Reasons why you need to be thrifty – This article is for all and sundry on reasons why you need to be thrifty. There is need for all to use his or her money and resources wisely. While you are employed, your retirement is getting closer, so you can only enjoy from what you saved in your active service.
- 1 Reasons why you need to be thrifty
- 1.1 Importance of Thriftiness
- 1.2 What happens when you are thrifty and the benefits you would get
- 1.3 You Become Resourceful
- 1.4 You Understand What Matters and What Doesn’t
- 1.5 Read – Diversifying Your Source of Income: How to Multiply source of income and achieve good result
- 1.6 You are More Prepared in Times of Emergency
- 1.7 You Worry Less about Incurring Debt
- 1.8 You Invest More
Reasons why you need to be thrifty
Being thrifty is not being stingy to yourself or to your people. Directly and indirectly, you are saving for yourself in time to come. Unforeseen circumstances can only be taken care of by what you have saved previously. Indeed, there is need for one to be thrifty.
Importance of Thriftiness
- Spending less on non-essentials.
- Getting better value at a low cost
- Avoiding borrowing to satisfy leisure purposes (such as buying a car, funding an extravagant wedding, going on pleasure trips, etc.)
- Borrowing only when in dire need or for investment purposes, and so on.
What happens when you are thrifty and the benefits you would get
You Become Resourceful
Thrifty will make one to be resourceful as he or she knows that he has lots of tasks to accomplish. Even in the means of scarcity, thriftiness will help you to manage and achieve something great.
You Understand What Matters and What Doesn’t
Thriftiness inculcates saving culture thereby making you to know how to manage as well manage and utilize available resources. To meet up with the level of your peers or colleagues is not always an easy task. Sometimes, it makes one to spend more than expected. Don’t forget to cut your coat to your size. Bother less about impressing your friends. Nor should you allow yourself to be swayed into purchasing things you don’t really need (which may even cost you more money in the long run).
You are More Prepared in Times of Emergency
Spending wisely means you will have something to fall back on in case of an emergency. If you always empty your account and live from paycheck to paycheck due to bad money habits, you will find yourself in a prickly situation should you lose your job or face some other unforeseen event.
You Worry Less about Incurring Debt
Spending wisely implies you won’t face the unpleasant situation of borrowing to carter for your basic needs. You sleep better at night knowing Mr. Ade won’t come banging on your door come morning, demanding you pay him back.
You Invest More
Being thrifty helps you increase your savings, which you can then use to make profitable investments. You therefore get closer and closer towards achieving financial freedom and retiring early.