Cracking the Code of Saving Money...

[CageMabok]

By savings first and spending from interest earned from your savings, I read this somewhere on the Internet and it's stuck with me ever since,  I find it true from my personal experience as well. Interest might not be enough but what one could do is increase savings further and further until interest is good enough to sustain oneself.

It is also a better solution if someone is able to increase the interest to use it in life, because this can also influence the savings side to become bigger and swell. However, trying to increase interest more in life through savings is also not an easy matter now, considering that currently it is still difficult for some people to increase savings. So it will also make them experience difficulties in increasing the interest to be bigger for them to use in their own lives, even though this is a pretty good solution to do for those who can afford it.

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[Assface16678]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend. or you can spend quite an amount in investment, of course, with sure profit, like trading. That's what I do; the profit I earn from trading will go straight to my savings; if not, then in another section of my budget. In short, you can't save much from your salary, so find another side hustle that will add up a profit and also add up your savings. Don't settle for less; keep on striving and finding a way to have a better life and bigger savings. That's what I learned.

[Betwrong]

Billionaires have said poor people save money while rich people invest their money. Well, from that point of view we can clearly see differences and it's possible outcome. Saving money is much better than wasting it but investing it to something that will gave us more than the amount we save is the best and wisest choice.

But in many cases investing is wasting. Especially investing in something that seemingly will provide you with high yield. I wouldn't encourage people to invest instead of just saving. Those billionaires you've mentioned in the beginning they usually lose millions on the wrong investments before finding something profitable. Regular people can't afford that.

Yes that may be true, if we look at the many cases that occur about those who are wrong in terms of allocating money for investment then there will definitely be cases that occur or befall them, but I don't think it will always be like that, maybe this is just a matter of their lack of knowledge in the field and also of course following by not paying too much attention to the level of risk that can befall them. So maybe I think that's one of the reasons why they invest but in the end it's like a waste of time and money, and I would say maybe that's part of the process that they have to go through in the beginning, if they give up then yes I agree to the statement of wasting time and money, because they're already munder before the returns happen.

Of course it can't be always like that. We can talk only about probabilities. How probable is that your investment will fail? That's what everyone should think about before investing in anything. If you just think, "everyone fails with that but I will not", that's hardly a good way of thinking.

Saving money in your local currency, especially if you live in a troubled country, is very risky. I'd say, maybe it's riskier than investing in an established business. But saving in USD is probably more safe than anything else. USD can lose it's purchasing power with time, sure, but not to such an extent that it would be a disaster.

[doomloop]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend.

What about those who don't earn a lot? Someone with a limited salary cannot separate a specific percentage from it for savings and then spend the rest on other things because the rest might not be enough. If you earn $1,000 a month and have expenses that covers almost the whole amount or even higher sometimes, you can't have much savings or any savings in that case.

In short, you can't save much from your salary, so find another side hustle that will add up a profit and also add up your savings. Don't settle for less; keep on striving and finding a way to have a better life and bigger savings. That's what I learned.

Exactly, it is not always possible for everyone to be able to save money from the salary you get, that's why it becomes necessary to find an extra source of income, something that will earn you some money that you can use either for your savings or add it up to your budget and take a percentage out from the total for your savings.

[Fortify]

We all want to save money, but it's not always easy.
There are so many things that tempt us to spend, unexpected bills that pop up, and it can be hard to make ends meet.
How do you manage to save in a world that encourages spending? Let's talk about it.
Share your ideas, tips, and stories about saving money, and together, we can figure out how to get better at it. (We will also draw valuable lessons from the mistakes and experiences of others.)

The first step for people thinking about saving is to get out of debt, because that's the starting point for so many people. Holding debt while trying to save can often leave you worse off, if you're paying 20% per year on a credit card balance but have a small amount of "savings" earning 5% then you should direct all those funds to bringing down the balance first, otherwise you've just got the illusion of savings that is costing you more. You should target your most expensive debt first and clear that, but possibly consolidate where you can. Increasing your earnings is one way to boost your spending, but you should also occasionally re-evaluate how you are spending money too and cut back on excess until debt is paid off.

