In my previous blog post, I shared about my debt restructuring. It was momentous as it helped me get rid of bad debts. And now that I am good, I’d like to share to others how I am moving to the next step of saving money. Save money so you can invest.
I believe that the first step towards achieving our goal of “Becoming A Millionaire God’s Way” is by saving money. A part of all you earn is yours to keep. And not just keep, but make them work for you.
You know, it is said that while poor people spend their life working for money, the rich make their money work for them. And with this blog, that is our goal. That is my goal and I wanna encourage my readers to make that your goal, too.
Soon, we’re going to be rich. We’re going to be wealthy.
Do You Know Why Jesus is So Rich?
It’s because, Jesus saves.
That was a question shared as a joke in one of those seminars I’ve attended. It may sound like a joke but the message is serious. We have to save money, either set aside in case of emergency, or for investing in the future.
Oftentimes, people are left with no money at the end of the month because they have spent them all not only on the things they need but also on the things they just want.
Remember? That difference between “needs” and “wants”?
Food, water, basic clothing, education for our kids, and shelter, are the things we need. A part of our income is earmarked for these needs, and usually people spend what is left to buy the things they want.
But we can live without those things, right? Those that are just classified as “wants”.
You want another pair of shoes or a new pair of shoes? That’s okay. But what about if you delay your gratification of that want for a while and instead of spending what is left for buying that “wants”, save that money and invest later?
Do Not Eat Your Workers!
Earlier, we have mentioned about the rich making their money work for them. It shows that money can become good workers that can attract more money to you. This is the secret that most poor people don’t know about or naive about.
“The poor and the middle class work for money; the rich make their money work for them.”
That’s a classic line popularized by Robert Kiyosaki, the author of the book, Rich Dad Poor Dad. And here’s another one from Robert:
“It’s not how much money you make but how much money you keep; and how hard that money works for you.”
So, you see, money can actually work for you! It can be a good slave working for you, making you more money!
Every time you receive money, every time you receive an income, you have the opportunity to either eat them all through a lavish dinner or to save them so you can use for investing.
Or, similar to eating your slaves is spending on an expensive gadget you don’t actually need!
Now, be honest, what is that you’re doing right now?
Saving And Investing Have Been Made Easier Now
Just recently, I visited the website of a popular broker of stocks and mutual funds here in my country (Philippines). I learned that they have lowered the amount of entry, one can now start investing with them for as low as Php1,000 or $20. Before, the minimum amount is $100.
Gone are the days when the only people who can invest are the old rich guys with their millions. Today, the masses can now participate in investing for a very low amount of money. There’s no excuse now why one could not start saving and investing.
Of course, the amount required to open a savings account in a bank which is required for getting started in investing remains the same or maybe higher now, but with the brokerage companies, they have lowered the entry.
To take advantage of this, I in fact started saving in an improvised piggy-bank coins with the denomination of Php10 each. I expect that by the time this piggy-bank is fully filled, it will be worth $200 which is enough to buy me shares of stocks of a popular fast food franchise here.
This is aside from the savings I have in a real bank.
My goal is to be like that old man we’ve met in a mall’s food court, he showed all those stock certificates he own each giving him regular dividends like a retirement income.
If you have a big income and after covering all your expenses there’s still a huge surplus of cash in your hand, then go directly to investing. But if you’re like me, or you’re like ordinary people who are trying to make both ends meet, you may like the idea of saving money bit by bit.
A small amount, through discipline and persistence, can mount up to make a huge amount ready for investing in either mutual funds or stocks. And don’t think of it as a plan or just a plan, take action today and start saving now!
You can do it, anyone with a regular income can have the discipline of setting aside money for future use, setting aside money for investing in the future. Since I started my saving of coins, I realized how time flies fast and it’s almost two weeks now.
Whatever country you’re from, I’m sure there are equivalent programs available in your place for the easy investment programs that I’ve mentioned. Get started today!