These few days, I have been wondering to myself as to whether the habit of savings is something we train to do or is it something deeper. I guess your personal habits of savings can be partially shaped by your family background and upbringing. I stated partially because no matter whether your family is rich or poor, whether your parents are spenders or savers, there are always rebels in the family. ( Are you getting what I'm saying? I think the caffeine from my morning coffee is affecting my thought process..getting the buzz from the overly strong coffee...maybe I should cut down.)
Anyway, what I personally think is that the habit or need to save is ingrained in our genes, in our DNA. There are those that will never save no matter how deeply in debt they are, and there are those who will still save a high percentage of their income even if they are mega rich. I used to tell my friends who lived paychecks to paychecks to try to save a little, only to be dissed off and told that they know what they are doing...I have since tried subtler ways - See this post You can use some of the methods stated there if you have friends like that and want to help them save at least something.
How much are you saving every month? I did a calculation on my monthly accounts and was pretty shocked that my wife and I are saving 48.5746% of our take home income. ( Decimal points to add extra effect.....also something to confess.. as a spreadsheet junkie, I did not have to look or calculate to know..i look at it everyday..a habit I want to change..to something like once in 2 days...ok ok... once a month. I'm serious. Maybe we should have something like AA meetings. "Hi, my name is P and I'm a spreadsheedoholic")
Sorry about the ranting, anyway, everyone has different lifestyle and beliefs, but we must all try to save, no matter how much or little..better lean more towards the much. Try increasing your percentage of savings whenever you are able to. You can do this either by cutting your expenses or increasing your income. Always remember that what you can save = your income - your expense.
I hope that you uncover your "powers" of savings which is embedded in your DNA soon. It's never too late until its too late..( Don't Judge). What should a healthy percentage of savings? Like everything else in life, too much or too little of anything can be unhealthy...percentage of savings included.
As always save more, spend less and invest wisely.
P.
I used to live paycheck to paycheck as recently as 2years ago. It was untill i chance upon a book called 'millionaire next door' and blogs like yours that preaches the virtue of saving that i realised why i was constantly without any savings and that i could actually be 'rich'!
ReplyDeleteNow i am saving about 60% of my take home pay. So keep up the good work in sharing the message!
R.
Hi R, Saving 60% is really a feat, well done man. Anyway, thanks and I hope to spread the message to whoever chooses to hear. Anyway, I think I saw that book somewhere before.. Will go check it out this weekend. Thanks again!
ReplyDeleteHi RSG,
ReplyDeleteNot a bad book, I must say. Though after reading Nicolas Nassim Taleb's books, I know he'll probably say this, "xx% of millionaires drive a used car doesn't mean that if you drive a used car, you'll be a millionaire". Something like that, lol
I used to check spreadsheet everyday too. But since then, I've progressed to updating it twice a month, to roughly once a month now. You should too...no point being addicted to savings. It's equally as bad as addicted to spending. Your wife can probably help you kick off your addiction :)
Hey papillion,
ReplyDeleteKick would be an understatement, I tremble in fear at the thought of what she would do.. Anyway, I'm really trying not to be too addicted, going into cold turkey. I think its worse than drugs. I'm actually looking for books with a Singapore context. Anything in mind besides those Adam khoo books?
Hi RSG,
ReplyDeleteBooks about savings with Singapore context? Nope, never read such a book before. Maybe it's waiting for you and me to write lol
But try reading the secrets of the Millionaire Mind by T.Harv. It's a very good read. Also read Your Money or Your life by Vicki Robin, Joe Dominiguez. Both are life-changing books for me. After reading the latter, I started to keep track of my expenses item by item. I think you'll love that book.
If you want I can pass the physical book over to you.
Hey Papillion,
ReplyDeleteI think that you might be right, the book is waiting to be written. Think you are more suited to write it. Maybe leave a page or 2 for me to write? lol. Anyway, thanks for the recommendation also and if i cant find the book, I'll definitely borrow one from you.