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How To Develop A Savings Culture - Investment - Nairaland

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How To Develop A Savings Culture by nmreports: 7:43am On May 18, 2017
Developig a savings culture is one of the most critical things every dreamer or visionary must learn. Savings means the part of your income or earnings that you dedicate to be kept away untouched for a period of time. Savings should not be compared with investment as they are ultimately two different things. While investment is good, savings is also a way to have some money or finances to fall back on when the need arises.

Investment poses some sort of risk because no one has a total control over the market. The market doesn't care about anyone or who you are or where you are from and that's why it's important to dedicate some money to savings too.

Besides investment, it is also imperative to develop multiple source of income because as you grow and make certain decisions in life such as marriage and bearing of children your expenses increases. While marriage and children bring some sort of happiness and sometimes can be considered as success, it puts a strain on your earnings hence the importance of having a multiple source of income.
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It is important that we separate the difference and understand why savings is good. Sometimes big business opportunities are taken because of savings. Sometimes too, most of us won't achieve landmark things if we do not have savings or take loans. While loans have its shortcomings, using your savings for a project can give you some rest of mind and a clear perspective over your business perspective.

How do you develop this culture?
A savings culture as the word implies is actually a culture. It is learn or socially acquired as the case may be. Sometimes it's learnt through parents who at early stage inculcate this education into their children and its sometimes learnt through mediums like this. Some people equally just found themselves developing that culture because of its inevitability.

Now there are different practical ways you can achieve this:

1. Using the pensions facility as savings.
Perhaps you don't know too and for those who are on pension, you can also authorize your pension manager to save some certain amount of your earnings till when you are retired or due for pension. You can meet with your pension manager for clarification.

2. Authorizing your bank to debit a certain amount each month.
You can authorize your bank to save a certain amount of your income to be collected at a particular time or period.

3. Using the traditional old method of a trusted confidant.
Sometimes you can keep money with your family if they are very trusted.

4. Using the strength of your partner if s/ he has a savings mindset.
Sometimes married folks can use their spouses savings strength if one of them knows how to keep money and if there is an agreement on the period the savings would last for.

5. Cutting down frivolities.
Cutting down the amount of clubbing you do in a month or the number of beers you drink daily. You could think you have the cash now but savings is what would save you when all chips are down.

6. Reducing liabilities.
Reducing liabilities involves doing away with things that take cash from you but are really unimportant. Think about it and you would realize those things you spend money on that are really not needed. You own three cars but you actually only need a good one.

7. Regenerating your mindset.
This means doubling your effort in a bid to achieve this important lesson. It would be tough and it's definitely not easy but it is doable and possible.

Understanding the power of money is important to improving your purchasing power. If you keep spending on unimportant things you won't go far in life and if you spend money on vain things money won't last in your hands because money needs to be continuously doubled or generated in other to stay in the game of money. This is evident in testimonies of rich folks who have become poor.

Related articles on www.HRtechnique.com

18 Likes 4 Shares

Re: How To Develop A Savings Culture by eezeribe(m): 7:44am On May 18, 2017
"If you cannot save money,you do not have the seeds of greatness in you"...
W.J.Clement Stone(Co-author with Napoleon Hill of 'Success through a positive mental attitude')

Our society judges riches based on what they see from extravagance and ostentation,but one thing remains certain,some of the most hardworking wealthy people are also the most frugal.

lalasticlala,Mynd44

7 Likes 1 Share

Re: How To Develop A Savings Culture by nmreports: 7:49am On May 18, 2017
eezeribe:
"If you cannot save money,you do not have the seeds of greatness in you"...
W.J.Clement Stone(Co-author with Napoleon Hill of 'Success through a positive mental attitude')

lalasticlala,Mynd44

Inspiring quote there.
Re: How To Develop A Savings Culture by eezeribe(m): 7:50am On May 18, 2017
nmreports:

Inspiring quote there.
Thanks
Re: How To Develop A Savings Culture by Nobody: 5:08pm On May 18, 2017
Biggest problem is saving and investing in Nigeria. Most people are barely surviving on their salaries.

