If you want to stop having money issues you need to save. It’s not fun when we have to rely on borrowing money from our families or friends to get to the next pay.
If you want money for emergencies like sickness, money to go on a vacation with friends, to buy a car or house,.. you will find out that you need to save more and spend less.
Whether you’re a child at home whom parents take care of; a university guy who lives in hostels under a government scholarship or a NGO sponsorship; a grown-up girl/guy who lives in his ghetto and wakes up early in the morning to catch up the 6am bus to work; whether you’re a student, an employee or entrepreneur… everyone needs money and everyone needs to save some.
My simple definition of saving is putting money aside for future needs. The future needs may be planned or unplanned yet.
Here are some benefits of saving:
When i was a kid I have always dreamed of the day I will finish school, start working and earn money to be able to buy everything I want without asking permission. I would always get sad when I said “mum buy me this” and get the there-is-no-money-for-that response.
When I started my job this made me happy: to be able to buy myself clothes, pay restaurant bills,.. without asking anyone but me.
You’ll need to go on a vacation; to sponsor a friend’s wedding; to go on a vacation; to educate yourself and get a degree;… you’ll need to buy many things in this life and it’ll be hard if you haven’t saved.
To get out of debts
At one time we all feel like we don’t have enough money to do things we want. And when it happens we tend to borrow money so that ends can meet. And that’s a debt. To get out of it once you’ve taken it and to be secured enough to not ask one next time, you should develop a saving habit.
You might lose your job or get hurt
In good times we think that our jobs/businesses are secure. But you might get fired or get too sick to work or your business could close. And in these times you realize that bad things happen to anyone. When shit happens, to get by you’ll need some financial help and it’s better if you had saved; that way you won’t rely too much on others.
It’s inevitable that throughout life, there will be some emergencies. From a family emergency that requires you to fly across the country, to less emotional emergencies like a broken down car, having a decent amount of money saved up keeps you from adding financial stress to the pile.
Seriously, money is the last thing you need to be worrying about in an emergency. So do your future-self a favor and save up an emergency fund. Hopefully you’ll never need to use it, but if you do, you’ll be beyond grateful it’s there.
There’s nothing like financial stress to keep you up at night; or worse, wake you up in a cold sweat. (If you’ve ever experienced it, you know how unsettling that feeling can be.)
The good news is that there’s a great way to eliminate financial stress… just have more money.
You might be thinking, “Umm…duh!”, but it’s the truth. You see, everybody wants more money, yet very few people work hard to save it up. And, unless you win the lottery–which is beyond unlikely–the only way to have more money is to save it over time. It’s as simple as that.
Do you know what happens when you save money wisely, and invest intelligently? Your money grows. And when your money grows, your opportunity to help others financially grows with it.
Consider this: if you give 10% of every Rwandan Franc you earn to charity, or your local church, and you don’t have any savings or investments, your ability to give is limited by your annual salary. In contrast, if you save and invest your money, your ability to give will grow exponentially with compound interest.
Remember, money is just a tool you can use to accomplish your goals. And if your goal is to help others as much as possible, you need to be saving and investing your money consistently.
There are many reasons to save and if you start saving now, it may be years before you start to see impressive results. But if you wait years to start saving, you won’t see any results at all.
Your future wealth called: it asked you to start saving.