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Make Every Penny Count: World Thrift Day Essentials

Overview

“A penny saved is a penny earned” – we have all heard this at some time or the other in our lives. This is just what World Thrift Day aka World Savings Day is about.

World Thrift Day or World Savings Day came into force on October 31, 1924. It was coined by Professor Filippo Ravizza at the 1st International Savings Bank Congress in Milan, Italy, who promoted the necessity to save money in a bank instead of keeping it at home or under your mattress. This day is celebrated, every year, all around the globe on 31st October and in India on 30th October. This day promotes saving as a means of financial security, for an individual and the society, at large.  

Remember the piggy bank in your room? Where you would proudly fill with some of the pocket money that your parents gave you?  Once you grow up, this piggy bank gives way to your bank account. In the world today, every penny counts, as inflation keeps rising and our income is never enough to meet all our needs and requirements. The cleverness with which you save/keep aside a part of your income (better to conveniently forget about it- so you do not get the urge to spend it) is exactly what World Thrift Day is about.

The Gen-Z is much more active and focused and it is not a difficult task for them to save money. They become young leaders and hold high positions, at the age, in which, we were just figuring out what we want to do in our life!

How to be thrifty

Some basic ways can make us thrifty. At times we do tend to get carried away by making impulsive purchases that were not required at that time. A very good example we can relate to is going to the supermarket for grocery shopping. We end up purchasing much, much more than we require. So let us try to be thrifty (defined as “the quality of being careful not to spend too much money” as well as being prudent and wise.

Financial security is of utmost importance and there are some simple ways by which we can effectively save some money.

  1. Budget: Well, well, well! This is the word that we all fear when it comes to the Union Budget. But relax, this is our budget and all for our good. List out the monthly expenses and plan to keep aside a small part (in the bank or invest) every month. Estimate the payables so that you are aware of just how much can be saved or not.
  2. Loans: The loan/s that you have taken can be prioritized or consolidated as per their interest rate and the ones that have a higher interest rate should be paid off on priority.
  3. Prioritize: Prioritize your payment of utility bills, credit card payments, etc. so that you are not left in the dark (if you pay your credit card and forget about the electricity bill). Another thing is you can prioritize what you want to purchase, e.g. “Do I need a new phone now, as my old one is just six months old and it works fine?” Once you know your monthly expenditure, keep aside a sum for that as well as a reserve amount (in case of emergency) and keep aside a sum as your savings, and, over and above, if there is any amount remaining, maybe you can spend it on yourself as a reward for being thrifty.

Do not save what is left after spending, but spend what is left after saving.

  1. Invest wisely: Make sure you invest your money in legal and safe options. You can take the advice of professional financial planners for this. So instead of splurging on that high–end watch, you invest that money in a fund that will pay you interest and prove beneficial in the long run. Another important aspect is that invest in multiple options rather than putting all your eggs in one basket.
  2. Differentiate: Learn to differentiate between luxury and necessities, and half the battle is won. Invest in necessary items rather than purchasing luxury goods that will soon be out of fashion e.g. Smartphones – better to have a robust one instead of the most expensive which will be outdated as soon the next model is launched in a couple of months.
  3. OPT FOR DISCOUNTS/OFFERS: Learn to look for bargains, offers, and discounts so that you can spend wisely on the items that you require holidays fuel, etc. Nowadays there are coupons, scratch cards, cashback, and many such offers that are useful in saving a few bucks.
Make-Every-Penny-Count:-World-Thrift-Day-Essentials-The-Aartery-Chronicles-TAC
  1. No fast and easy money: There is no such thing as fast and easy money, other than illegal options, which we are not talking about! Do not get taken in by such schemes as they may be scams in disguise. No lottery or gambling, please! Concentrate on how to utilize your money aptly instead.
  2. Multi-tasking: Try to multi-task your errands: this will save effort, time, and money. Make a list of a few errands and complete them on the same day, as they are all in the same area. Instead of returning there the next day for a single errand. This way you can kill more birds with a single stone, rather than killing one bird with one stone every day (I do not mean actual killing here).
  3. Used goods: Suppose you have just moved into a new home on rent, then you may consider renting used furniture or electronics instead of purchasing expensive new ones. But of course, the final decision is yours. Once you are well settled, you may opt for the first-hand acquisitions. But I am sure the temporary ones will do for the time being.
  1. Conservation of resources: To avoid huge utility bills, be mindful when using them. Switch off the electric lights/fans when not in use; use LED lights instead of regular ones; use solar power. In the case of cable TV, subscribe only to the few channels that you watch rather than keeping a whole bunch that you do not even prefer.
  2. REUSE: Learn to reuse and recycle. Opt for washable bags, use food containers as planters, grow your herbs, and use recyclable products so that you do not have to keep purchasing them repeatedly.
  3. Travel cheap: Plan your travels during the “off-season” so you can avail discounted rates on hotel accommodation and travel arrangements. If you travel in a group, you may be eligible for a group discount.
  4. Free recreation: Invest your time in free recreation like reading, walking, listening to music, meditating, board games, crosswords, walking the pets, and volunteering for community events, instead of expensive film tickets or long car rides with hefty petrol bills!

These are just some ways you can be thrifty but make sure to, once in a blue moon, spend a bit on yourself and enjoy. After all, one party won’t hurt anyone!

 

Schools should also teach the students to save money and become financially strong. These savings can help elders in their retirement or youngsters for their educational expenses.

 

The crux of the matter being that these savings make you financially independent, safe and secure. The financial market is booming with financial analysts, financial advisers, and other professionals who are well-versed and qualified, to assist you with your investments.

Relevance of World Thrift Day

There are several reasons why people are switching over to a Vegan diet.

  • Creating Awareness: This is a time to look at your financial standing and learn how to save better by setting savings goals.
  • Knowledge: The informative articles educate you about various products, how to invest wisely, where to invest, what the returns are, budget knowledge, and proper planning for the future.
  • Promoting saving: World Thrift Day reminds us of the importance of saving, and we can start from small, no problem. The saving is important, irrespective of the amount.
  • Long-term benefits: Saving prepares us for long-term benefits like acquiring property, education, insurance, retirement funds, and medical aid.
  • Financial peace: Savings make us less anxious as we can meet any unexpected expenses, which, we have made provisions for, in our budget
  • Economic boost: The quantum of savings is beneficial for the economy as banks can easily disburse loans for business development and investments. The financial security of the people makes them self-sufficient and they are not burdening the Government for financial assistance. The rural population can also be a part of the savings program by opening bank accounts, thereby contributing to the economy.
  • Financial awareness: Increasing financial awareness helps to reduce poverty and financial inequality.
  • Prosperous future: The combined savings and investments of the society lead to a prosperous and equitable future for everyone.

So wise up, save today for a better tomorrow.

the aartery chronicles

Ms Rupal Sonpal

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