5 Likes

Re: How To Develop A Savings Culture by nmreports: 7:36am On May 19, 2017
ismokeweed:
Biggest problem is saving and investing in Nigeria. Modt people's are barely surviving on their salaries.

Mynd44 great topic here.
Re: How To Develop A Savings Culture by kazmanbanjoko(m): 7:54am On May 19, 2017
Kk
Re: How To Develop A Savings Culture by cinoedhunter: 7:57am On May 19, 2017
Na so... with all the unforeseen constraints abi undecided
Re: How To Develop A Savings Culture by ItalianWine(f): 7:58am On May 19, 2017

2 Likes

Re: How To Develop A Savings Culture by mamatayour(f): 7:58am On May 19, 2017
That no 3 ehn na No No

1 Like

Re: How To Develop A Savings Culture by ugleenerd: 7:58am On May 19, 2017
Just bury it in ur apartment.....chikina ...very secure...
Re: How To Develop A Savings Culture by wayray: 8:00am On May 19, 2017
.
Re: How To Develop A Savings Culture by Northmall(m): 8:01am On May 19, 2017
This is a BIG problem for me.

1 Like 1 Share

Re: How To Develop A Savings Culture by Rexnegro(m): 8:02am On May 19, 2017
Hmmm no Be lie
Re: How To Develop A Savings Culture by YINKS89(m): 8:02am On May 19, 2017
Learnt one or two things..thumbs up mod.
Re: How To Develop A Savings Culture by akindlesfarm: 8:04am On May 19, 2017
saving is shit with the high rate of inflation I would rather save less and invest more.

1 Like

Re: How To Develop A Savings Culture by OLAFIMIX(f): 8:05am On May 19, 2017
God help me
Re: How To Develop A Savings Culture by leverage12(m): 8:07am On May 19, 2017
Very nice ideas.

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Re: How To Develop A Savings Culture by tspun(m): 8:13am On May 19, 2017
Nice post, Anything that we can do to raise personal savings is very much in the interest of we as Nigerians, because this government is making every poor Nigeria to feel suicidal
Re: How To Develop A Savings Culture by Nobody: 8:13am On May 19, 2017
okay.
Re: How To Develop A Savings Culture by rawpadgin(m): 8:17am On May 19, 2017
no 2 does it for me

I have ask my bank to be deducting 40percent from my salary

as for no. 3, u can't do that with the average nigerian girl
she will wreck u in a sec

2 Likes

Re: How To Develop A Savings Culture by seguntijan(m): 8:32am On May 19, 2017
Saving money is the worst thing any visionary person can get involved with, it gets you poorer and makes the Bank, Business men and investors richer. The Business man or investor goes to the bank to take up the money you save as loan and invest it into their business and make huge amount of profit they pay back the loan(your money), give interest (Bank profit on your sweat/money), and keep their profit. Mind you the tax they'll deduct from their money won't be much because government needs to give investors some incentives because they're helping the economy, providing jobs while you that own the money will be tax. The bank also will remove charges from the money you save and give you at most #50Naira out of millions they made as interest. It can even be better if you fixed the money then you'll be entitled to about 6% of your money depending on your bank, at most they use 30% of your money to maintain the Bank staffs and building, therefore Jim Ovia and co will have 64% of your money invested to himself and family. before you know it you're helping him to maintain his private jets, his residential apartment at Abuja, Banana Island and co, you'll be helping him to send his wards to school abroad and come back to be your boss, and the chain continues. Worst of it the money you save up should now lose its value as we're experiencing presently, mind you Jim Ovia and co has access to dollar than you the saver, so they'll trade your money off again to make more money and you'll be withdrawing worthless money again.
In summary saving is the worst thing anyone can advise you to do, you can never see the likes of Dangote, Warren Buffet saving up money, they'll rather be serving loan collected on your money (don't forget the money they paid on your money is meant for Jim Ovia and co NOT YOU). funny enough it's LEGIT u can't sue them, so keep working under the sun and in the rain, keep working from 7am-7pm, keep taking your money to them, while they keep going to gym, club, expensive leaves on your money.
NB:- Not peculiar to Nigeria alone, and this is the reason why the RICH ARE GETTING RICHER AND THE POOR ARE GETTING POORER BECAUSE YOU'LL KEEP STRUGGLING TO SAVE MONEY

13 Likes

Re: How To Develop A Savings Culture by Griffon(m): 8:33am On May 19, 2017
I am not actually against savings, I am not either entirely in support of it.

