Hello Grasshoppa,
Most of our parents and schools teach us about saving from a young age. How many of us manage to build these habits from childhood into our adult lives? I remember having my savings jar, “tabung,” but it was always empty. In fact, my saving habits improved as I approached my late twenties when I tried to save more money. The truth is, most of us are trained from a young age to adopt these habits, but not many of us actually stick to them. I recall that whenever I had extra cash, I would use it to buy things like games and other unnecessary items. Perhaps it seemed insignificant at the time, but these habits persisted into my adult life and contributed to the reasons why I found myself in debt.
To change these habits, I needed a lot of discipline to shift from my bad habits to good ones. Is it difficult to change? The answer is yes, but is the change worth it? Yes, it is worth it. With these changes, I managed to save RM100,000 in 3 years. If you are reading this, take a look at your bank account. Do you have more than RM10,000 in your savings or an amount equivalent to 6 months’ worth of your expenses? If not, ask yourself if it’s difficult to save money. Below are 9 reasons why you might find it challenging to save money.
1. You Have the Habit of Spending First & Saving Later
By the end of the month, you may not have any savings. The ideal habit is to save first and spend whatever you have after that, keeping some for emergencies.
2. You Overlook Small Amounts of Money
This is common, especially for online shoppers. Small purchases, when accumulated, can add up to significant amounts. Pay attention to even small expenses like daily meals.
3. You Don’t Know Where You Spend Your Money
Use an expense tracker to keep track of your spending. Without awareness of your expenses, you won’t be able to save and may even end up in debt.
4. High Debt
If a significant portion of your income goes towards paying off debts, it can be challenging. Uncontrolled debt can lead to high stress.
5. Overspending on Shopping
Differentiate between your wants & your needs to control expenses and save money.
6. Living Above Your Means
Living a lifestyle beyond your means can lead to financial struggles. Avoid exhausting yourself to keep up with repayments.
7. Low Income
Consider upgrading your education and skills, starting a side hustle, or finding a higher-paying job to increase your income.
8. Saving Is Never Your Priority
If saving is not a priority, you may end up with no savings, making it challenging during emergencies. Make saving a priority each month.
9. No Saving Plan
Start small, saving as little as RM50 each month or 10% of your monthly income. Building this habit will allow you to save more over time.
Conclusion:
OSS!