[Betwrong]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend.

What about those who don't earn a lot? Someone with a limited salary cannot separate a specific percentage from it for savings and then spend the rest on other things because the rest might not be enough. If you earn $1,000 a month and have expenses that covers almost the whole amount or even higher sometimes, you can't have much savings or any savings in that case.

Some people earn even less than that, and it's extremely hard for them to save something. You know what, I was one of those people during some period of time, for years actually. And I can tell this much: if you earn so little,  you never give saving a thought even. You just live. You are happy you can buy a loaf of bread, and if you can "save" to buy a bus ticket to not be walking for two hours to your home, you are super happy.

[red4slash]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend.

What about those who don't earn a lot? Someone with a limited salary cannot separate a specific percentage from it for savings and then spend the rest on other things because the rest might not be enough. If you earn $1,000 a month and have expenses that covers almost the whole amount or even higher sometimes, you can't have much savings or any savings in that case.

Some people earn even less than that, and it's extremely hard for them to save something. You know what, I was one of those people during some period of time, for years actually. And I can tell this much: if you earn so little,  you never give saving a thought even. You just live. You are happy you can buy a loaf of bread, and if you can "save" to buy a bus ticket to not be walking for two hours to your home, you are super happy.

Surely we cannot generalize all the abilities that each person has. I also often hear people say that they don't want to start saving and have savings, but circumstances force them to and they can't do it. Before thinking about this, I think we must first take steps where our financial situation is stable or at least we must have a decent income first, whether it's finding a better job or building a business.
I was once in a situation where even being able to eat was a joy, because the situation was very difficult at the time. But when I had a decent and stable income, I was able to start thinking about saving money or even like now, getting into the investment space.

[btc78]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend.

What about those who don't earn a lot? Someone with a limited salary cannot separate a specific percentage from it for savings and then spend the rest on other things because the rest might not be enough. If you earn $1,000 a month and have expenses that covers almost the whole amount or even higher sometimes, you can't have much savings or any savings in that case.

$1000 is a crazy example of course i know the cost of living is different for each country but if you’re earning $1000/month in my country you’re definitely well off or at least comfortable enough and unless you have children you’re probably not gonna be able to spend all that and not save a little bit

18% of the people in my country live as low income and gets not even half of $1000 usd  if you’re struggling to save with a salary of $1000 imagine how hard it is to save for those with less than that

[Dr.Bitcoin_Strange]

In my country, there's something they call a p2p contribution. It is normally organized by just common people, so they can decide to get more people who are very interested and capable of holding the contribution until it is concluded.

In this kind of p2p contribution I am talking about, if they have like 100 people that have agreed to work together for one goal, they will all agree on the amount that each person can contribute each day.

Let's say there are 100 people, and they have decided to contribute $5 each every day. They will then choose a Treasurer that will be in charge of the fund. So, the process is that after everyone has contributed for the first day, the treasurer will give the $500 to one of the contributors. The next day too, another contributor will take the whole money ($500) after they've all contributed. The trend continues from the first person until the last 100th person. If it's a p2p contribution of 100 people, that means it's going to last for 100 days (about 3 months and a week).

So, if each person is contributing $5 x 100 people, that's $500 that one of the contributors will take each day and the next day another will take.

The reason why they do this P2P contribution is to help those who cannot gradually save up money to be able to have a lump sum of $500 at once, and the person can possibly use the money to start a business or an investment that will be profitable.

OP and anyone who is reading this post, if you did understand what I explained, that's one way to save a small amount of money each day, and when it's your turn to take it, you will have all the money in a lump sum.

[Youngkhngdiddy]

Surely we cannot generalize all the abilities that each person has. I also often hear people say that they don't want to start saving and have savings, but circumstances force them to and they can't do it. Before thinking about this, I think we must first take steps where our financial situation is stable or at least we must have a decent income first, whether it's finding a better job or building a business.
I was once in a situation where even being able to eat was a joy, because the situation was very difficult at the time. But when I had a decent and stable income, I was able to start thinking about saving money or even like now, getting into the investment space.

