Even though you will find every other person talking about the advantages of making savings for a rainy day, most people fail miserably when it comes to making savings. And well, that is one strong reason why so many people end up in financial trouble.
Saving money on a regular basis is one good habit that always pays, because life is full of uncertainties and you do not know when you may be confronted with some financial problems. Sooner you areÂ getting into the habit of saving money the better it is, and there is one thing that I can guarantee that you will never ever regret this.
How do you begin saving
Saving thousands of dollars for your future may sound quite exciting, but well it may not be easy. So instead of setting up some unrealistic target, begin saving whatever least amounts you can every month or every week.
Most people begin over enthusiastically about saving money, and may decide to pull aside nearly half of their pay for saving, but two months down the line, they feel it absolutely unworkable and that’s when they give up saving money altogether. Instead of beginning with big amounts, saving something as little as 20 to 50 dollars per week is a far better idea.
Because when you’ve never been into saving money earlier, securing aside more than a few hundred dollars a month may upset everything. And very soon you’ll find it difficult keeping pace with your savings, and so you may eventually back out. Going slow and steady is a better strategy, because that lets you continue making savings without feeling any strain on meeting up the day to day financial requirements.
Since, the idea of saving this money is to fight against untoward odds; you need to place your money somewhere, where it is easily accessible. So even if high returns on mutual funds or investments in stock markets make you feel tempted to put your money there, do remember that pulling out money from such investments is a long process.Â And as you’re saving money to meet up with uncertainties, you may not to always have a lot of time on hand to withdraw cash.
Whatever money you save for a rainy day, keep it in a simple savings account which has an ATM facility that allows you to withdraw money at any odd hour. As for the ATM card, don’t ever let it be in your wallet on you may be tempted to use these funds for some other purpose.
Just remember, that every penny counts so don’t just worry about how much you’re saving every month, because what’s more important is that you’re saving something.