For a secure financial future, saving is an important rule to follow. Money may not be the key to happiness, but it makes plenty of experiences in life accessible such as things necessary for a life where your needs are taken care of, good health, long life - and enough to splurge on once in a while.
Putting aside money steers you from many hurdles and obstacles in life. In addition, it can support you with annual and unexpected expenses.
Here are six reasons why you should save your money now!
Financial Independence
The metric for how rich you are depends on the person you are talking to. One notion, however, that you have enough in life is that you are financially independent. Driving your financial vehicle, financially speaking, means that you have more choices in life than being forced to live from paycheck to paycheck.
Financial independence is freedom from rendering overtime at work for extra pay. You can take a vacation whenever you want to; this means that you can put some money into investments for your everyday life or your financial future. In addition, you can now voluntarily give some money back to your community, a charity of your choice - or even to some of your family members who need it.
With financial independence, you can take the wheel and drive your life to new heights emotionally, financially, and where your health is concerned. If you live in a toxic environment, you can choose to live alone and seek therapy. You may support yourself now.
While financial independence is an amazing thing to achieve, remember the adage: with great freedom comes great responsibility.
Get Out Of Debt
According to Amsterdam-based financial technology organization Backbase and conducted by Forrester Consulting, seven (7) out of ten (10) Filipinos struggle with debt. As a result, Filipinos are the most stressed nation in the world regarding debts, especially during the Covid-19 pandemic. In the Philippines, household debt reaches a near-record of over P2 trillion. The amount is about a 10th of the country's pre-pandemic economic output.
One needs to have some money saved up to get out of debt. Incurring debt on credit cards and loans can take a fall on your good credit standing. However, paying your debt on your loans and credit is impossible unless you have savings allotted for this sole purpose.
Before you aggressively pay off your debts, allot a set amount of money for savings. These savings will be allotted to paying off all your debts.
Buy A Home
According to a 2020 survey by Statista, about 60 percent of households in the Philippines occupied housing units and lots they owned. The other remaining 10% of the population rent a room or house that they occupy.
You must have money saved up for a down payment. The amount of your down payment has to reach at least 5% of the house's purchase price, and then the bank will loan you the other 95%, depending on how well you pay your transactions.
Peace of Mind
With a good amount of savings set aside for emergencies, future investments, and other things you need, you won't need to turn into a last-minute mathematician budgeting the remains of a measly and small monetary amount so that you can live another day. With savings, you can live and lead a stress-free life knowing you have enough. With a huge burden off your shoulders, you can relax.
Financial Freedom With Fundline
Being wise with your money and what you do with it guarantees you a bright future ahead of you - and your loved ones. In addition, one of the wiser things you can do with your money is to allot savings. By allotting savings for paying off debts and unexpected emergencies, you can prevent incurring more debt and continue your journey to achieving financial freedom. Two of the biggest benefits of saving are financial freedom and peace of mind.
Fundline offers various loans for different financial needs. With Fundline, we have flexible payment options and financial products tailored specifically for you. Book an appointment with us today via https://www.fundline.com.ph/contact!