   Saving your money is a good step towards managing money wisely. But that's only the first step. Before we dive deep into it, let's first look at how you should not save money. If you're saving money in the form of cash, it's not a wise decision. When you save money in cash for a long period of time, you're ensuring that you get less money than you saved. Confused? Let me explain. When you save money in cash for a long period of time, the amount remains the same but the market is constantly evolving so due to inflation the true value of your money decreases.
  A financially literate person would never make save their money in the form of cash. Now you must be thinking, “so what would be the best way to save money?” The answer to this question depends on you. You have various choices and every choice comes with its risks and rewards. You know your situation better than anyone else so, you would understand which option is best suited for you. You can keep your savings in a bank or better still invest with it that way you'll get some interest on your money and you'll be able to access your money whenever you want.

[flyingcarpet]

I saw this tip on how to save money on social media. It says that if you receive your salary before anything else or before distributing your expenses and such, the first thing you will do is allocate an amount to your savings, and after that, you can distribute it to other things, such as bills or other things you will spend.

What about those who don't earn a lot? Someone with a limited salary cannot separate a specific percentage from it for savings and then spend the rest on other things because the rest might not be enough. If you earn $1,000 a month and have expenses that covers almost the whole amount or even higher sometimes, you can't have much savings or any savings in that case.

Some people earn even less than that, and it's extremely hard for them to save something. You know what, I was one of those people during some period of time, for years actually. And I can tell this much: if you earn so little,  you never give saving a thought even. You just live. You are happy you can buy a loaf of bread, and if you can "save" to buy a bus ticket to not be walking for two hours to your home, you are super happy.

People who can save money and use it well are very lucky. Not everyone has the opportunity to save. Some people cannot even think about saving because they do not have the income to save. Often people with low incomes choose to save when their income increases because they realize the importance of saving because they couldn't do it before.

Sometimes life gives us the chance to learn things. In such cases, we need to improve ourselves and take advantage of the opportunities that arise. Saving is something that every person should do if they can.

[taufik123]

-snip-
OP and anyone who is reading this post, if you did understand what I explained, that's one way to save a small amount of money each day, and when it's your turn to take it, you will have all the money in a lump sum.

Totally understand the P2P Contribution method you are referring to.
In my country it is called "ARISAN", we will save money within a certain time, it can be every day, every week or even every month with an agreed amount.
But this will go through a drawing process so that it will be selected who is entitled to receive the money in the first, second, third session and so on.

This will run for a period of time that has been determined at the beginning, even if it is done every week it will last for years depending on how many members participate.

My wife is even participating in it right now and it's been running for about a couple of months with weekly payments.

[franky1]

list of tips(some mentioned in topic by others)
1. before anything have 2 accounts. one to receive pay and one which has best interest rates you can find. actually use some time finding best account
2. before spending any income. allocate a sum you want to save. and set up an auto-payment on pay-day to go to the best interest account

to work out an acceptable amount to save, do this
3. open a spreadsheet and write down every bill/expense.
4. work out(from 3) whats a NEED and what is a WANT
5. look at if there is any way to cut down the costs of needs and then what wants you can do without
6. when thinking about wants(from5) think about what is a "5 minute smile" and what is a "5 year memory"
7. only concentrate on keeping some of the wants that keep you happy,solve a problem, serve a promise longer than a "5 minute smile"

alot of people can make coffee at home for $0.50 but want the "5 minute happy" of buying a $5 starbucks
alot of people then do not realise that $5 a day, is $25 during working business days. which is.. wait for it $260 a year

alot of people can make food at home for $2.00 but want the "5 minute happy" of buying a $20 fast food delivery
alot of people then do not realise that $20 a day, is $140 during full week. which is.. wait for it $7280 a year

