08/01/2022
Reaching the first 100k is a good milestone to achieve for most of us, but it takes alot of discipline on the commitment.
Saving 500 can also be a struggle for most of us due to our commitments with family, housing loan, bills,reno loans, and vehicle installments which is just waiting to be paid once our salary hits our bank account.
After paying off all the necessities,we usually end up spending and only saving what's left if there is any and just wait for the next paycheck.
Instead, if we start by paying ourselves first by saving a portion of your income, for e.g $500 stashed away to another account. It creates a discipline to ensure you are in control of your expenditure and atleast have something to rely on, in case of emergencies.
Once you have adopted this habbit of saving, and have saved up to 3months of your expenses you can consider investing of up to 50% of what you save thereafter eg($250).
As savings are meant for emergency while investing is meant for growing your net value. For those who want to save more first before investing you can save up to 6months as emergency before beginning your investment journey.
Save then invest, as much as investing is important. Having a form of liquidity is important too, it gives us the feeling of control in our finances.
