Let us bear in mind the 50-30-20 rule

[Starmix]

Let us always put our thinking into action. Sometimes we are so careless that we forget to assess whether our spending is essential or not. It might be a waste of money. Money is gold and we have to spend only things that we need every day. The 50-30-20 rule is not new to our hearing but because you are still young it is never on your mind about the last figure rule which is 20 The 20 rule is savings which might not exist in your vocabulary because all you want to do is enjoy life, feeling as if there is no tomorrow. After some years of extravagance, you realize that you are broke and the blame is on you. So while your bones are still strong, your eyes are still sharp and your earnings are still rocketing, do not ignore the reality that money is easy to spend and hard to control. The 50 figure means spending only what is essential, the 30, the wants that could be unwanted, and the 20 -the savings for your personal needs once you are already retired.

 

[klassicdoll]

thanks for sharing this @Starmix . I haven't used this approach lately. appreciate the reminder .

 

[Starmix]

thanks for sharing this @Starmix . I haven't used this approach lately. appreciate the reminder .

It is never too late for you You are still young and chances are there for you the moment you start to save. Though it is hard to save this time because of inflation, but let's just strive to save some pesos.

 

[Passionate-writer]

Let us always put our thinking into action. Sometimes we are so careless that we forget to assess whether our spending is essential or not. It might be a waste of money. Money is gold and we have to spend only things that we need every day. The 50-30-20 rule is not new to our hearing but because you are still young it is never on your mind about the last figure rule which is 20 The 20 rule is savings which might not exist in your vocabulary because all you want to do is enjoy life, feeling as if there is no tomorrow. After some years of extravagance, you realize that you are broke and the blame is on you. So while your bones are still strong, your eyes are still sharp and your earnings are still rocketing, do not ignore the reality that money is easy to spend and hard to control. The 50 figure means spending only what is essential, the 30, the wants that could be unwanted, and the 20 -the savings for your personal needs once you are already retired.

I must say that I am following this rule. I tend to spend money when it is necessary to do so. I have noticed that this certainly helps to save money. However, it is definitely never that easy at all. You have to be very disciplined and have much willpower in order to make sure that you follow such rule. You do not necessarily need to spend money on many different kinds of products. This is something I have noticed when I faced shortage of cash and had to borrow money.

 

[Starmix]

I must say that I am following this rule. I tend to spend money when it is necessary to do so. I have noticed that this certainly helps to save money. However, it is definitely never that easy at all. You have to be very disciplined and have much willpower in order to make sure that you follow such rule. You do not necessarily need to spend money on many different kinds of products. This is something I have noticed when I faced shortage of cash and had to borrow money.

It is best for everyone to follow this rule to avoid a feeling of brokenness if control isn't an option. No matter how hard life is, we must always see to it that the 20 rule must not be neglected because it is for our personal needs someday when we retire and body weak, and income and health decline.

 

[eLdavis]

Each and every one of us needs discipline when it comes to spending. We tend to spend too much on our want rather than our needs. Having self discipline on how to manage would definitely go a long way.

 

[Starmix]

That is right, we need discipline and self-control. Ot is not good to listen to our whims. Money easily disappears if not properly managed. We have to set aside the amount intended for the savings.

 

[Suba]

The 50-30-20 rule is a well-known method for allocating their income each month, but unfortunately this method is often difficult for people to apply in their lives the first time. So personally I often recommend to people who are going to do the 50-30-20 method for the first time. So in short, we can start saving with a small figure, for example 5% of our monthly income, and gradually increase it every month until it reaches 20%.

 

[arunima25]

I am not sure if I religiously follow this rule of 50_30_29 all the time. Well, financial obligations and responsibilities change at different ages and with different situations in life. So, strictly sticking to this rule all the time might not be possible. But yes, I make sure that I stick to a financial discipline. I am very thoughtful about any use of money. I do enjoy my life but I do it consciously knowing my financial limits and priorities.

 

[Starmix]

I am not sure if I religiously follow this rule of 50_30_29 all the time. Well, financial obligations and responsibilities change at different ages and with different situations in life. So, strictly sticking to this rule all the time might not be possible. But yes, I make sure that I stick to a financial discipline. I am very thoughtful about any use of money. I do enjoy my life but I d. I save money but onkky once a month from my business.o it consciously knowing my financial limits and priorities.