spending $2.50 on food and coffee a day instead of $22 a day can save you $7520 a year
$22 a day on things that become a toilet flush 6 hours later. turn into $669 a month of toilet flushes
$22 a day($669) was just  2 hours, 30minutes per month of happy moments. (30x5minute "happies")

ask yourself, is that $669 a month example really worth under 3 hours of temporary non lasting moments

if you could put $7520 a year($669 a month) into a 5% savings account
year    deposited   bank balance  interest%   interest$
1   $7,520.00      $7,520.00         5           $376.00
2   $7,520.00      $15,416.00       5           $770.80
3   $7,520.00      $23,706.80       5           $1,185.34
4   $7,520.00      $32,412.14       5           $1,620.61
5   $7,520.00      $41,552.75       5           $2,077.64
6   $7,520.00      $51,150.38       5           $2,557.52
7   $7,520.00      $61,227.90       5           $3,061.40
8   $7,520.00      $71,809.30       5           $3,590.46
9   $7,520.00      $82,919.76       5           $4,145.99
10  $7,520.00      $94,585.75       5           $4,729.29

i know my examples above are economics of UK/US style of living. so everyone else can do their own math and see their own numbers and work things out in their own native currency/cost of living ratios

actually get out a spreadsheet and work it out. it will put the numbers into a reality you can think about properly if you can see it in your face

and thats just an example for changing your coffee/fastfood habit.
now look again at your needs costs. and see if you can save.
EG downsize house.
EG re-arrange rent/mortgage for better rate
EG find better deals for utilities
EG see if you are wasting water/energy in the home to reduce bills

then look how much that saving can accumulate

once you see how much you can accumulate it will energise you more to stick to the plan
dont give up things that make you happy. just think about how much is acceptable happiness. dont think of keeping the 5 minute happies, its not worth it. its better to save up and truly enjoy the "happies" that form long term great memories

EG giving up cafe served coffee/fast food for 6 months means you can go on an all inclusive vacation of many happy memories
remember coffee/fast food just becomes a toilet flush 6 hours after buying it. and the bathroom wont remember it the next day

more tips:
8. look into ways of increasing your income
EG over time/extra hours
EG second job/side hustle
EG promotion via skilling up
EG change job to better paid job with different company
EG just asking for a pay rise due to inflation, your work effort/loyalty to business, lack of sickness, late of lateness, productivity

[Betwrong]

~

Surely we cannot generalize all the abilities that each person has. I also often hear people say that they don't want to start saving and have savings, but circumstances force them to and they can't do it. Before thinking about this, I think we must first take steps where our financial situation is stable or at least we must have a decent income first, whether it's finding a better job or building a business.
I was once in a situation where even being able to eat was a joy, because the situation was very difficult at the time. But when I had a decent and stable income, I was able to start thinking about saving money or even like now, getting into the investment space.

Good for you! Be careful with your investments, though. Sometimes a bit of saving is enough to feel secure financially and enjoy your life. Will you be able to enjoy your life having invested a big amount in something is a big question. After all, for what do we need money if not for enjoying our life?

~

Sometimes life gives us the chance to learn things. In such cases, we need to improve ourselves and take advantage of the opportunities that arise. Saving is something that every person should do if they can.

That's right, if they can. If you feel that after saving you will have less money to spend on food than you need, than you can't save.

[SOKO-DEKE]

We all want to save money, but it's not always easy.
There are so many things that tempt us to spend, unexpected bills that pop up, and it can be hard to make ends meet.
How do you manage to save in a world that encourages spending? Let's talk about it.
Share your ideas, tips, and stories about saving money, and together, we can figure out how to get better at it. (We will also draw valuable lessons from the mistakes and experiences of others.)

Although it may seem difficult, saving money is achievable with the right plan. Assume you are receiving $1k every month from your employment.is just to plan for it. As soon as you receive your money, the first thing you should do if you receive the money is to remove amount you are capable of saving and transfer it into your savings account. You will then be left with balance still set away little amount for emergencies is a smart idea.The distinction between needs and wants must now be understood. Consumables such as food are necessities. wants are something you'd want to have but can live without. Reducing wants is crucial for financial conservation. Prior to spending the emergency you set aside for emergencies, even in case of an emergency, make sure it's totally essential.

