THE MISTAKE MILLIONS MAKE
Just about everyone agrees that they should be saving part of what they earn. But many fail to do so. They feel that the cost of living is too high, there are too many bills to pay, too many things they need to buy.
All of which may be true. But the simple fact remains that, no matter who you are or what your income is, you can save. First you have to decide that you want to save some of your money more than you want to spend it. Next you have to decide how much you can realistically put aside.
THE MISTAKE MILLIONS MAKE
Many people make the mistake of believing that if they can’t save a lot of money, it isn’t worth doing. They overlook the fact that even small amounts saved regularly will add up over a period of time. Suppose you saved just five percent of your income. You would save a full year’s salary in less than 20 years (actually quite a few years less because of the interest it would earn in a savings account). If that seems like a long time, remember we’re talking about a full year’s income! How much less time would it take you to save $1,000 or $500?
By comparison, what will you have to show for the money you didn’t save? Look back over the last few years and ask yourself what you would have missed if you had saved five or ten percent of your income. Anything tangible or really worthwhile? Anything that would give you as much satisfaction as having that money in a savings account right now? Probably not.
Breaking the habit of spending all you make takes will power. But, as your savings grow, little by little, it becomes easier and easier. In fact, it becomes a pleasure. And, as you add to your savings, you’ll also be receiving interest that will help your savings grow even faster.
Isn’t it true that the things you really want most can only come through savings? Take a moment and make a mental list of the things worth saving for. Is there any sense in dreaming of a sudden windfall, an inheritance, or some other source of instant wealth? Of course not. You know what you have to do–start saving.