Save a penny, spend a penny...NO! This is a bad idea. Never, ever, spend more than you have, ESPECIALLY if it's your money. If you can't afford something, put it down. I'm not saying to not indulge a little (when i say little i mean little), but sometimes you have to be frugal. This will set you apart from others. You need money and you need to save it. If you never save you can never achieve you financial goals. Part of saving includes living well below your means. Basically spend less than you make, and invest or save the difference.
Here are three exaggerated stories you should read, each one describes the different life styles people usually have (financially). See which one you are.
Person X
X was a very smart guy. But he wasn't good with money. He always went out to fancy dinners and movies. Any money her earnt would be spent. In fact, he would spend more than he made. He would rack up charges on his credit cards. Many of them went unpaid and accumulated interest. Now he is living on the streets begging for money.
Person Y
Person Y was a very smart girl. She wasn't great with money, but she wasn't bad with money. She would save some of her money, but then she would spend it. Most of the money she got from her job she would spend. She doesn't have any savings. Now she is living pay cheque to pay cheque.
Person Z
Person Z is a very smart guy. He is modest, and he never spends more than he haves. Any money her earns mostly goes into his savings bank. Part of the money he invests as well. The other part, a very small part, is used for indulgences. Soon his money grew and now he is well off and happy. He barely works.
Now who do you want to be? It's obvious, PERSON Z! Though he doesn't spend a lot of money on indulgences, he is happy and secure. He thought about the long term not the short term.
If you're not like Person Z don't feel bad. Even if you're like Person Y, don't worry, you can get out of debt with the right discipline. But the lesson here is, not to be short sighted, short term indulgences can mean long term struggles. Don't be afraid to be a little frugal. Be reasonable about how you spend your money. Every penny counts.
A 100 pennies = $1
A 1000 pennies = $10
10, 000 pennies = $100
100, 000 pennies = $1000
How many pennies are you saving?
The next time you go out, don't be afraid to say, "This place is too expensive let's go somewhere cheaper." Don't feel guilty for not spending. There is already a system for the needy, it's called taxes. So long as you go to work, or whatever you do, you're contributing to the economy.
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