Generation Y and Z (Born in the 80's and 90's) are the most vigilant in the market today. In my own opinion, the significant rate of earning constitutes the significant rate of spending. A newly hired employee, who got his first paycheck would think directly on how to spend it. SPEND. It is the term of the century. With all the gadgets and great discounts we get from stores, we abruptly say.. "that is a good investment" - your small fortune can bring about a smile on your face when you can buy a new phone out from your own pocket.
Yes, it is a refreshing feeling to actually spend your hard earned money. At the end of the day, you can truly say, I can because I did. This is from your own blood and sweat. True to that, I have experience this unfortunate plight, I had been a victim of my own greed. What I don't know can destroy me.
Patience. This is probably the best virtue I should learn. Or we (for that matter), should learn at an early pace. Since I was working with a BPO company before, I can say, money can easily be splurged. After series of paychecks and add-on, I was a one day millionaire. I thought it was a layoff from my usual routine, I can definitely go to spa, have out of towns, spend on expensive shoes, bags, dresses which I use at work but it was a complete unlikely expense. It wasn't a guarantee for rainy days.
As they say, "save it for the rainy days" doesn't mean save all your money in the bank and use the only money you may need for expenditures. Working in a corporate company, I have learned that:
SAVINGS = Cash on Hand - Expenditures
ooppps.. not really.
How would you know what expenditures are when you get to the bottom of your pocket and you felt like you need to buy the things that are unnecessary? At the end of the day, if you are likely to think of it this way, there are possibilities of getting debts.
With the onset of online banking, credit cards, online markets, we are all wild card entries for spending contempt. BIG WORD! We all like to preposition ourselves to the idea that we can budget our money wisely but budgeting our money will only be a sound decision if we are not defiant spenders or we invest our money to financial institutions other than the bank.
This by far is one of the reasons why businesses sprout like mushrooms everywhere and investments can easily grow on trees because people are learning that EMPLOYMENT is not the key to earn more money, it may be an avenue but it may not be a solution to long term problems.
Generation X and Y must also learn that INSURANCE is one good investment that we have to think about. It doesn't have to mean any company but on whichever need you desire. Insurance is a way to protect your assets and lessen liabilities in the future. Perhaps you have a family, in the worse possible case, it is of significant value to have a sustainable source once our loved ones died, especially if you are the bread-winner.
We tend to bully insurance and look down to it but less we know the significant use of this particular ownership. There is more to that than thinking about your death, it is more than meets the eye. In the Filipino context of insurance, it is only pushing people to pay for unnecessary things. Probably for now, we think that it may be unnecessary but in the long run, the unnecessary will be necessary.
Here's why it is significant to invest now:
1. Down economy and housing market means GREATER DEALS.
2. Becoming wealthy and self sufficient has become easier
3. This is the ultimate job security.
Here's a little link to learn about saving your money.
And for the win, easy quick guide to SAVE money.
So, there goes your pocket. Save up for the rainy days and by rainy days I meant, future.
Want to know about it, talk to a nearest financial adviser and find out how.
Good luck and happy investing!
