Saving Tips and Tricks

Below are some tips to aid you while saving:

• Acknowledge that you will eventually retire, even if its 40 years away, and it will cost you more money than expected.

 

• Differentiate between your needs and wants. For example, food and shelter are ‘needs’ while your MP3 player, branded clothes are just ‘wants’.

 

• Spend on what you need and what you can afford.

Examples of Needs and Wants:

Needs

• Nutritious Food
• Shelter
• Proper Clothing
• Transportation
• Education
• Medical Care when you need them
• Basic Toiletries e.g. toothpaste

Wants

• Designer Clothes
• Toys
• Candy
• Video Games e.g. PSP
• MP3 Players
• Jewelry
• Fast Food
• Vacations
• Movies

• Start saving now. Start saving as early as possible. The lesser you delay, the more money you will have for your retirement.

 

• It is important to start early if you are saving for your education, house etc. It is also important if you plan for it.

 

• Take advantage of compounding -- save money early so that it piles up.

 

• Start saving through curbing your spending on your ‘wants’. Also, start by saving a fixed percentage of your income every day/month. Example: 30% of pocket money every month.

 

• Saving money may seem rather difficult at times. However, it is not difficult at all! Whenever you receive some money from your parents or from your employer, it is always wise to save a portion of the money.

 

• There are several ways you could save your money. Be it letting your parents take care of it and depositing them in the bank or simply just leave them at home.

 

• If you are leaving it at home, get a right-size piggy bank. One that is too big may make you give up halfway.

 

• However, the best way would be to get your parents to deposit your money in a bank after your piggy bank is ‘overflowing’.

 

• The bank can provide the highest percentage of interest when you do not need them for the time being.

 

• In order to maximize your money when purchasing items, always look out for a store that sells the items at the lowest price as compared to other stores.

 

• Saving money requires will and discipline.

 

• ‘Never Give Up’ should be your mentality to curb your craving to spend on your ‘wants’.

 

• Set your feasible goal of how much money you would want to save in a period of time, like one month.

 

• If not, limit your spending to a set amount of budget/pocket money.

 

• Your saving would add up eventually, all it is required is time and patience.

 

• Carry out a strict regiment of setting money aside.

 

• Simple financial planning such as setting aside a minimum amount of money for saving can help you to keep up a saving habit. Save up additional income or pocket money.

 

• Appreciate what you have – using what you have to its fullest can help you cut down on the amount of money you need to spend replacing it. For example, do not throw your shirt away just because it is old, even if you must, you can use it as a rag.

 

• It is never too late to start saving.

 

• Don’t save money tomorrow at the expense of today.