Many people spend money and not save it.
What are the reasons?
Is it a positive or negative development?
In this modern era, to enjoy a luxurious lifestyle, money is mandatory. Numerous individuals opt to spend money rather than preserve it. In this essay, I believe without saving as a habit to a person in life is a serious pitfall and I will elaborate with reasons below.
On one hand, many people like to spend more because almost everyone today thinks it is necessary to live in the moment rather than save for the future. Many psychologist’s thing this way of living is essential as it keeps a person’s stress free. One of the best examples of this situation is that public today loves to travel, the need to explore has expanded, they see it as a way to invest in themselves. For example, travel and leisure magazine 2018 wrote that at least 50% people prefer travelling to stay tension free and 40% of these, love living in the moment and without worrying about the future.
Indeed, a non-saving policy as a personal habit is dangerous to the future. Some people might overspend in a short period of time after paid day. They will soon get into debts because of over expenditure. The debts usually at a high rate of interest. They might not be able to get out of the debts ultimately. Moreover, lack of savings insecure a person’s financial situation. Since the inflation is raising indefinitely, savings allow ones to have a backup plan for the economic crisis. In addition to this, sometimes in life, a sudden emergency cost a fortune. For instance, if a family member discovers a breast cancer, the entire treatment is expensive. Saving money in the past can now help that family to pay off the treatment fees more easily. so it does not appear as a heavy burden to the family after all.
To recapitulate, lack of the mentality of saving money is a serious drawback. Overspending money can happen to all of us. Saved money secures people unease feelings when emergencies emerge.