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Do you earn decent salary or wage, yet for some reason you don’t understand, you can’t seem to have anything left before your next pay – instead you feed from hand to mouth?
The truth is there are actually a lot of people like you. In fact, some make so much, yet, they can’t make much of it.
People often blame their inability to save on the ‘little’ amount they earn, but it’s not always so. While some have too much on their hands, some just have contributed to their own problems themselves. Here are 3 things we think are responsible for your situation, and how you can change it.
YOU CAN’T TELL NEEDS APART FROM WANTS
There’s a huge difference between a need and a want. If you have learned a bit of economics, you’d know that. A need is a very pressing want you can’t survive without. A want on the other may not necessarily be pressing, and you can survive without it.
A lot of us don’t know the difference, and that’s why we end up spending so much more than we can afford to. As you earn your salary or wage, think about the things you know you really have to get, go for them, and forget about spending for the month. This would help you survive better.
DEPENDENCE ON A SOURCE OF INCOME
No matter how much you earn, you can’t really survive off an income. And the reason is simple – our wants are never ending, and the more money you have, the more they get. So you need to keep making that money. Look for an alternative source of making money. Invest in a business if you have to, and you’ll be better for it.
POOR SAVINGS CULTURE
It’s important to save money. Every month, when you earn money, after paying your bills, set aside at least 10 to 20% of your wages for saving. If you cannot do that, then you have a problem. Saving helps you stay afloat when things go south unexpectedly. You don’t expect them, they just happen anyway, so preparing for them is important.