It seems that no matter where we go or what we do these days, we are always told that we should save money. Yet saving money isn’t a fun thing to do – spending it is much better, isn’t it? Well, although spending money can be enjoyable, and although it is something that we should certainly allow ourselves every now and then, the fact is that saving money can be just as enjoyable. It’s wonderful to see that pot of money growing week by week or month by month, and it’s good to know the money is there should we need it. Here are some of the best reasons to save money rather than spend it all.
- Emergencies
You might know exactly how much you have to spend each month on rent, bills, and groceries. That usually means that whatever is left over is yours to do what you want with, but what would happen if you had spent all of that ‘spare’ money and then had an emergency to deal with? You might have to call in a plumber or electrician to fix a major problem in your home. Your car might break down and need attending to. You might have a problem with the law and, unless your attorney offers Arrest Relief, you’ll need to pay them a substantial amount of money.
If you don’t have any money put aside for emergencies, you may need to rely on family and friends to help you out, or you might have to get an expensive loan. In the worst case, you won’t be able to pay and your problems will get worse.
- Retirement
At some point, everyone will want to stop working. Depending on the career you have, it might be a physical issue that means you need to stop. When this happens, you’ll be glad that you put money aside each month to fund your retirement, especially if you put the money into a high yield account so that you earn a good amount of interest on the balance. There are a number of different ways to put money aside for your retirement including a variety of recognized schemes, matching your 401(K), or simply saving as you go. It is always worth speaking to a financial advisor to ensure that you have chosen the method that will give you the best return when you need it.
- Save For Luxury Items
If you want to buy something that is more expensive than you might normally buy (such as a car, or new sound system, for example), or you want to go on a great vacation or perhaps you like to hire a maid service, saving is a good way to achieve it. Not only will you not have to obtain expensive loans and credit cards to afford your time away or new belongings, but you’ll feel great about it because you were able to save the money you needed. Although instant gratification seems to be the norm these days, there is still something to be said about saving up and buying the item when you have enough money. This also means that you have more time to think about your purchase. If, when you have saved the money, you still want to buy whatever it is you saved for, you can do so easily. If you no longer want or need the item, the money can stay in your savings account or be used for something else.
