The Whys and Hows of saving

How much do you save? Do you put money aside every payday?

Saving money is one of those tasks that is so much easier said than done. There is more to it than spending less money (although that part alone can be challenging). How much money will you save, where will you put it, and how can you make sure it stays there?

Saving is not an easy habit, especially when you start working. One tends to buy more for himself because he believes he worked hard for it anyway. It takes so much discipline and will power.

Saving is a necessity. It provides security in case something unexpected happens. It gives you the power of choice if you need to make an important decision such as changing jobs, buying a house or getting married.

A solid savings account is important in getting through life’s rainy days. It helps you manage unexpected hassles and tragedies. Cash savings gives you both a good sense of security and freedom—two things that are tough to live without. Here are some reasons why you need to save:

·What if you want to buy a house or a car?

·What if you get sick or hospitalized because of an accident and have to take time off from work? If you have the savings, you can get by more easily.

·What if you want to start your own business or relocate somewhere to start a new career? It takes money to do these things.

·How will you retire in comfort? When you stop working, you will have to live mostly on your savings.

·How can you help your family and loved ones?

The most important step in saving money is to get started. Start small, and don’t dip into your savings unless it’s an emergency. You’ll need that money for your goals. Here are a few tips on how to save:

1.Spend only on what you can afford so as not to run into trouble of borrowing money or piling-up credit card debts.

2.Use landline telephones instead of cellular phones. Per minute calls may seem cheap but wait till you see them accumulate in a month!

3.Distinguish between wants and needs: You can save a lot if you don’t mistake wants for needs. Needs are things that are necessary to sustain you like food, shelter, and clothing. Wants are things that you can live without.

4.Go through your drawers and see what you can mix and match rather than buying new clothes. Also, stick to buying classic pieces that don’t get quickly outmoded.

5.Learn how to budget. You will be able to keep track far more accurately of what you have to spend and what you don’t.

6.As much as possible, avoid eating or dining at malls where food is quite expensive.

7.Little Ms. Piggy still works! Put all those spare coins in there and you’ll be surprised at how quickly you can save money.

8.Rather than pay for a gym membership or personal trainer, you can keep fit by starting simple exercise routines such as walking and running.

9.Stock up on sale items that you use regularly.

10.Buy enough buffer stocks of essential home supplies, at least one pack extra (i.e., soap, toothpaste, detergent, toiletries) every time you do your groceries so you won’t be harassed when you run out of stocks at home. Chances are, you’ll buy on impulse and it would turn out to be more costly and time consuming.

11.Don’t give in to temptations. When you are trying to save, avoid going to shopping malls where the temptation to buy is hard to resist.

12.Open a savings account or separate your accounts. This prevents you from getting too excited over a nice, fat bank balance.

Plus, if you open an account at PSBank now, you might be one of the lucky winners of P1 million in the monthly draws or P5 million in the grand draw of the bank’s Monthly Millions promo.

Just by opening a Peso Savings, Peso Checking, Time Deposit, Dollar Savings, or Dollar Time Deposit accounts, PSBank offers the simplest way to steadily and securely save up for your future. 

For more details, call the PSBank hotline at 845-0025 or visit www.psbank.com.ph.