Being well prepared is essential to tackling life's especially in term of having savings.someone ability to save money will increase if you make thoughtful plans and decisions about what you truly need. In light of this, always remember to budget, set aside funds for emergencies and savings, and carefully consider what you actually need. In this manner, managing your money sensibly will come naturally to you!

[arimamib]

Surely we cannot generalize all the abilities that each person has. I also often hear people say that they don't want to start saving and have savings, but circumstances force them to and they can't do it. Before thinking about this, I think we must first take steps where our financial situation is stable or at least we must have a decent income first, whether it's finding a better job or building a business.
I was once in a situation where even being able to eat was a joy, because the situation was very difficult at the time. But when I had a decent and stable income, I was able to start thinking about saving money or even like now, getting into the investment space.

   Saving your money is a good step towards managing money wisely. But that's only the first step. Before we dive deep into it, let's first look at how you should not save money. If you're saving money in the form of cash, it's not a wise decision. When you save money in cash for a long period of time, you're ensuring that you get less money than you saved. Confused? Let me explain. When you save money in cash for a long period of time, the amount remains the same but the market is constantly evolving so due to inflation the true value of your money decreases.
  A financially literate person would never make save their money in the form of cash. Now you must be thinking, “so what would be the best way to save money?” The answer to this question depends on you. You have various choices and every choice comes with its risks and rewards. You know your situation better than anyone else so, you would understand which option is best suited for you. You can keep your savings in a bank or better still invest with it that way you'll get some interest on your money and you'll be able to access your money whenever you want.

Saving money in cash is not a wise long-term financial strategy due to the effects of inflation. Inflation is the gradual erosion of the purchasing power of money, meaning that the same amount of money can buy less goods and services over time. As inflation increases, the purchasing power of cash decreases, and the value of your savings erodes.

It is important to remember that there is no guarantee of investment returns. However, by investing your money in a diversified portfolio of assets, you can increase your chances of beating inflation and achieving your long-term financial goals. While investments carry inherent risks, diversifying your portfolio across various asset classes can help mitigate these risks and increase your chances of outpacing inflation and achieving long-term financial objectives.

[slapper]

Surely we cannot generalize all the abilities that each person has. I also often hear people say that they don't want to start saving and have savings, but circumstances force them to and they can't do it. Before thinking about this, I think we must first take steps where our financial situation is stable or at least we must have a decent income first, whether it's finding a better job or building a business.
I was once in a situation where even being able to eat was a joy, because the situation was very difficult at the time. But when I had a decent and stable income, I was able to start thinking about saving money or even like now, getting into the investment space.

   Saving your money is a good step towards managing money wisely. But that's only the first step. Before we dive deep into it, let's first look at how you should not save money. If you're saving money in the form of cash, it's not a wise decision. When you save money in cash for a long period of time, you're ensuring that you get less money than you saved. Confused? Let me explain. When you save money in cash for a long period of time, the amount remains the same but the market is constantly evolving so due to inflation the true value of your money decreases.
  A financially literate person would never make save their money in the form of cash. Now you must be thinking, “so what would be the best way to save money?” The answer to this question depends on you. You have various choices and every choice comes with its risks and rewards. You know your situation better than anyone else so, you would understand which option is best suited for you. You can keep your savings in a bank or better still invest with it that way you'll get some interest on your money and you'll be able to access your money whenever you want.

Saving money in cash is not a wise long-term financial strategy due to the effects of inflation. Inflation is the gradual erosion of the purchasing power of money, meaning that the same amount of money can buy less goods and services over time. As inflation increases, the purchasing power of cash decreases, and the value of your savings erodes.

