Let me explain this in a simple and relatable way so that everyone, including Mama Ngozi in the village, can understand.Imagine you have a bowl of garri, and you want to make the garri last longer because things are expensive these days. You have two options. One, you can scoop out the exact amountRead more
Let me explain this in a simple and relatable way so that everyone, including Mama Ngozi in the village, can understand.
Imagine you have a bowl of garri, and you want to make the garri last longer because things are expensive these days. You have two options. One, you can scoop out the exact amount of garri you need for one meal each time. This is like spending first before saving whatever is left.
Now, let’s think of the other option. You scoop out a portion for saving first, say five wraps of garri, and then use the rest for your meal. This way, you are saving a little bit right from the start.
So, when it comes to money, it’s similar. If you wait to save after spending all your money, you might not have anything left to save. But if you save a bit first, even before spending, you’ll always have something set aside for the future.
In the case of your cooperative member, instead of waiting for a big increase in salary to save more, it’s wiser to start with a small amount like adding 3k to his savings. This way, he can slowly increase his savings without feeling the pinch of a drastic change.
Remember, just like taking a little garri out for saving first can add up over time, saving a bit of money regularly can also help you achieve your financial goals, whether it’s buying something you need or planning for the future.
Should You Save Before Spending or Spend Before Saving?
Let me explain this in a simple and relatable way so that everyone, including Mama Ngozi in the village, can understand.Imagine you have a bowl of garri, and you want to make the garri last longer because things are expensive these days. You have two options. One, you can scoop out the exact amountRead more
Let me explain this in a simple and relatable way so that everyone, including Mama Ngozi in the village, can understand.
Imagine you have a bowl of garri, and you want to make the garri last longer because things are expensive these days. You have two options. One, you can scoop out the exact amount of garri you need for one meal each time. This is like spending first before saving whatever is left.
Now, let’s think of the other option. You scoop out a portion for saving first, say five wraps of garri, and then use the rest for your meal. This way, you are saving a little bit right from the start.
So, when it comes to money, it’s similar. If you wait to save after spending all your money, you might not have anything left to save. But if you save a bit first, even before spending, you’ll always have something set aside for the future.
In the case of your cooperative member, instead of waiting for a big increase in salary to save more, it’s wiser to start with a small amount like adding 3k to his savings. This way, he can slowly increase his savings without feeling the pinch of a drastic change.
Remember, just like taking a little garri out for saving first can add up over time, saving a bit of money regularly can also help you achieve your financial goals, whether it’s buying something you need or planning for the future.
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