Do you remember the old saying “save for the rainy day”? Can you recall the fable of the ant and the grasshopper we learned when we were young which taught us to save money? Of course, we remember those lessons yet we don’t practice them. It is true that saving money is the greatest secret to building wealth. In order for you to meet financial security and financial freedom, you need to have a good amount of savings. You are lucky if you are part of the rich clans and have huge inheritance from your parents’ wealth. But what if your parents decided to give it all to charities? Then you’re left with nothing. Whether you wanted to become rich or not, you still need to save money.
Here are 4 important reasons why you still need to save money no matter what:
1) Survive financial crises. This is in a form of accident, illness, job loss, failure of a business, or sudden death either you or one of your family members. Whether this is an act of God or act of nature, there are huge financial losses and we need money to survive. We may find a short-term solution to these problems but we might end up having huge sums of debts. Adequate savings will give you peace of mind that you can survive any emergency that comes your way.
2) Improve the life and well-being of your family. They said that money cannot buy happiness, but it can certainly buy things that will uplift our quality of life and our families. Sufficient savings can help us buy a decent house, a car, pay for quality education or to start-up a business. It can also give simple pleasures for your love ones like treating them to vacations or trips. It can also strengthen married life. Most couples argue about lack of money. With enough savings, we can avoid disagreements about finances.
3) Enjoy your retirement. It is not enough that you entrust your future to the government. The pension that you will be getting from your SSS or government benefits and contributions are not enough for your lifetime. Sometimes, you will end up getting small lump sum money from them when you retire due to debts. In this case, you may end up working after the age of 65. What’s worse is that you will become dependent on your children and it will be more difficult if they also have their own families. You will be of less priority when it comes to financial support. To enjoy your life after you retire and live the way you want it, start saving money.
4) Economic development. One of the patriotic reasons why you need to save money not only for yourself but also for others is to have sustainable economic development and financial stability. Many first world countries achieved the best standard of living because of availability of money from people’s savings in the banks. The money provides financing to companies who want to expand their business which promotes economic growth. Thus, more jobs and opportunities will be available for all. Even small savings helps in micro-financing for small-scale businesses and ordinary people start-up their own business to increase income and get them out from poverty. The more you save money, the more you help the country’s economy.
Whether you wanted to become rich or not, you still need to save money. Believe it or not, money makes the world go round. Money is essential for our survival and in this world and age, things are no longer free. To secure your future, you need to save money and start early so you can enjoy its fruits sooner.