After blogging about personal finance for almost four years, I wasn't very shocked. 90% of the comments were very negative.
People were saying that anyone who saves money must hate their life, they must lead a boring life, and so on.
This is always sad to read, as many people do not save anywhere near the amount they should be saving. To quickly summarize my post Money Statistics That May Scare You:
- 68% live paycheck to paycheck;
- 26% have no emergency savings;
- The median amount saved for retirement is less than $60,000;
- The average household has $7,283 in credit card debt;
- The average student loan debt is $32,264.
Due to these crazy money statistics, I believe that more people should think positively about saving money. Saving money can help you stop living paycheck to paycheck, it can help you pay off your debt, it can help you prepare for retirement, and so on.
The first step to saving more money is to figure out why you are unable to save money.
For many people, it's because they often tell themselves excuses for why saving money isn't something they can or even need to do.
If you do this, I want you to realize that you can change your ways and that it is possible to save money. I used to always give myself excuses as well but then realized that I was just lying to myself.
Below are six common excuses people give for not saving money.
1. “I'll hate my life if I start saving money.”
There is a myth out there that only very sad and boring people save money. I've heard it over and over again.
“Wow, that person must lead a very boring life if they save that much money.”
“I can't save money because that means I'll just be eating Ramen and sitting on my couch all day long.”
The truth is that you can still live a great life AND save money. It is possible and many people do it on small and large incomes every single day.
What you need to do is learn how to manage your money better so that you can live the life you want to live, but on a more realistic budget. There are plenty of ways to live a great life on a smaller income so that you can save more of your money.
2. “I'll figure out how to save money later.”
Many people put off saving because they'd rather spend their money now and/or because they believe they'll have plenty of time to save money later.
There is really no need to spend every last penny you have just because you “can.”
The truth is that you never know what will happen later, so if you have the ability to save money now, YOU SHOULD.
3. “I deserve and/or need the things I buy.”
I've heard this excuse far too many times and it's one that I used to say to myself all the time as well.
This applies to many areas in life. Many believe they need to upgrade to the latest and best cell phone on an annual basis, that they need a flat screen TV in every room, they need to spend hundreds of dollars a month on cable, they need expensive vacations, and more.
However, that's not true. If you are struggling with debt, if you're not saving money, if you're living paycheck to paycheck, or something else related to these three, then you should watch your spending, figure out ways to lower your expenses, and cut out anything unnecessary.
I'm not saying you need to cut everything out, instead I'm saying you should only buy things that you truly need and want, not just because you think you deserve it or because you want to keep up with the Joneses.
4. “I enjoy my job and can always make money.”
While it's great that you enjoy your job, you should still be saving money. I have heard far too many people say that they love their job and don't need to save money because they can just work forever and still be happy.
However, what happens when you can no longer work? You don't know what the future will bring – you may come across a medical problem, a serious life event, you may hate your job 20 years from now and so on.
Saving money doesn't mean that your life is ending. You can enjoy your job and save money at the same time.
5. “The city I live in is too expensive to save money.”
This one will probably cause some debate and it will probably make a few mad at me as well. When I published the post Is Being House Poor Limiting You last Monday, I received some flack from a few readers.
Yes, I understand that some cities are quite expensive to live in, but that does not mean that you are unable to save money because of the higher cost of living. It may take time, but you need to either increase your income or cut your expenses, or even do both.
Hard work and sweat may be needed, but you'll be happier than ever when you are finally in a better financial situation.
6. “It's too late for me to start saving money.”
Some believe they are either too old to save money or that they are too far in debt to save money. These excuses are simply not true.
It's never too late to start saving money. Every little bit helps and it can drastically change your future. Saving something is better than saving nothing.
If you are in debt, that doesn't mean that your world is over either. You can start saving more money so that you can pay off your debt and dig yourself out of the hole you are in. There is no need to continue to add to the debt. You are just making your problem much more worse if you continue doing what you are doing.
What excuses for not saving money do you often give?
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