What makes the savings idea a bad idea is the motive behind why you are savings. If you are stacking up cash in the bank or in the hands of a confidant, with the motive to spend that savings on a big house project, luxuries cars, wears, gadgets etc, then sooner or later, you'll become broke.

The only motive why you should save your cash is to invest it into an idea when the time is due. That is the way of the rich.

Only folks with a poor financial knowledge save to spend. You save to invest. That is the important step to take towards attaining financial freedom.

7 Likes

Re: How To Develop A Savings Culture by Nobody: 8:34am On May 19, 2017
Re: How To Develop A Savings Culture by WenysAD(f): 8:34am On May 19, 2017
If u find savings too hard for u to do by urself. Take it to insurance, it saves and secures ur future financial abilities. Insurance is d only investment dat is protected and secured and greatly imbibes a savings culture in one and provides great benefits on ur investment. Think safe and secure investment/savings plan......think insurance
More so if u prefer to invest rather than save, it's advisable u insure ur investments

Pls check my siggy and contact me for me further info.
Love y'all
Re: How To Develop A Savings Culture by lonelydora: 8:38am On May 19, 2017
Nobody should try number 3 in this present world. Even your brother/sister will disappoint you. There is hardship in the country.

Number 1 is good, but how do you get the money if you have something to invest on?

I use number 4 though. I trust my wife 100%

1 Like

Re: How To Develop A Savings Culture by LifeIsGuhd(f): 8:45am On May 19, 2017
seguntijan:
Saving money is the worst thing any visionary person can get involved with, it gets you poorer and makes the Bank, Business men and investors richer. The Business man or investor goes to the bank to take up the money you save as loan and invest it into their business and make huge amount of profit they pay back the loan(your money), give interest (Bank profit on your sweat/money), and keep their profit. Mind you the tax they'll deduct from their money won't be much because government needs to give investors some incentives because they're helping the economy, providing jobs while you that own the money will be tax. The bank also will remove charges from the money you save and give you at most #50Naira out of millions they made as interest. It can even be better if you fixed the money then you'll be entitled to about 6% of your money depending on your bank, at most they use 30% of your money to maintain the Bank staffs and building, therefore Jim Ovia and co will have 64% of your money invested to himself and family. before you know it you're helping him to maintain his private jets, his residential apartment at Abuja, Banana Island and co, you'll be helping him to send his wards to school abroad and come back to be your boss, and the chain continues. Worst of it the money you save up should now lose its value as we're experiencing presently, mind you Jim Ovia and co has access to dollar than you the saver, so they'll trade your money off again to make more money and you'll be withdrawing worthless money again.
In summary saving is the worst thing anyone can advise you to do, you can never see the likes of Dangote, Warren Buffet saving up money, they'll rather be serving loan collected on your money (don't forget the money they paid on your money is meant for Jim Ovia and co NOT YOU). funny enough it's LEGIT u can't sue them, so keep working under the sun and in the rain, keep working from 7am-7pm, keep taking your money to them, while they keep going to gym, club, expensive leaves on your money.
NB:- Not peculiar to Nigeria alone, and this is the reason why the RICH ARE GETTING RICHER AND THE POOR ARE GETTING POORER BECAUSE YOU'LL KEEP STRUGGLING TO SAVE MONEY

I totally understand your point of view...
However, how can someone invest in this country that doesnt really favour little/humble beginning?

One more thing: Even if you are a great investor, it is always advicable to have savings regardless.

