Category Archives: Saving

Saving Is Still In Style

January 20, 2012Savingbank account, budget, emergency fund, expenses, Income, Jamaica, Law of Attraction, Money Coach, nest egg, personal finance, resolutionsCHS

If you have made a determined resolution to improve your finances this year, then our 2012 Money Manifesto will help you to chart the course.

Last week we looked at the fundamental principle of budgeting, indicating that it was crucial for you to be aware of all your expenses, plan for your spending needs for an entire year, and make the right choices with your money.

Another essential practice required for money success is saving. Saving is the act of putting aside some of your money instead of spending it to buy products and services. When you save you should not be intending to go back for the money a few days later to pay bills; this money should be left to accumulate over time. Continue reading Saving Is Still In Style →

A Stitch In Time

December 2, 2011Goals, Savingcompound interest, dealing with debt, Jamaica, money problems, personal finance, procrastination, save, time is moneyCHS

It ‘s amazing how a few minutes’ time delay can make a major difference to an entire day. This realisation struck me on a recent bus trip to the country. The driver of the vehicle turned up about 15 minutes late for work, and in his attempt to make up for lost time, he exceeded the speed limit and was stopped by the highway police.

The driver ended up delaying his journey by several more minutes and received a traffic ticket to add to his troubles. When we finally reached our destination he admitted to his team member that every time he was a little late he got caught by the police! As I left the bus, I reflected on the fact that lost time can also multiply problems in our financial lives.

One of the biggest financial misconceptions that many of us entertain is the belief that we have all the time in the world to do the right things with our money. When we spend our money frivolously or procrastinate on taking action on our goals, we usually think that we will be just fine if we save later or start working on our plans at another time. Continue reading A Stitch In Time →

Three Keys to Saving Success

November 25, 2011Savingbank account, build wealth, discipline, Jamaica, nest egg, pay yourself first, personal finance, salary deduction, titheCHS

One of the essential money principles that persons often neglect in challenging economic times is the important act of saving. When there’s not even enough money to pay basic expenses, it’s easy to understand why people will forgo this simple, but fundamental tool of financial success.

Even if they had extra funds left after paying their bills, many people think that it doesn’t really make sense to save, as the money seems too small to make a difference to their financial situation. It’s common to hear people comment that interest rates are too low, and it takes too long for savings to grow, so why bother? Continue reading Three Keys to Saving Success →

Uncovering the Secrets of Money Success

January 14, 2011Savingachieve your financial goals, avoid financial distress, financial literacy, Jamaica, Matt 7:7, Money Coach, Money Smart, personal finance, Richest Man in Babylon, success principlesCHS

Ask and it will be given to you; seek and you will find; knock and the door will be opened to you.” – Matthew 7:7, NIV Bible

As a money coach, I interact with many people who are desperately seeking solutions to their financial problems. When you are constantly broke, heavily in debt and unable to find the way to achieve your dreams, it can feel as if you’re lost in a confusing maze without the vital directions to get you out.

I can easily relate to people’s feelings of distress, as I was also trapped in a financial quicksand for a long time. After years of spending more than I earned, depending on debt and naively ignoring any preparations for the future, I had the good fortune to get a job at a financial institution.

For the first time, I saw persons who were smart about money, who were achieving financial goals that I hadn’t even dreamed about. Continue reading Uncovering the Secrets of Money Success →

Stop Making Excuses about Saving

July 31, 2009SavingFinancial Challenges, Jamaica, Jean Chatzky, money, personal finance, Retirement & Estate Planning, SavingsCHS

As a personal finance advisor, I can only show my clients the cold, hard realities of their financial lives and give them strategies for improvement; but until they are ready to make the necessary changes, I really can’t help them become financially successful.

After learning the secrets of managing, multiplying and maintaining money, it became my mission to pass on the good news to all. At first I was naïve in believing that once people understood how to transform their finances, they would quickly adopt key principles such as budgeting, saving and debt management.

Very soon I realised that it would not be quite that easy to influence some people’s personal finance habits. Even if they recognised that their negative practices would lead to their financial ruin, it was often difficult for them to change bad habits and do things differently.

Some people remain in financial challenges because they are quick to offer reasons why suggested solutions to their problems can’t possibly work. The need to save regularly is an area that is particularly prone to imaginative excuse-making. Here are some common excuses: Continue reading Stop Making Excuses about Saving →

Are you prepared for an emergency?

