Amidst the fast-paced evolution of global economies and the increasing complexities of financial markets, the fundamental principle of saving money remains at the heart of individual fiscal health and long-term prosperity.
With the volatile nature of today’s economic landscape, the time-tested value of saving cannot be overemphasized.
Whether it’s ensuring stability in turbulent times, preparing for major life events, or building wealth for future generations, saving money is the cornerstone of a secure and stress-free financial future.
Thus, EastWest continues its customer-centric initiative to emphasize the paramount importance of setting aside a portion of one’s earnings.
Plan Ahead
If you know how much you earn and how much you spend, it’s easy to figure out how much you’ll save, too. Start by taking note of how much you spend per month, such as groceries, toiletries, transport, entertainment, and bills.
Subtract these constant expenses from your monthly income, and you’ll know how much your savings per month will be. Next, optimize your spend by cutting down on expenses that are not essential—maybe buy fewer soft drinks during grocery trips or spend more time with free outdoor activities instead of going to the mall—and you’ll realize quickly that you can save a lot more than you thought!
Be consistent
Consistency is important when forming good habits, be it at work, for fitness, and with finance. When you’ve identified your monthly spend, make sure to stick to it as much as possible, as often as possible. Record your expenses to help keep you on track.
When you allocate your money for expenses, savings, and emergencies, do it as soon as you receive your income, to prevent yourself from forgetting it or from “accidentally” spending it during a sale.
Moreover, whenever you receive an unexpected windfall, always choose to save it, like Roger did in the story above. This will not only give your savings and emergency funds a boost, it will also protect it from being spent.
Budget for your wants, too
Most people are afraid of thinking about budgets because they assume their spending will become extremely restricted and limited. This is in fact false and is also unhealthy.
Non-essentials such as travel, entertainment, and the occasional nights out keep us motivated, mentally healthy, and gives opportunities for family and friend bonding. Make space for your wants in your monthly budget, just make sure you don’t go overboard!
Open a Separate Account
It’s easy to promise yourself that you’ll never spend the savings that you mentally separated inside your account, and that’s fine—it works for many people.
But it’s also easy to become tempted to do the opposite, especially with how easy it is to pay nowadays, with multiple payment options available at almost every store. An excellent way to prevent this from happening is to open a separate account for your savings and for your emergency funds.
With separate accounts, you can easily manage, control, and track how much you’re saving, and see your money at a glance. You’ll no longer need to calculate how much in your bank account is meant to be savings, and you’ll also never spend it again by mistake!
An added benefit to using separate accounts is the opportunity to grow your savings through interest. For example, keeping your money in an EastWest Peso SuperSaver account lets you grow your money by up to 2.4% per annum (much higher than a regular savings account), while still giving you the flexibility to withdraw your money if you truly need to without fees or penalties (but don’t do it—remember why you’re saving!).
Alternatively, if you really have difficulty keeping your hands off your money, or simply want higher interest, you can opt for an EastWest Time Deposit. This will lock your money for a specified length of time, but it will also net you even more interest—up to 4.25% per annum.
Over the years, the world has seen a multitude of financial trends come and go, but the consistent factor that differentiates those who attain true financial freedom from those who face constant monetary challenges is the discipline of saving.
At the end of the day, money saved today is an investment in a brighter tomorrow. EastWest continues its mission to empower individuals with the tools, knowledge, and confidence to make saving not just an occasional thought, but a defining principle of their financial ethos.
Whether you simply want to save for a future expense, or want to grow your money, or both, EastWest is a reliable partner in your financial journey. Remember to save your spare money whenever you can and let EastWest take care of the rest. Visit www.eastwestbanker.com to learn more about deposit products and see which one works best for your lifestyle.
