How to Save Your Money Wisely

How to save your money wisely and simply? When we want to achieve something great, we can achieve it in simple ways, but not in easy ways, especially when it comes to saving our precious money. Saving our bucks doesn’t only involve keeping ourselves out from buying anything that can dwindle our money. There are still a lot of deeper considerations and things we should learn to manage our cash wisely. The following are quotes, tips and tricks in saving your money the right way.

Spending money doesn’t always mean losing money

Many people are afraid to spend money and see it fly away from their hands. Well, not all cash spent are lost money. You can even save money by spending them. How could it be possible? Consider your debt or loan amortizations, if you will not let your money out in payment of your dues on time, you will only find yourself spending more in the future for penalties and charges. This is the same with taxes, if you will not pay on time, it will only cause you to pay more in the future for tax penalties, resulting this to further loss of your money. Consider also your insurance or your retirement expenses, they are additional spending, but they are spending that can save your money in the future. Saving money wisely involves considering the timing of your cash flow in the short run and in the long run. That is why you should come up with a good financial plan.

Keeping money doesn’t always mean saving money

Not all money kept is saved. Money set aside must have a reasonable purpose, such as fund set aside for emergency fund or business expansion. If money has a life, it should live a meaningful life. Thus, saving money wisely is also using your money sensibly. Cash and other cash equivalents should not be kept idle. They should be put on the circulation. They can be invested in mutual funds, debt instruments, corporate stocks and other equity securities. If you want to save your money, you must nurture it and let it grow. Risks in investing should not be feared, instead, they should be calculated and managed.

Wisdom comes from knowing and understanding

If you want to save and spend your money wisely, you need to have wisdom. A wise person is one who can make the right decisions based on his realized knowledge, insight and understanding. Hence, one should educate himself and continue to learn the lessons and principles of money and personal finance. You can read financial articles found on trusted books, magazines, blogs and other reliable sources. You may also ask financial advices from friends or persons who have succeeded in their way to financial freedom and money success. However, the great lessons you’ve learned and the wise choices you’ve made will be in vain if you will not value and practice them consistently.

Saving money wisely involves great virtues, such as patience, diligence, self-control and even living in humility. To achieve money success, we should not only focus on the figures and numbers, but also on the unseen things behind those numbers. We should have a righteous mind-setting towards achieving those financial goals. Finally, if we want to save money, we must secure not only the short-term, but also the long-term future of the money itself.

Victorino Abrugar is a retired CPA practitioner, a blogger, speaker, and an entrepreneur. He's the President of Optixor, Inc., a digital marketing company based in the Philippines. Follow him on Twitter at @viclogic.

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