Top 4 reasons why Singaporeans shouldn't save just for the sake of saving

Top 4 reasons why Singaporeans shouldn't save just for the sake of saving

This article was originally on GET.com at: Top 4 Reasons Why Singaporeans Shouldn't Save Just For The Sake Of Saving

Are you a saver or are you a spendthrift who lives on your pay check dangerously from month to month?

Whichever camp you belong to, we at GET.com strongly believe that it pays for everyone to start saving.

But it's important to understand why you are saving, and have a clear plan for how your savings will impact your future and how you plan to use them. There's more to saving than just stashing every extra cent or dollar that we have into our trusty piggy banks.

As ironic as it may sound, here are the top 4 reasons why Singaporeans shouldn't save just for the sake of saving.

Top 4 Reasons Why Singaporeans Shouldn't Save Just For The Sake Of Saving

1. We Can Make Our Money Work For Us

For the most part, we have the means to make our money and wealth grow through means like investing if we already have a sum of money set aside and the relevant know-how.

Yes, it may sound daunting to delve into the uncertain realm of investment with so many different factors to consider, but we have to concede that investments have the potential to grow our hard-earned savings much better and faster than leaving a chunk of money sitting in our savings account earning a pathetic return on deposits at an interest rate of 0.05 per cent.

Fret not if you're clueless about investing - here are 5 things newbie Singaporean investors should know and the different types of investments Singaporeans can consider according to how much spare cash they have. From investing in property, relatively risk-free Singapore Savings Bonds, to investing in ourselves, we sure can make better use of our money, don't we?

2. Having Goals Make Saving All The More Meaningful

Saving in itself can be arduous, especially if you're saving a significant chunk of your monthly salary just because an acquaintance or some guy who writes a blog says he's saving, say, half of his paycheck.

Create saving goals for yourself and make sure you stick to them whether you're saving specifically for a holiday trip halfway round the world, a gorgeous Chanel bag, your first HDB flat, or a $1.5 million condo. Also, if you have young kids in tow, here are 4 money-saving tips that will come in really handy for parents.

Not only will you be more motivated to save, you can also expect yourself to be more disciplined when it comes to taking charge of your finances.

3. Saving Can Be An Enjoyable Process If We Allow It To Be

Extending from the point above, it helps to embrace saving for what it is so that it can actually be an enjoyable commitment. It doesn't have to cost you an arm or a leg either.

Here are 16 clever money-saving tips that won't make you feel like you have to scrimp every living day. Not yet a saver? Here are 5 easy ways to get yourself into a money-saving mode. The first one in the list will change your life forever!

Here are 5 tips you could employ to help you become thrifty if you are a big spender.

Also, if you're a credit card user, you should understand how credit cards can help you save money by delivering discounts and passing on rewards or cashback, even as you're technically spending. Just make sure that you pay your bills in full punctually every month to avoid nasty fees and charges. To give you a leg-up, here are 5 money-saving hacks you could try out using credit cards.

For instance, if you love travelling, you can save a fair bit through hotel and airline discounts, complimentary travel insurance or lounge access and reward flights, just by using the right credit card to pay for your travel. Here are the 2 best credit cards for frequent travellers and the 2 best credit cards for budget travellers, just to get you started.

4. We Can Impart The Virtue Of Saving To Our Kids

Let's be real, majority of impressionable young kids will follow and grow up replicating what their parents tend to do whether it be acceptable habits within their home, how they manage their money, how they view saving and so on.

By saving conscientiously and smartly, adults are setting the example and bar for their little ones. It will do your kids good if you encourage them to start saving from a young age and turn this good habit into a virtue that will stick with them for a lifetime.

Not sure where to begin? Here are 4 money-saving habits to teach your kid.

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