Saving Vs Spending

  
     
  By: Shaun Rosenberg  
 

There comes a time when everyone will have to make the decision to either save their money or spend it on something.

So, let us take a look at these options really fast.

What do you get when you buy something you don't need by you want?

You get whatever it is that you were able to buy with that money. However there is a problem here, and that is that it just doesn't last. When you spend money you don't have that money any more.

Whatever you buy is probably not going to retain any value. There is no value to eating out every day as opposed to eatting at home. That extra money might as well be flushed down the toliet.

Humans are creatures of habit. In fact all life as we know it are creatures of habits, that is just how the world works. So by spending your money once you get it you are telling yourself that it is ok. And as you spend more and more you will have to work harder and harder to make the money to spend.

On the other hand if you decide to save your money instead of spending it as fast or faster then you make it what do you get?

Well you get some more money in your savings for a rainy day. And if you keep saving and start investing into something like dividend paying stocks or start your own business and invest into that then you are working to create something for yourself.

Of course we are still creatures of habit, so saving money turns into more saving money and investing that money turns into learning more about investing and even increasing our investment returns. This can all lead us to financial freedom which is really a great place to be because the only reason you would work is because you enjoy it and not because you need it to survive.

Now, I'm not saying that you should only buy the essentials, food, water, and shelter. It can be nice to treat yourself at times. Just make sure it isn't becoming a habit.

In general saving money can have a much bigger impact on your life in the long term then spending it. When you are spending your money you are wasting it, but when you save and invest it you are working to create something.


  
  Article Source: http://yourfinance.co.za   
     
 
About The Author
For more ways to build your wealth read these earn extra income articles. Or for more on investing your money visit Shaun's site about the stock market basics

 		  
     
 
More Articles about: Wealth-Building
 		  
 
  • Using Offshore Banking Successfully
  • TAG: Using Offshore Banking Successfully

  • The Truth Is You Are Rich!
  • TAG: The Truth Is You Are Rich!

  • Business Vs Relationship Your Attention IS Required For Continuum
  • TAG: Business Vs Relationship Your Attention IS Required For Continuum

  • Wealth Building Seminar Tips
  • TAG: Wealth Building Seminar Tips

  • Considering Alternative Investments
  • TAG: Considering Alternative Investments

  • The One, True Wealth Building Secret
  • TAG: The One, True Wealth Building Secret

  • Understanding Your Life Insurance Agent
  • TAG: Understanding Your Life Insurance Agent

  • The Fast Track to Your Financial Freedom (Part 1) Leveraging Your Money
  • TAG: The Fast Track to Your Financial Freedom (Part 1) Leveraging Your Money

  • How Big Should Your Business Goals Be?
  • TAG: How Big Should Your Business Goals Be?

  • Manifesting Wealth Means Knowing Much More Than A Few Business Strategies
  • TAG: Manifesting Wealth Means Knowing Much More Than A Few Business Strategies

  • 7 Steps to Financial Abundance
  • TAG: 7 Steps to Financial Abundance

  • Building Wealth Through double Duty
  • TAG: Building Wealth Through double Duty

  • Putting Online Wealth Creation Programs To The Test
  • TAG: Putting Online Wealth Creation Programs To The Test

  • Annuity Calculator
  • TAG: Annuity Calculator

  • Self employed What Are Your Retirement Saving Options
  • TAG: Self employed What Are Your Retirement Saving Options

     
    		•   
         
         
      © 2012 yourfinance.co.za