17 Reasons Why You Should Save Money
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Saving money is a must for everyone.
I say that because having money saved for your own use is a game changer.
Most people think about saving when making a large purchase or going on holiday.
However, there are many rewards to reap from saving your money.
I’m going to show you 17 reasons why you should save money.
These are plenty of reasons that will inspire you to continuously put money aside.
Table of Contents
The Best Way To Save Money
There are many ways in which you can save money.
I’ve found from experience the best way to save money is by paying yourself first.
This is where you prioritise saving money first when you receive money.
Practically you’d treat this as a personal tax you levy on yourself.
You may start saving 5% or 10% of your income every pay day.
Then aim to increase it over time until you reach your maximum capacity to save.
One benefit of this method is that saving is always a priority and is guaranteed.
If you try and save what’s left after spending it you may not be so successful.
There’ll always be things to pay for or buy.
Paying yourself first is a great way to balance saving whilst spending at the same time.
17 Reasons Why You Should Save Money
Saving money is about the habit of saving rather than the amounts being saved.
And to be truly successful at keeping up habits you need motivation.
That’s what these reasons to save will give you.
The motivation and inspiration to maintain the habit of saving money.
Here are the 17 reasons why you should save money.
Save Money for Empowerment
One of the powerful things money can buy is freedom.
The freedom to have options.
Imagine having enough money saved that work becomes something you choose to do.
Or having enough saved that you can take 6 months off work unpaid to visit family abroad.
Imagine having enough saved to afford to live in the house you want to.
Money gives you options to choose how you live your life.
Save money so you can empower yourself to have options.
Avoid Lifestyle Creep
Lifestyle creep is the silent killer of financial empowerment.
This is where you increase your living expenses as your income increases over time.
Saving money is a great way to avoid this cycle.
I’m not against improving your lifestyle when you have the money for it.
But prioritising your savings means the more money you get the more you save too.
This way you don’t spend all your money and find yourself living paycheck to paycheck.
Save money so you can avoid lifestyle creep.
Leverage Savings Against Debt
There are two ways you can use your savings against debt.
Saving money gives you the power to avoid debt, especially consumer debt.
Secondly, you can use your savings to reduce your debts.
Sometimes people choose to save money whilst paying off debts.
Savings are a great way to manage the debt levels in your life.
Save Money for A House
One of the largest purchases most people make is buying a house.
I would encourage you to save for a house even if you don’t plan to buy one yet.
In fact, if you don’t want to buy a house yet you actually have more time to save.
The more money you have saved the less mortgage you’ll need to borrow.
Plus there are numerous fees and costs associated with homeownership to consider.
If buying a house is a current goal or future dream for you, start saving now.
Financial Cushion (Emergency Funds)
I’m all for setting financial goals and working towards achieving them.
But I’d be naive to not mention the reality that life happens.
Anything from health problems to house issues can lead to unexpected expenses.
Having money saved gives you some financial cushion to manage these well.
Without this cushion chances are you’ll borrow money to cover yourself.
This is why an emergency fund is life changing.
You’ll have power and control against life’s punches.
Save money so you can have financial security for the unexpected.
Switch To Annual Bills
Paying bills annually instead of monthly can save you more money.
When you pay monthly some companies add on interest compared to paying annually.
I used to think this is only done when you’re rich but with planning it’s possible.
Consider switching your bills to save money by making annual payments.
Set up a specific saving pot for each bill and start saving in advance before the renewal is due.
Then pay annually with the money you’ve saved and save for the next year.
Start with one bill at a time and see how far you go.
Save Money for Holidays And Trips
We all love a good holiday but they can also be costly.
You need money for travel, accommodation, food, activities and many other things.
Whether you’d like to go abroad or enjoy a staycation, having enough saved is a great feeling.
Save money so that you can enjoy your holiday debt free.
Start A Business or Side Hustle
A number of people would like to build other streams of income outside their day job.
Starting a side hustle or a business is one popular way of doing so.
With almost all ideas, you’ll need some initial investment to get it off the ground.
Start putting money aside so you can have the finances to get started.
But if you have the ambition to start don’t let the lack of money hold you back.
There are plenty of options to start making money without any investment.
Save Money for Hobbies
Hobbies are often neglected when it comes to money.
Your money is not just the serious things in life.
Have at least one habby you’re invested in and save money for it.
You may need equipment, clothing, instruments or to pay for membership fees.
Save money so your hobbies won’t affect your living expenses.
Save Money for Personal Development
This is one of my favourite reasons to save money.
I’m all about personal development and growth.
You can use the money saved for qualifications, courses, coaching or masterminds.
I believe investing in yourself is the best thing you can do with your money.
The benefit could be learning a new skill or getting a better paying job.
Save Money for Spiritual Growth
Closely tied to personal development is spiritual growth.
This includes personal time away for reflection, meditation or reading.
But you may also go to a special location for a spiritual pilgrimage.
This could be Jerusalem, Mecca or Mount Kailash.
Save money and go on a spiritual journey to refresh your heart and mind.
Your Intimate Relationship
Money can make or break a relationship.
Start using it to build your love and union with your partner.
This can be saving for special celebrations, getaways or buying a gift.
My wife and I save money so we can have fun dates on a budget.
We have many memories we’ve gathered from saving money for us.
Save Money for Your Children
Saving money for your children can be for two main reasons.
Saving for their short term needs such as presents, hobbies or school costs.
Secondly, you can also save for their future.
This can be for their education or help them get on the property ladder when they’re older.
Start putting money aside for your children today.
Save for Special Occasions
Most special occasions are predictable, they happen on the same date every year.
So you can plan to save for them in advance.
This way you won’t get into debt to pay for these special occasions when the time comes.
Think of birthdays, anniversaries, mothers day, fathers day and Christmas to name a few.
You’ll thank yourself if you do so.
Save Money for Philanthropy
We believe our money is not just for our own consumption or use.
I urge you to consider those you can help through philanthropic efforts.
You can either donate money or save money to pay for costs for you to volunteer somewhere.
There are so many ways you can be a philanthropist and make a difference in the world.
Improve Your Environment
Some people don’t consider saving money for improving their lifestyle.
Things like new house decor, fresh bedding, a better car or even moving elsewhere.
Your environment plays a big role in your mental and overall wellbeing.
Don’t settle for less or keep things as they’ve always been.
Save money to make some improvements in your surroundings.
Improve Your Money Mindset
Last but definitely not the least is to save to level up your money mindset.
Mindset is everything with money.
There’s something that switches with your mindset when you have money saved.
I still remember the time when I saved my first £1,000 and had no intention of spending it.
Not only did it make me feel a sense of achievement but my money mindset shifted.
Save money so you can improve your money mindset and start seeing money differently.
Take Action
Which of these reasons to save money sparked something in you?
Take time to start planning your saving method towards the reasons you resonate with.
Share this post with others so they can also learn about money too.
Let us know how you’re getting along by getting in touch with us, we’d love to hear from you.
Knowledge is powerless without action.
So take action, and take care.
Thando