Becoming a saver

Become A Saver

Saving is hard and spending is, of course, very easy. For most of us, saving just does not come naturally because over time, we have developed a lot of unhealthy traits and behaviors. If you are ready to make a change and become a saver, here are some things that you need to put a stop to.

Becoming A Saver

Over time, we have just become accustomed to spending and it has instilled in us several behaviors. Behaviors that need to be changed. Here are the things that you need to put a stop to in order to build a sizable savings account.

1. You Buy On Impulse

See it, want it, buy it. That is a behavior that must change.

For some of people, spending is even a way of life and a hobby. In their free time, they go shopping as a source of entertainment. That is a recipe for disaster. Being bored should bot be a reason to spend.

If you are not a shopper, you are still subject to buying impulses because you are constantly being bombarded with advertisements. The advertising industry is a billion dollar industry because it produces results. It can make us want something and want it now.

To change this behavior, you must first stop thinking of shopping as a hobby. Sure it is fun to shop but this does not mean that you need to do it every week or even daily. Even if you simply window shop, doing so can lead you down a dangerous path where you make impulse buys. Limit your shopping to a few times a year.

The rest of the time, try to resist the advertisements as much as possible. A DVR allows you to skip commercials, ad blockers allow you to eliminate internet ads and a cheap paid music streaming service can allow you to skip radio ads. There are ways to really cut down on the ads that you have to absorb.

2. You Succumb To Peer Pressure

How many times in history has peer pressure led people down the wrong path? Let’s just go with , a lot.

If you see somebody with a cool new gadget, do you have to have it yourself? If you see somebody enjoying themselves at expensive restaurants and buying extravagant things they do not need do you want to do the same?

You need to set your own path and stick to it. When you see somebody spending it is impossible for you to really know if they can afford it or if they are in debt up to their eyeballs.

Everyone is different and has a different budget and goals. Stop trying to keep up with everyone else and stick to your plan. At times it will be hard but the rewards are many.

3. You Have No Patience

Saving is all about delayed gratification. You do without something now so that you can have it in the future.

If you do not have patience, you will often find this hard to do. Luckily, you can learn to be patient over time. The longer you save, the easier that you will find it is. Eventually , you will get to the point where seeing that investment fund grow is much more rewarding than buying a new apple watch or flat screen television.

4. You Don’t Look At The Big Picture

Saving is about looking into the future and realizing that you can not work forever. What are you going to do when you are 65, live off of social security? Even if it is around in its current form, it will probably not provide you the quality of living that you want. You will need some money from another source.

It is nice to live for today but you have to plan for tomorrow,

The problem that many people have is that they have not set an ultimate goal. Where do you want to be when you are 55, 60 or 65? Do you want to be still working, retired on a beach or traveling the country in an RV. Decide what you want to do and then how much money it will take to get there. Once you do that, you have your goal,

It is easier to look at the big picture when you know what that picture is.

5. You Are Unwilling To Change

If you have not been a saver up until this point, you need to make a change. If you are unwilling to embrace that change, you are in trouble.

It is easy to keep telling yourself that you will start saving when you start making more money but that day will never happen. Sure, you might make more money but you will probably find an immediate use for it. That 1000 dollar a month raise will quickly be absorbed by the new clothes that you need or the more expensive lifestyle that you all of a sudden must maintain.

You need to change and break this cycle. Take a look at your budget, assuming you have one, and see where cuts can be made. If you are not able to save 20 percent of your take home pay, you need to make cuts until you can afford to do so.

This could be a big change for you. You might have to stop eating out at lunch every day. You might have to drive a less expensive car. You might even have to move to a cheaper home. Whatever it takes to start saving is what you need to do, because if you can not afford to do so, you are living outside your means.

6. You Tent To Put Things Off

If you are a procrastinator, you are costing yourself years of saving. Every year that you do not save is another year that you would have to work. It is easy to put things off and if you keep putting savings off, it might be too late to ever really retire.

Buck the habit of procrastination and open an investment account now. When you retire at 60 instead of 70, you will be glad that you finally made the change.

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