“People who lack self-discipline are often the victims of those who do have self-discipline” – Robert Kiyosaki.
It’s time to stop the frivolous spending – and it’s actually easier than you might think.
Imagine placing R2 000 of what you’re currently earning into a savings account every month.
After only 10 months, you will have saved R20 000 – and that’s without the accumulated interest rate you’re earning on that account. Not too shabby, right?
This goes to show that it may not always necessarily take years to save up for your dreams, like an overseas trip or a really pricey laptop.
Here are a few things to consider:
1. Reconsider the ‘but first, coffee’ mornings. There is nothing like starting your day off with a strong, creamy cup of java. No guilt in this.
But you may need to consider where you’re buying your coffee. It’s really simple: try to find good coffee, but at a cheaper price.
2. Bottled water. The idea that you pay extra for our planet’s most freely and widely available resource seems absurd. Carry a water bottle with you and make use of the faucet or water cooler.
3. Grocery or food shopping when you’re hungry. Being hungry while grocery shopping can make everything appear mouth-watering; and yes you may end up buying food products that you wouldn’t normally buy, only to find yourself justifying this extra expense with, ‘I deserve a treat’ or ‘let me treat myself.’
4. Costly personal-care products. This may be a difficult one to accept, especially if you’ve found a product that works well for you and you’ve become accustomed to the splurge.
So, allow yourself to be a little more consumer-savvy.
Do you really need that spot-intense cream to ‘brighten up’ or moisturise your complexion when you can increase your water intake instead? It would improve your bank balance and your health.
5. Spontaneous lunches. Frequently getting a take away or buying something at the nearby grocer seems to be the office norm, but it can quickly become a great expense.
However, tempting it may be to buy what’s on cheap offer, opt for packing in some leftovers instead.
Not only is it a lesser expense, it becomes much healthier, because you’re in control of what goes into your meal.
6. No, you keep the change. Good for you when offering that the waiter or cashier keeps your change instead, but a little can go a long way and saving your change can make a big difference to your savings in the long run.
7. Pay yourself first. This is possibly the greatest thing you will ever learn about handling money and it is straight from the wisdom of financial guru, Robert Kiyosaki.
It seems logical to pay off all your debts and monthly bills and expenses first. However, paying yourself first means creating more cash-flow to invest with. Even if it’s just saving a R10.
8. Choose a savings account with higher interest rates and cheaper bank costs.
9. Put things into perspective: If you’re earning R50 an hour and you cannot seem let go of a pair of shoes worth N100, ask yourself, “Is this pair of shoes worth 14 hours of work?”
10. NEVER, ever dip into your savings. Try to forget about the money that you’re saving. This will be a tough one, but something you should swear by.
Your savings account was created with a certain goal and that goal only. To make saving easier, set your bank account to auto debit.
Source: Woman24\ News24 Kenya