Today, money is everything… well almost everything. We cannot survive without money. Money decides what we eat, how much we eat, where we live, what we buy and it basically controls our life for us. As teens, we take money for granted. While we may understand the fact that it has value we might not understand the importance of saving money. Very often we feel saving a tenner or a twenty is enough savings for the month. It is only when we go outside into the real world and start earning for ourselves do we realise how little we have learnt to save. Taking a few words from Leonard Hofstadter (from The Big bang Theory), we realise that we are attached to another object by an inclined plane wrapped helically around an axis. Look it up if you want to know what it means.
Budgeting is extremely important. We never know when we need that extra money. Unforeseen circumstances force us to spend more than we want. This may happen much more often than we even realise. It could be something as trivial as having to pay extra for food because you did not take into account the taxes and tips or it could be as extreme as falling sick and having to pay hospital bills.
If we ever spend too much, then we are left with very little savings, and that can hurt us big time. As teens we often save our pocket money when we want to buy something we like. But here, we have our parents to bank on, in case we fall sick. However, once we become adults and decide to live and earn on our own, we lose a huge part of our ability to rely on them. Even if you save money for those hella fine Nike shoes or that gorgeous dress, it might not be enough to pay for your medicines if you get seriously ill.
Obviously this isn’t a problem only a few face; but most young adults today, have this problem. So let’s try to help y’all figure a way out using 3 easy steps. For all the teens who get their regular pocket money and even adults who still wanna learn, pay close attention.
Step 1: Save First Spend Later
When you receive your monthly allowance, save a portion of it in advance. Then with the rest, carefully decide where you want to spend it. By saving first, you can keep as much money in “the bank”. The bank here does not necessarily mean the huge one your parents go to in order to withdraw cash, but it could just mean your piggy bank. Imagine I get 3000 bucks a month. I decide to save 1500. The rest I can spend anyway I like. This essentially makes me think as if I only have 1500 to spend and I will not encroach onto the other 1500 unless absolutely necessary.
Step 2: Weigh your wants against your needs.
We need to be able to differentiate between our wants and needs. Once we have decided how much we have to spend, we need to see where we spend it. Assign a certain importance to your actions where you spend money. For example, walk it out instead of taking a rick over short distances. You may be a little tired, but you have more money to spend later. Buying that text book for college is probably more important than going out to lunch with friends for the fourth time this month. Sure, if you have the money, after saving some, go ahead and spend it on both, but if you have to choose one, then analyse the situation. Look past today, and asses your needs for the future.
Step 3: Use Fyp
So Fyp huh…. What’s that? Well Fyp is a neobank for teens in India. It allows you to learn budgeting and manage your finances. The only money you ever have to spend, is on buying the stuff you want. It is essentially a debit card for teens. Thanks to Fyp do not need to be 18 years to start banking journey! Just download the app. make an account, fill in your details add your family and ask your parents to transfer your allowance here.
What’s even better is that Fyp charges no fee from teenagers!! Instead, you actually save money because it has some amazing cashback options. Want to watch Money Heist, The Blacklist, Brooklyn 99 or Peaky Blinders? Well use Fyp to get the Netflix subscription and you will get a cashback.
Well I could go on and on about all the ways you could save your money and yet…. People somehow struggle to save money.
For some reason people hold money precious, but then immediately start spending it the moment they get their hands on it.
One important thing to remember is that if you want to save money, you need to be ready to give up a few wants. You will have to make sacrifices and only then will you be able to save sufficiently.
I’ve probably spoken enough about you saving money, most of y’all who have reached this point probably just want a few more memes on saving money rather than having to read about my rants on the same. So here’s some more.