Economic Wisdom to Apply in Your Twenties

Chapter 36

Chapter 4 Section 8 Saving for Unexpected Expenses

26-year-old Jiazhi is a regular text reporter for a TV station in Taiwan. Her monthly salary is NT$35000.In 4 years, Jia Zhi deducted various expenses, and even saved NT$70, fulfilling his dream of studying abroad for a master's degree.

Jiazhi, who just started working, encountered a work "bottleneck" that most newcomers would encounter, and felt powerless to break through.For her own future, she felt that she needed further study and advanced training.But she didn't want to borrow money from her parents or the bank, so she came up with the idea of ​​relying on savings to accumulate the expenses.

Every day, Jiazhi is very economical in terms of board and lodging, guaranteeing three meals, not eating too many snacks, and not buying glamorous brand-name clothes.As soon as she had spare change, she saved it.When the money in the account increased, she felt that she was getting closer to her dream.

Finally, one day, when a friend joked with her: "Jia Zhi, how much money have you saved? Have you become a little rich woman?" She then noticed that she had already saved enough money to study abroad!

Many people have their own dreams, maybe they want to study abroad like Jiazhi, maybe they want to start a business, maybe they want to buy a house of their own in the city, or, girls in their twenties recently A dream is a long-awaited but expensive dress in a luxury store...

The realization of these dreams, big or small, requires a certain amount of money.Which one asks parents for money without hesitation?We are all in our twenties, and we should learn to pay for our dreams.

You might say, "I know I should save some money for the future. But at the end of each month, I never have much money left over from my paycheck. Where is the money left to save?"

In fact, it's not that you can't save money, but that unrestrained consumption has become a habit.Our suggestion is that you should pay yourself some money first.That said, put some money into a bank savings account at the beginning of each month before you try to spend it.When the liquid funds available for spending decrease, you will naturally consciously start to regulate your spending behavior.

Saving money is purely a matter of habit.After any behavior is repeated many times, it will become a habit.And the human will is but a driving force that grows out of our daily habits.Once a habit is formed in the mind, it will automatically drive people to take action.You don't have to start saving most of your daily expenses. Even saving 50 yuan or 100 yuan a week is better than saving nothing, because this is the beginning of gradually developing the habit of saving money.We can develop the habit of saving money as early as possible through the following aspects:

1. Save change
Since we were children, our parents gave us pocket money. Did you have a small piggy bank at that time?Even throwing a dime into a piggy bank can save you a lot of money over time.The concept of savings is cultivated from the accumulation of change.Now you can still save some of your own change from time to time, and save the money you usually save, maybe one yuan, two yuan, ten yuan, 20 yuan, if you stick to it for a long time, you will find that you have curbed how big it is. Pen wasted.

2. Bank savings
Before you do anything else, pay yourself some of the money—that is, put it in the bank.Some people suggest compulsive savings, that is, save 15% of your salary when you get your salary. In the long run, you will get good results.Of course, there are no restrictions on the method, but you must deposit the money in the bank on the specified day to form the habit of saving.

3. Set goals for saving

Saving money is about achieving your goals.Do you want to own a home? Change to a bigger house? Buy a car? Or plan to have a baby? The places you see often remind you of your goals, but if you don't turn them into concrete numbers, it will be difficult to make your income-increasing numerical calculations a reality.

4. Review from time to time
From time to time, I watched the savings in my bank increase a little bit, and felt the joy of the number gradually getting bigger.After a long time, you will feel that the accumulation of money is not easy to come by. You must cherish it and not spend it randomly.

Getting into the habit of saving money is not as difficult as you might think.Getting into the habit of saving doesn't mean it will limit your ability to earn money.On the contrary, after you develop this habit, you will not only save the money you earn systematically, but also enhance your ability to allocate resources, better plan your investment and financial management, and truly strengthen your economy ability.

Wisdom Pieces: Deposit Tips
First, save for a short period of time and deposit more for a fixed period; deposit less for a short period of time and deposit more for a long term.

Second, withdraw the deposit within the specified time, otherwise there will be a certain interest loss.

Third, rolling storage is convenient and can increase interest.For example, divide your savings into several equal parts, and then deposit a one-year regular deposit every month; There will be a fixed deposit due every month, which can be withdrawn, so that it will not reduce your interest income.

Fourth, "deposit principal and interest", that is to combine deposit and interest with zero deposit and lump sum withdrawal, and maximize income through rolling interest.

Fifth, before and after depositing, you should pay more attention to various issues, such as checking after completing the procedures, seeing clearly the changes in interest rates, and if you have not handled the automatic transfer service, then you must remember to transfer deposits in time.

(End of this chapter)