It is important to remember that there is no guarantee of investment returns. However, by investing your money in a diversified portfolio of assets, you can increase your chances of beating inflation and achieving your long-term financial goals. While investments carry inherent risks, diversifying your portfolio across various asset classes can help mitigate these risks and increase your chances of outpacing inflation and achieving long-term financial objectives.

Yes, because inflation eats away at money, depending only on cash savings is like standing still financially. As you wisely say, diversification is the best way to go about things. In this situation, Bitcoin stands out as an interesting addition to a diverse portfolio. Bitcoin is a risky way to invest in digital assets that might protect you from inflation. Because it's decentralized, it's not directly affected by the fiscal policies of any one country, which is a big plus.

Putting money into Bitcoin should be seen as a long-term. The trip could be rough, but the end goal could be worth it. As with any investment, you should be very careful and do a lot of study. Bitcoin's past success doesn't necessarily mean what will happen in the future, but it does point to a lot of growth potential. Adding Bitcoin to your diverse portfolio does more than just spread your risk; it's also an investment in the future of money and investments. Remember that the important thing is not to put all your eggs in one basket, but to have a basket that's ready for the future. Bitcoin is becoming more and more a part of that future-ready basket.

[barisbilgili]

People who can save money and use it well are very lucky. Not everyone has the opportunity to save. Some people cannot even think about saving because they do not have the income to save. Often people with low incomes choose to save when their income increases because they realize the importance of saving because they couldn't do it before.

Sometimes life gives us the chance to learn things. In such cases, we need to improve ourselves and take advantage of the opportunities that arise. Saving is something that every person should do if they can.

Saving money is very important, even though we have a lot of income, we can save and also invest, because there are still some people who have a small income and only enough for their daily needs and they cannot save some of the income they have, it is important for We need to be able to manage our expenses well so we can have savings, because if we don't have savings then we will have difficulty when we need funds that we can't foresee, of course we need to look for a loan to be able to meet these needs.

[angrybirdy]

People who can save money and use it well are very lucky. Not everyone has the opportunity to save. Some people cannot even think about saving because they do not have the income to save. Often people with low incomes choose to save when their income increases because they realize the importance of saving because they couldn't do it before.

Sometimes life gives us the chance to learn things. In such cases, we need to improve ourselves and take advantage of the opportunities that arise. Saving is something that every person should do if they can.

Saving money is very important, even though we have a lot of income, we can save and also invest, because there are still some people who have a small income and only enough for their daily needs and they cannot save some of the income they have, it is important for We need to be able to manage our expenses well so we can have savings, because if we don't have savings then we will have difficulty when we need funds that we can't foresee, of course we need to look for a loan to be able to meet these needs.

It always depends in the state of a person's life, not everyone has a capability to save while having investments because As a person who's living pay check to pay check. their generated income is enough for them to sustain their daily and monthly necessities. If you're a person who's having a good and comfortable life, it is applicable for you to have savings and investment at the same time without worrying about where you'll get the money you're going to use on them. I advice to everyone that even if you're experiencing difficulties in your finances, try your best to consistently save money even for a small amount.

[Peanutswar]

We all want to save money, but it's not always easy.
There are so many things that tempt us to spend, unexpected bills that pop up, and it can be hard to make ends meet.
How do you manage to save in a world that encourages spending? Let's talk about it.
Share your ideas, tips, and stories about saving money, and together, we can figure out how to get better at it. (We will also draw valuable lessons from the mistakes and experiences of others.)

One of the effective ways to save up money is to have control and discipline its useless if you want to earn money but you are one of the impulsive buyer that once you see is you want to immediately bought that thing and also one of the major factor is the lifestyle inflation this is one of the top reason why people cant save money because they have now a large amount of money and of course their lifestyle increase too they keep spending a lot of money buying foods, clothes and other wants because they can now "afford" unlike before and they keep thinking that with that large amount of money they can earn again or get paid again. Still ideal to use the system of 50-30-20 or even the 60-20-20 it depends on you how you manage. Its better to save than nothing not all things were in favor in ours there's a time that we will experience the life of chaos.