2 Likes 1 Share

Re: How To Develop A Savings Culture by Lilimax(f): 8:46am On May 19, 2017
seguntijan:
Saving money is the worst thing any visionary person can get involved with, it gets you poorer and makes the Bank, Business men and investors richer. The Business man or investor goes to the bank to take up the money you save as loan and invest it into their business and make huge amount of profit they pay back the loan(your money), give interest (Bank profit on your sweat/money), and keep their profit. Mind you the tax they'll deduct from their money won't be much because government needs to give investors some incentives because they're helping the economy, providing jobs while you that own the money will be tax. The bank also will remove charges from the money you save and give you at most #50Naira out of millions they made as interest. It can even be better if you fixed the money then you'll be entitled to about 6% of your money depending on your bank, at most they use 30% of your money to maintain the Bank staffs and building, therefore Jim Ovia and co will have 64% of your money invested to himself and family. before you know it you're helping him to maintain his private jets, his residential apartment at Abuja, Banana Island and co, you'll be helping him to send his wards to school abroad and come back to be your boss, and the chain continues. Worst of it the money you save up should now lose its value as we're experiencing presently, mind you Jim Ovia and co has access to dollar than you the saver, so they'll trade your money off again to make more money and you'll be withdrawing worthless money again.
In summary saving is the worst thing anyone can advise you to do, you can never see the likes of Dangote, Warren Buffet saving up money, they'll rather be serving loan collected on your money (don't forget the money they paid on your money is meant for Jim Ovia and co NOT YOU). funny enough it's LEGIT u can't sue them, so keep working under the sun and in the rain, keep working from 7am-7pm, keep taking your money to them, while they keep going to gym, club, expensive leaves on your money.
NB:- Not peculiar to Nigeria alone, and this is the reason why the RICH ARE GETTING RICHER AND THE POOR ARE GETTING POORER BECAUSE YOU'LL KEEP STRUGGLING TO SAVE MONEY
undecided
Re: How To Develop A Savings Culture by LifeIsGuhd(f): 8:47am On May 19, 2017
lonelydora:
Nobody should try number 3 in this present world. Even your brother/sister will disappoint you. There is hardship in the country.

Number 1 is good, but how do you get the money if you have something to invest on?

I use number 4 though. I trust my wife 100%

Even a spouse can disappoint!

1 Like

Re: How To Develop A Savings Culture by Lilimax(f): 8:47am On May 19, 2017
Griffon:
I am not actually against savings, I am not either entirely in support of it.

What makes the savings idea a bad idea is the motive behind why you are savings. If you are stacking up cash in the bank or in the hands of a confidant, with the motive to spend that savings on a big house project, luxuries cars, wears, gadgets etc, then sooner or later, you'll become broke.

The only motive why you should save your cash is to invest it into an idea when the time is due. That is the way of the rich.

Only folks with a poor financial knowledge save to spend. You save to invest. That is the important step to take towards attaining financial freedom.
Re: How To Develop A Savings Culture by lonelydora: 8:48am On May 19, 2017
WenysAD:
If u find savings too hard for u to do by urself. Take it to insurance, it saves and secures ur future financial abilities. Insurance is d only investment dat is protected and secured and greatly imbibes a savings culture in one and provides great benefits on ur investment. Think safe and secure investment/savings plan......think insurance
More so if u prefer to invest rather than save, it's advisable u insure ur investments

Pls check my siggy and contact me for me further info.
Love y'all
Sent you an SMS.
Re: How To Develop A Savings Culture by Britishcoins(m): 8:51am On May 19, 2017
Griffon:
I am not actually against savings, I am not either entirely in support of it.

What makes the savings idea a bad idea is the motive behind why you are savings. If you are stacking up cash in the bank or in the hands of a confidant, with the motive to spend that savings on a big house project, luxuries cars, wears, gadgets etc, then sooner or later, you'll become broke.

The only motive why you should save your cash is to invest it into an idea when the time is due. That is the way of the rich.

Only folks with a poor financial knowledge save to spend. You save to invest. That is the important step to take towards attaining financial freedom.


Thank you my brother, I don't know that there is still people with good thinking in Nigeria, 90% of our people only save the to marry, buy phone, to spend in festive periods and after that they become broke and hungry,

2 Likes 1 Share

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