Finding It Hard To Save? It Is Common, But You Can Change It

Living from pay check to pay check is a phrase that defines many of us. It means that we are able to somehow manage our expenses till the next salary comes in. An increase in income seems like an obvious solution to the problem, but it is not. 

There are families where both spouses are working and earning in lakhs every month, but who still live pay check to pay check, while there are families who earn much less but still manage to save. 

First, we need to understand why we need to save. Here, one may think of the ant and grasshopper story we learnt as children. During summer, the ant was toiling hard and saving food, while the grasshopper was busy singing and having fun. When winter arrived, the ant had enough to eat, the grasshopper was starving and had to beg to the ant for food. 

If we spend all our income, we will never have any money to save any money for the future when we need it. Even if one’s income is very high, it will make no difference. 

Why People Find It Difficult To Save 

 “As a CEO passionate about financial empowerment, I understand the common challenges that hinder regular saving habits. Many people face barriers like limited financial knowledge, daunting entry requirements for investments, and the complexity of financial products. These factors often discourage individuals from taking the first step towards saving for their future,” says Nishchay Ag, Co-founder and CEO of Jar, an app which helps you save regularly by investing in gold. 

Another reason people cannot save is that they do not have discipline. For that one needs to have a clear idea of one’s income (this is the easy part) and also of one’s expenses (this part is more difficult). In fact, if one looks at it, personal finance is simple and one should keep it that way. 

Like going to the gym, starting the process is perhaps the most difficult part. And once you start, you need to be regular. 

People envy successful people who are lucky or have arrived with a silver spoon. “They forget that a successful person utilises every rupee he is earning – every day and every month. For him, every rupee is an opportunity to create wealth. They tend to avoid wasting money on showing the world that they are financially successful.

This does mean they penny-pinch. This simply means they are aware of their wants and needs before they open their wallets,” says Madhupam Krishna, Securities and Exchange Board Of India Registered Investment Advisor (SEBI RIA) and Chief Planner, WealthWisher Financial Planner and Advisors.

How To Save Regularly 

As Nishchay puts it, “Saving small sums regularly isn't just about the amount—it's about the habit it builds over time.” 

Even if you save even a small amount every month, the important thing is to save. Only if you save, can you invest. And investing over a period of time lets you reap the benefits of compounding. 

“Investing is 10 per cent knowing, 90 per cent execution. Most of us struggle with both. We can always make an extra effort to learn the basics of investing and leave complex matters in the hands of a trusted and qualified advisor,” says Krishna. 

Investing is difficult because it challenges our basic human nature to spend, enjoy and satisfy our needs as early as possible—instead of later. “Learn to prioritise investing before spending. Look at long-term goals and the happiness they will bring once achieved,” adds Krishna. 

Remember, your financial future is in your hands. A lot like staying fit, it is about discipline. And it is never too late to start.

Anagh Pal

BW Reporters