The Truth About Savings

The Truth About Savings digitalbloggers.com /business/the-truth-about-savings Nov 14, 2017 - 11:50 63 views Written by Pedro Campos

Author Pedro Campos

Articles written: 65 Joined: 22 July 2017 Niche: Business Internet and Businesses Online Self Improvement

The people living in this world, in general, still think that their biggest problem is having a job that doesn`t pay them enough, therefore, they cannot save money for retirement, to go on vacations, buy the nice car or even afford a decent house... they blame the boss, the economy, the colleagues or their upbringing and still most people think that the solution is through savings. It`s funny to see on TV, via the media, financial gurus saying thinks like this: "...save pennies and nickles, start early, it will mount up to something, someday!"

This is some false data, folks, society has been lying to you since you were born, especially when it comes to saving money... and I got to admit it, I used to think like that, as well. If we look at the wealthiest country in the world, we are gonna realize that 69% of Americans don`t have $1 000 to their name in the bank, 34% of the people surveyed have no savings at all and only 15% have more than $10 000 in some kind of savings account.

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The savings are related to income and it`s a fact that if you spend the majority of your salary, there will be not much left to save. The average American household income, accordingly to the USA Today, is $71 258, a scary number if you`re living in most American cities.

Here is a list of some cities in the U.S. and it`s cost of living, considering annual necessities: Houston, Texas - $60 608 St. Louis, Missouri - $63 100 Charlotte, North Carolina - $65 492 Miami, Florida - $68 503 Los Angeles, California - $73 887 New York, New York - $98 722 Source: Business Insider How do you plan to live in Miami with a $72 000 a year salary?

People have been trying to convince you that your problem is not saving enough, but what they should've told you was to produce more income, have multiple flows of income and not save for a "rainy day"... I made this mistake too, so the only reason you should save money is to invest. You don`t need a fancy degree, you don`t need to have a skill that nobody has or to born in the right side of town, what you need to do is find way to increase your current income so that there is enough money left over to push to the side and invest it in the future... why so many people got wacked in the 2008 economic crisis? They saved money all their lives, depending on one source of income and then bad things happened, businesses producing $400 000 in revenue, getting whipped out, because they depended on one source of income!

If you want to change your present conditions, you got to shift your mindset, this isn`t the 60`s anymore, saving to save doesn't work and living on one flow of income is dumb, in today`s economy, all over the world!

Thanks for reading! :)

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