luxury lifestyles but most luxury goods and lifestyle, are expensive and going for them, can tamper with our savings plan.
Instead of going for luxury, we can discipline ourselves, to spend our money on quality and durable items while we save for future purposes. Practicing delayed gratification is the key here.
Know that, luxury does not always mean durable and lasting.
Living a luxurious lifestyle, is not bad especially, for someone who have put their income over time to good use ie, someone with a fat investment portfolio and not someone who is still building for the future.
CONTROL YOUR HUNGER TO SHOW OFF
The people you are trying to impress thereby, spending and not saving a substantial amount of income for future investment, will still be the same people in the future that will mock you if you go broke after trying so hard to impress them. So, the key here to help you save and spend wisely, is to quit trying to impress people. Always remind yourself that if you cannot impress them today, your fat investment portfolio, will impress them on your behalf tomorrow.
Elon Musk does not need to wear or own expensive things to impress anyone but his fat investment portfolio does that for him.
Wise spending, savings and investment for ages, have been one key to wealth accumulation.
The ability to save is a very good virtue. We may never have the power to control or make decisions as regards the economy but we definitely have power how we spend or save our money.
Saving money as regularly as money comes into our hands is a habit that will never leave us broke or leave us crippled when we are presented with an investment opportunity.
The following points, will help you know how to save your money.
SEPERATE WANTS AND NEEDS
Before you spend money on anything, ask yourself, do I really want/need this? Can this expenses wait? Why do I need this? Am I buying this just to show offor because it is indispensable?
Several people make a lot of money but at the end of the day, they are still broke because they do not know how to separate wants and needs.
While needs are necessary, indispensable and essential things. Wants are things that can improve your quality of living and they are not essential or indispensable. For instances, shelter (house) is a need. While living in a mansion is a want. Shelter is a need because we all need a place to lay our heads at the end of the day but living in a mansion is a want because it is one of the many ways to provide shelter for ourselves.
Shelter is a basic need but living in a mansion is not.
CHECK THE SERVICES YOU CONSUME
When sharing the bus with other passengers can be convenient while take an Uber ride? When going to the fast food or restaurant is convenient and less expensive, why order home delivery.
These two examples above, are one of the things that bring extra expenses that affect our saving power.
When a service does not help you to cut cost, consider not enjoying it. Especially now that you are trying to save money for current and future investments.
Spending all your income on things that do not add to your wealth portfolio, is a recipe for future poverty and penury
SAVE AND SPEND UNEXPECTED INCOME WISELY
Save some part of the bonus you might get from work at the end of the day, week, month or year.
So many people think that bonuses are meant to be spent and not saved.
If it a several large some, you can invest it immediately or save it for future investment.
AVOID GOING FOR LUXURY ITEMS
Almost everybody loves to enjoy luxury goods and luxury lifestyles but most luxury goods and lifestyle, are expensive and going for them, can tamper with our savings plan.
Instead of going for luxury, we can discipline ourselves, to spend our money on quality and durable items while we save for future purposes. Practicing delayed gratification is the key here.
Know that, luxury does not always mean durable and lasting.
Living a luxurious lifestyle, is not bad especially, for someone who have put their income over time to good use ie, someone with a fat investment portfolio and not someone who is still building for the future.
CONTROL YOUR HUNGER TO SHOW OFF
The people you are trying to impress thereby, spending and not saving a substantial amount of income for future investment, will still be the same people in the future that will mock you if you go broke after trying so hard to impress them. So, the key here to help you save and spend wisely, is to quit trying to impress people. Always remind yourself that if you cannot impress them today, your fat investment portfolio, will impress them on your behalf tomorrow.
Elon Musk does not need to wear or own expensive things to impress anyone but his fat investment portfolio does that for him.