This is putting money aside to spend in the future, and this is only feasible if you live within your means by managing your finances well.
Saving is important because it allows you to;
- Manage daily cash flow
- Be prepared for emergency situations
- Improve your way of life
- Build up capital for investment into assets/business
- Save for social obligations
Everyone can save, save money regularly to achieve your goals, and saving is usually cheaper than borrowing.
Money that you earn can be saved in different ways: cash savings, in kind savings (livestocks & grains), savings in a group, and saving with a bank.
Saving in a bank is the safest option and provides different options to choose from. Banks are regulated by Central Bank of Nigeria and savings are insured up to a certain amount by the National Deposit Insurance Corporation.
As a young budding youth it has been very difficult for me to save money. I have looked at my income and expenditure and it has really not helped in my goal of learning to save.
So what did i do?
I decided to go traditional, I went to Yaba Tejuosho and bought a small piggybank (called kolo in yoruba).
I started by putting in bad Naira notes – you know those Naira notes you take to the market to buy something and the seller rejects it. I decided to start putting them because I knew at the end of the day, banks won’t reject it.
Then, I imbibed the tradition of setting aside Naira notes like 5,10, and 20 whenever i make any expenses.
I put them in a small piggybank.
The problem with this style of saving is when you are not able to control yourself, you might end up going to the piggybank and breaking it. So you must learn self control and discipline.
Then, I also save money I didn’t work for. You sometimes you come across freebies and I just save it up.
After a while the culture of saving grows and you did learn how to save money in the bank and all.
There are also target savings you need to make, these are the funds you re-invest into something and make more profit.
I hope from this article you will have learnt how to save for the future.
Anyways, as you save up, remember to save a thousand naira for my event ticket happening in the LIONS DEN – University Of Nigeria, Nsukka On The 19th Of July. It is the annual stand up comedy evening you know as OUT OF HAND.
I am ChimeFrancis, thank you for reading my piece on saving, was this helpful? if yes, please drop a comment below.