You may wonder why saving money is so necessary. If you have enough cash to pay for everything you need, why would you consider putting money away every month?
“Do not save what is left after spending; instead spend what is left after saving.”
― Warren Buffett
Different people save for different reasons, but in general, saving will be good for you in the future. In fact, saving some money is critical because it helps support you in financial emergencies which can also help you pay for major expenses, reduce debt, give you a greater sense of freedom or even leave a financial legacy to your children.
Here are the major reasons which includes:
- Save for your emergency fund for irregular experiences
- Save for Retirement
- Save for Children high education
- Save for big purchase, i.e. down payment for house, vacation, investments
- Save to Maximize Interest Rates
Starting early and saving regularly is the key to saving. In order to control your money and stick to your goals, build a savings plan.