How did I reduce my waste and save hundreds of millions?
After graduating from university, I successfully entered a bank to work as a financial manager. Except for the first half-year of the relatively strenuous job, I had mostly five-figure income per month (unit: bad). However, when I quit my job after four years working there, I was surprised to find that my savings were just over 20,000 yuan (about 70 million). It’s a shame to say that a finance graduate can’t manage his own money well. At that time, I had to rethink my way of life.
When I first came to Japan in 2017, I bought two suitcases of makeup and skin care cosmetics. Nearly half of the products in it have expired but have not been opened. Before entering the bank, I was a pretty simple girl. However, most of my colleagues at the bank are female, they are young and beautiful, and dress trendy after work, so I also want to retouch myself so as not to become blurred.
At the time of my most extravagant spending, I bought two Starbucks cups each morning and evening. Although it doesn’t suit my taste, because I see everyone holding it in their hands, I think it’s trendy.
Perhaps the reason is because my family’s life can be considered adequate, so it doesn’t matter if I spend money or be a little extravagant. Because I love Japanese culture, I also often collect expensive models. Even though I don’t buy luxuries, nor have any fancy hobbies, the amount of money I spend on games and character models is several times that of other people.
Not only is spending a bit wild, the way I invest is also quite indiscriminate. Previously, relying on myself studying and working in the financial industry, I was relatively familiar with this field and my investment style was also very aggressive. But I once lost almost 50% of my investment. That also gave me a real insight into greed, and a deeper understanding of risk.
After discovering the problem, I redesigned my financial plan: First, conduct a thorough inventory of all supplies, discarding all unused bags, cosmetics, and books. , pack and dispose of all that cannot be handled.
Second, 6 out of 8 credit cards were restricted, leaving only one for daily use, and one with savings for emergency use.
Third, control expenses, determine the percentage of money spent on clothes, food, housing and transportation, and set the time of use for the shopping application (the expiration of the time limit will not can access the app to purchase as well).
Finally, in terms of investing, I switched to a fixed-income fund and also bought some gold to save. After doing this for more than two years, I was able to save more than half of my annual income, which is about 100,000 yuan (about 347 million). Although not too much, but I feel satisfied because of my determination as well as the money in the savings account.
Here are 4 savings habits I have applied that really work that you can refer to:
The first is a change in the perception of money. Not everyone gets a financial education from an early age. Many people have an attitude of not wanting to talk about money, on the one hand they feel it is vulgar and shameful to talk about money, on the other hand, they fear that they will not be able to control their material desires. In fact, money itself is neutral, making no distinction between good and evil. You want to work hard to earn money, realize your worth, and live a better life than a normal idea. So, the first step to keeping money with you is to change the perception of money, learn ways to make money and learn about financial management.
Second, set “KPI” savings. Don’t treat financial management as a hobby, treat it as a serious business. Setting yourself a profit plan and goals for the year, just like you do with work, will make it easier for you to stick to it. For example, I plan to save 25% of my income every month and have to achieve this “KPI”.
Third, do not underestimate the small but frequent expenditures in a week. Have you heard the term “latte effect”? A cup of coffee latte costs 20 yuan (about 70 thousand), VIP membership on the movie platform costs 10 yuan / month (about 35,000), a monthly game recharge card costs 30 yuan (about 100 thousand dollars). ). These costs seem insignificant but add up to a terrible number.
Fourth, invest in yourself. The only sure investment in the world is in improving your values and mindset. Using the money you save to learn skills, buy books, listen to lectures, travel… can both make yourself relax and at the same time be exposed to new knowledge. This will make yourself more valuable and increase your motivation to earn more. We cannot determine the length of life, but we can extend the breadth of life, right?
at Blogtuan.info – Source: cafebiz.vn – Read the original article here
