6 Reasons Why You Are Still Not Saving

6 Reasons Why You Are Still Not Saving

Well, I’m just going to make it plain and simple. Saving is hard and boring.These are the things that are holding you back:

 
 

1. You are earning a lot this time.


“Unless you control your money, making more won’t help. You’ll just have bigger payments”-Dave Ramsay
 

Of course! Why bother saving when you have a high-paying job? When your salary is higher than ordinary, then you don’t have something to worry about.However, when your expenses is higher than your earning, then you have to think again. It is not how much you earn but how much you save. At the end of the day, it is how much is left.

 

I met someone lately who is working as a German interpreter in Deutsche Bank and he is earning a lot. After our meeting, he approached me and asked some advice because he is financially frustrated (I am now helping him in financial planning).

 

Here comes another friend who is just an ordinary office clerk with an average salary. She was saving little by little, 50 pesos each week until such time she built her emergency fund and invested in stocks and other assets. When your income increase, your expenses will also increase.

 

You will soon buy more expensive clothes, you will often eat in fancier restaurant, and you will have more “socialite” friends.You’ll soon forget to live below your means.The secret to a successful financial life is your saving habit.

 

 

2.You are financially broke.

 

“Broke is temporary, Poor is eternal”-Robert Kiyosaki

 

I understand where you’re coming from, I was there also but you have to pick up yourself. I had the fair share and had to learn life the hard way. If you haven’t mastered the art of 123 (the act that the commuter pretends that he already paid the jeepney fare), you are not broke yet! I did it multiple times before.

 

Although that was so shameful but I don’t have options that time, I was broke and when you’re broke your thinking is just to survive.That was already a bad memory.God loves me that before something happens or worst I will be caught, he gave me chance to change. So, this is the best time for you to start saving. You have all the inspiration and motivation to try to make a difference. You will be the one to benefit from it. A no nonsense advice from a former broke.

 

 

3. You have debts to be paid.

 

 

“A small debt makes a man your debtor, a large one your enemy”-Proverbs

 

When you are in debt, you would hardly think of saving for your future. Saving money starts by removing all possible debts. Debt can lower your morale (nakakakawala ng pagkalalaki) and can be your worst nightmare. It destroys relationships. A debt will only be a “good debt” when you use it for emergency or you will use it to fund your business.

 

Randell Tiongson, a Registered Financial Planner said, that before you plan to think of investing, you need to settle your debts first. That should be your early steps in your financial freedom. Talk to the people you owed and ask for payment arrangements. They would surely appreciate when you have willingness to pay. Make a reasonable timeline. Once it is all cleared, minimize borrowing. It will only affect your financial goals.

 

 

4.You are a breadwinner.

 

We Filipinos are known for being very responsible and helpful. When we are already working, we help our parents carry the burden of the family especially paying for tuition of younger siblings. Since this is very challenging, so do your Math and give what is enough for them. Then set aside extra amount for yourself.

 

Another thing is being a breadwinner sometimes stretched even up to extended family. That is when problem comes into play. When relatives depend too much on you, you are in trouble. Don’t get me wrong but I have a lot of friends who became broke by just going the extra mile. If you are an OFW, sometimes, learn to say “No”.

 

 

5.You don’t know how to start.

 

“A year from now you may wish you had started today”-Mary Lamb

 

Well, I was not a smart saver and wasn’t use to it (budgeting was not my thing). I was my on a rat race like getting my salary, spending, borrowing and doing it over and over again.I got tired and frustrated. One day, I was hooked up to this program which is discussing saving, investing and the likes. So I became a follower. I can’t forget that day, when I shared my financial struggle on air.

 

Well, that must be bold enough! Maricar Reyes-Poon was the guest and she told me that before becoming a celebrity, she was working with ordinary jobs but she was able to save some.

 

Our conversation ends with a decision to act on my situation. I invested in books and I enrolled in the best university of the world for free, YOUTUBE UNIVERSITY!

 

The secret is to shock your system!It won’t be effective if you start slow. The greatest enemy is yourself. So start not ASAP but start NOW! Do it with urgency! Saving is intentional.

 

 

6.You can’t make it consistent.

 

 

Probably, you are trying or starting to save but you can’t make it right. I can still remember when I was in grade school having my piggy bank but after few days it ends up broke. Well we haven’t mature in terms of money management.

 

We are few decades behind in terms of handling it.So what I did few years back, I started with 70-30 principle. Many people are doing it right now. You can do this too. I had envelopes with labels.When I get my income, I set aside 10% to the church,20% for my saving, 70% for my expenses.Sounds easy right?

 

Of course I failed to be consistent many times but through self discipline I was able to make it.Trust me, if you will master being consistent, investing will just be a piece of cake.

 


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