August 24, 2007Risk Protection, Savingexpense, finance, Jamaica, rainy day accountCHS

“Trouble nuh set like rain”- Jamaican proverb

As I write this article, Jamaica is preparing for the onslaught of Hurricane Dean, one of the biggest storm systems to threaten the island in recent years. All throughout this past weekend, shoppers thronged supermarkets and hardware stores stocking up on essentials that they hoped would last them through the adverse weather.

Although I had done most of my shopping in the week, an important forgotten item forced me to join a long line of last-minute buyers. As I waited patiently, I looked around at trolleys laden with loads of batteries, tarpaulins, bottled water, ice chests, flashlights and expensive storage containers. It occurred to me that unfortunately for most consumers, Dean was making his grand entrance the week before most people got paid.

I made a mental tally of the value of all the goods, and realized that even though disaster was looming, the retailers could be quite satisfied with their returns. The big problem was: how many of these shoppers could really afford this emergency? Where were they getting all this money from? Had they maxed out the credit cards that they already were having difficulties paying off? Would a lot of people be unable to pay for school fees in September?

Although we know that we should prepare, are our bank accounts really ready for emergencies?

Continue reading Are you prepared for an emergency? →

Time is Money!

July 28, 2006Savingcompound interest, finance, financial advisor, Jamaica, nest eggCHS

“I’m 39 years old and I’m trying to save up for the deposit on a house. It seems like time is not on my side, because housing costs are rising much faster than I can save. I really regret not listening to my mother when she encouraged me to save when I was younger.

“I feel discouraged because if I had started saving earlier, I probably would have owned my house by now.”

As the popular saying goes, “Time waits for no man.“ Although it’s never too late to start saving towards your goals, you won’t be able to turn back the hands of time to recreate that nest egg that would have grown with an early savings plan.

Time is probably the most important factor in achieving your financial dreams. Small consistent savings earning a steady interest rate over many years has made many persons wealthy. When we waste time by not investing early, we’re actually losing money.

What are some of the factors that may cause us to put off saving, and lose the advantage of time? Continue reading Time is Money! →

How Does Your Money Grow?

April 28, 2006Savingcompound interest, finance, interest rate, JamaicaCHS

I’m 19 years old and I just started working. All I can manage to save at this time is J$500 per month in my credit union. Sometimes I wonder if it’s worth it, as my savings seem to grow so slowly. I feel tempted to just spend this money until I can really afford to save more. What you would advise?”

Congratulations on your decision to start saving some of your income, regardless of how small you think it is. Don’t discount the value of your current savings effort. Remember the Jamaican adage – “Every mickle mek a muckle.”

In financial terms this means that you should be content to save the little you have over time, and eventually you’ll get all the money you need.

Last week we looked at three keys to starting a savings plan and ensuring its success: pay yourself first, save at least 10% of your salary, and use automatic deductions to save consistently.

Once you’ve gotten into the savings groove, how can you make your money really grow faster?

Continue reading How Does Your Money Grow? →

Saving Success

April 21, 2006Savingfinance, Jamaica, Richest Man in Babylon, salary deductionCHS

“I will finish university in two months, and I will start my first job. I want to get going with a savings plan as soon as I receive my first pay cheque. What would you advise me to do?”

I’m very impressed with your determination to begin your working life with the right savings attitude. Many of us (myself included) wish that we could turn back the clock and reverse all the years we spent splurging our income.

Time is on your side- with a savings and investment plan in place, you can accomplish many financial goals. A deposit on your first house, higher education, travel around the world, a comfortable retirement – all these can be within your reach by just starting to invest early. Continue reading Saving Success →

Rainy Day Savings

March 31, 2006Savingemergency fund, expenses, finance, Jamaica, redundancyCHS

“I’ve just found out that my company is going to be laying off some workers next month, and I think that I might be one of the unlucky ones. If they let me go, my redundancy payment would be very small and I’m worried that it won’t be able to last for long.

“The only money I have is saved is in an insurance policy, which I don’t want to touch. What can I do if I get laid off?”

As we say in Jamaica, ‘trouble nuh set like rain’. Sometimes problems don’t come with clear warning signs like dark clouds before a heavy rainstorm. While I hope that your fears are unfounded, it highlights a need for a savings plan to give you cash in the event of any emergency.

Financial experts say that you should put aside money to cover three to six months’ living expenses in case of a medical emergency or job loss.

Continue reading Rainy Day Savings →

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