Agree with you, not all religiously follow this rule, and even myself sometimes forget. We also have priorities and seldom comes to mind to save 20 % of my salary, but after having a milk tea business, I am able to save more than 20%.

 

[Passionate-writer]

It is best for everyone to follow this rule to avoid a feeling of brokenness if control isn't an option. No matter how hard life is, we must always see to it that the 20 rule must not be neglected because it is for our personal needs someday when we retire and body weak, and income and health decline.

Well are living in times where economy is collapsing. I think that the situation is pretty similar to the 2008 economic crash. During that time, many companies became insolvent. They were not able to deal with their losses. Moreover, bad debt also damaged the companies as well. Right now, inflation is much higher than it was back in the year 2008.

 

[Starmix]

Well are living in times where economy is collapsing. I think that the situation is pretty similar to the 2008 economic crash. During that time, many companies became insolvent. They were not able to deal with their losses. Moreover, bad debt also damaged the companies as well. Right now, inflation is much higher than it was back in the year 2008.

Despite what we are facing with our respective country we must always see to it that we have our own savings. It may not be high but at least there is something for emergency needs and durring old age. Once we aged, our income also declines so with our health. It is good to prepare while our bones are still active and functioning well.

 

[arunima25]

Agree with you, not all religiously follow this rule, and even myself sometimes forget. We also have priorities and seldom comes to mind to save 20 % of my salary, but after having a milk tea business, I am able to save more than 20%.

Each month is different for me. Some months come up with unexpected expenses like some repair work or some medical expenses etc. I am not able to save much in those days. And there are months that go smoothly and I save more in those months. I always keep a separate fund for emergency. And don't touch it unless it's real emergency. Also, a separate fund for investments that I try to stick to.

 

[Starmix]

@arunima25 , I understand your feelings, not all have surplus money, but I also experience financial struggles unable to save on a weekly basis. This time, I have a small business, and happy to share I could save some in the bank. Let us always hope for the best for us.

 

[arunima25]

@arunima25 , I understand your feelings, not all have surplus money, but I also experience financial struggles unable to save on a weekly basis. This time, I have a small business, and happy to share I could save some in the bank. Let us always hope for the best for us.

Every little saving counts. So, it's a good start. This month and next month, I can see some extra expenses coming my way as it's festival time. And in December, I have to pay for the semester fees for my elder daughter's college. So, it would be no saving for the next two months. I might even use some saved money. But it's all part of the plan. I will try to do more savings from January next year. It's all okay as long as I keep my finances and budget on track

 

[Augusta]

I have been working with the 50,30,20 rules. it does help with financial life. You need to spend 50% on your essential needs, then 30% on your wants and the remaining 20 as savings

 

[pousinha]

In my current country, this rule is fairly unknown. On the one hand, average people love to spend for futile things in spite of small salaries. For ex.: they receive a bonus from the company where they work and the day after it's all lavished in a shopping mall in a city far from home. On the other hand, a lot of people are constituted by large families (including grandchildren, in-laws and sometimes their friends too) counting on a single minimum salary. In such cases there's no way, as that minimum salary is not enough even to purchase food for many people. In my current country, a lot of people are forced to live on charity, considering, in addition, the shameful cost of drugs (imagine: the minimum salary is 1320 reais, while drugs for severe illnesses cost 300 per pack).

 

[Augusta]

The benefit of this rule I'd for one to create a balance with ones financial life. You would have been able to share your income amongst the different areas of your financial life to achieve optimal results.

 

[Starmix]

Every little saving counts. So, it's a good start. This month and next month, I can see some extra expenses coming my way as it's festival time. And in December, I have to pay for the semester fees for my elder daughter's college. So, it would be no saving for the next two months. I might even use some saved money. But it's all part of the plan. I will try to do more savings from January next year. It's all okay as long as I keep my finances and budget on track

You also have reasons why may ot be able to save and that is only temporary. Once your kids graduate from college, you will have a free life and be able to save for your own personal needs.