Saving money is an obvious important factor of life to consider but surprisingly only few people do this. They know exactly what to do but not doing it or they started in few weeks then later on stop. Thankfully someone open my mind about saving money when I was a kid.
Right then I always think of how much to save. I started saving every coins I have at the end of the day. But at the end of the week it I spend all of it to food since I’m so hungry and ended up nothing. I can’t take it seriously, It’s hard but I just can’t. In high school I continue saving money. Giving me a very small amount, I keep on spending it at the end of the year (Christmas). It’s our mother who told us that probably we should treat our self. And then at the beginning of my college life I started saving good amount of my allowance. It all started when our Business Math professor gave us a project of Savings Account with passbook (minimum of P5000). Patiently, I was able to maintain it up until now I already have a job. It was a very big help especially for emergency situation. There are some factors that directly affect how I was able to save money more than I thought. Let me explain them one by one:
Aside from monthly allowance from I used to be a varsity in my University. It’s a big help especially that they’re granting us 100% discount on tuition fee and aside from that on every tournaments such as USCAA, NCAA and PRISAA there are allowance provided and besides the quarters and food expenses are handled by the University. I ended up spending none of my allowance and putting it all to my savings that leads me to the next list. It’s a great factor to make your habit into part-time job. I also like to draw so probably working for a portrait will be a good idea too. The good thing is, it feels like not a work at all. I bet you give it a try.
Creating a savings account is much easier if you’re a student since they only ask for few requirements. I previously had a passbook account but then I find ATM card very convenient. I can withdrawn money anytime so I just have to deposit my cash. A passbook is also good if you want to keep track of your deposit and withdrawals.You may also wanted to know if you withdraw more than you deposit in your account. Just make sure to keep your pin code secret ATM cards are very confidential item for you.
So I got my wallet with me, together with all the cash I have. First of all I want it to be organized as possible. Putting the same bill on each other in ascending order. But here’s the trick on bigger bills such as P500 and P1000 I put it on my secret pocket. Seeing that you have lots of extra money you intend to spend more so hiding it will have the opposite result. It’s effective for almost everyone else, it has the same idea with savings account only with interest earn. This factor is more on psychological and it might not work for everyone but if it does it’s a great help. Actually this factor is has additional formula, don’t forget to put discipline on it. You can spend more by knowing what, where and when to spend money.
Microeconomics Rule #101
“Scarcity” is the keyword. Everything has limitations, especially your cash. You’ve got to use what you have right now and make the most of it in the most effective way. You don’t have to buy another notebook or fountain pen if you already have one unused last year. You don’t have to buy clothes if you still have plenty of things to wear. On special occasions if possible you can just borrow to someone else dress.You need to find how to minimize your expenses since your resources (money) limited. There’s nothing wrong doing this thing from time to time. I know it sounds like you’re a beggar but for me it’s a clever way.
Especially that people nowadays use the money they don’t have, to buy the things they don’t need, to be accepted by the people they don’t know.
Make sure you’re not those kind of people, I also suggest you to watch or listen to successful people when they have seminar or talk on conference or discuss and post something online. They’re highly reliable. They know the do’s and dont’s
Living at apartment for college thought us a lot of things especially on how you should take care of your allowance for the month. A financial app is a big help in different way:
- List of expenses for whole month
- Income vs Expense
- Overview your variable/fixed expense
- Manage/adjust your payments
And many more depending on how you used it. For me, I just put all my fixed expense deducted to my income. The remaining balance will be my daily allowance. Basically it keeps me on track if I’m spending too much or not. Lots of this kind of app can be found on Playstore better to look for the best UI you love. Then take time to learn from it, once you get used of it you’re going to be a good friend trust me. Make sure to visit your app from time to time even not on daily basis. Just keep track of your major income and expenses.
It doesn’t stop there, I try to search on how to save more eventually I found a lot of things. First is the emergency fund, it differs from savings so basically I don’t have that. Second is insurance, I have my Social Security System (SSS) but I didn’t pay on it monthly and lastly retirement funds. I realized that what I’ve done before is an elementary ways now is the time to move forward and starting set aside my cash not only for savings but for other factors; emergency, insurance, retirement etc.
I still have plenty of ways and ideas to share with you guys but for now I believe this is one of the most effective way (according to my experience) for you to save money.Trust me on this, extra money will give you confidence to take risk and try things. I highly recommend this kind of hobby for everyone of any age. It will help you later in life and make yourself independent. Of course, don’t forget to help others.
Spending money on others promotes happiness – Positive Psychology Program
Why don’t you try it out and let us see what will suit you the best. Do you have any additional tips to share with us, kindly leave a comment below and we’ll discuss things.