ANYBODY WITH ANY INCOME SHOULD AND CAN SAVE.
When I post on matters personal finance, people always complain about how hard it is to save. This reminds me of a certain time I was totally broke at the end of the year.
THREAD ๐งต
When I post on matters personal finance, people always complain about how hard it is to save. This reminds me of a certain time I was totally broke at the end of the year.
THREAD ๐งต
As I reflected over my situation, I tried to think about the little I had earned that year. After going through some records, I got some figure. When you are not formally employed it can be difficult to know even what your income is. This is dangerous!
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2/9
After getting the revenues figure, I tried to think about where the money had gone into. I had no idea since I never used to keep any personal finance records. From that point, I started keeping daily records and I have done it for over ten years now.
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It is only after doing this that I was able to save.
These records were an eye opener. For instance, I once noticed I was spending a lot in restaurants. Some of these amounts might look mundane when you think about them daily or weekly.
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These records were an eye opener. For instance, I once noticed I was spending a lot in restaurants. Some of these amounts might look mundane when you think about them daily or weekly.
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However, when you look at the annual tally it jolts you to action. How many people even compute the rent they pay annually?
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5/9
Anybody who earns any income can and should save. If you are employed in a job where you can't save and it is not out of extravagance, it means you are making a loss. To use a more brutal language, you are enslaved rather than employed.
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6/9
I know how hard times are. However, everyone should live below their means. This is why it is important to keep records so that in harsh times, you can tell which expenses you can cut to ensure you continue to save.
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The saved amount should be invested in cash generating assets. This will yield a passive income which will shield you in difficult times. The passive income can even be your out of jail card from active employment.
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8/9
The importance of saving can't be overemphasized. The sacrifices are huge but the ultimate reward is way greater.
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9/9
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