Week 13 - Why Save?

We have talked about savings before, but it's time to be reminded about it again as it is a vital concept.

What's your first reaction when income or pay cheque comes in?

As income is earned, the first thing to do is to make an immediate decision as to how much of it you will save... and set it aside immediately. This is a wise practice.  The first money to take out of your salary should be the savings.

Saving for the future does not mean that you are depriving yourself...it is just delaying gratification. All savings will have their use or purpose later on.

Three purposes for savings comes to mind:

1. Saving is to use - to buy your needs or wants  ie...shoes, car etc...
2. Savings is to keep - to buy for your future...ie: retirement plan, education plan...
3. Savings is to share - for helping others or to leave inheritance for the next generation

Hopefully I am able to encourage you to keep saving...every little penny counts as you build it over the years...you'll be amazed:)

There's a lot more to share but I'll leave that for next time.

Week 6 - Create A Food Budget

Let's make life a lot less stressful. Let's live within our means. Remember we can make goals and achieve them!

A budget is really there to serve us. Think about the big dreams or financial goals we have. A budget will help us see those dreams become reality.  — if we plan wisely, we can make our money work for us.

A food budget is a great place to start,  without sacrificing nourishment or taste. The easiest way to adjust a budget is through our food spending. With discipline, decide what goes in the grocery cart.

There are plenty of things we can do to create a food budget that works. Here's a few to start with:

• Shop wisely by deciding where to spend our money. Stores vary in their prices.
• Diets can range from filet mignon to beans and rice. There's a big price difference in that, but it's the nutritional value that counts.  
• Eating at home is cheaper than dining out. 

As we watch what we buy, we start saving. The money saved can be diverted to pay off our debts, or build capital to re-investment in multiple income schemes. Now, that's freedom:)

See you next week and keep on working towards our goal.

Week 4 - The Savings Equation

Today I want to share with you a very simple equation on what Savings is.

INCOME minus SAVINGS = EXPENSES. This is what Savings mean. Although some of us think of it as: Income minus Expenses = Savings. That's altogether a different mindset.

When we earn our income, the first thing to do is to take and make immediate decision about how much of it we will save... and set it aside immediately. The first amount of money to take off from our earnings is the savings.

Saving for the future does not mean that we are depriving ourselves...it is just delaying gratification.

Are we ready to start saving for investment to a better future? Let's start. It's time to get our act together.

See you again next week.