Factors that affect the act of saving .

[TOZZIBLINKZ]

I am pretty sure that majority of us knows the reason why we save money . the act of saving money have been taught to us or being introduced to us right from when we were young . It is important that we save money so as to cater for , handle , and solve ,unforeseen problems and occurrences . There are some factors that affect an individual's ability to save money for example : the income of the person in question , determines how much money he or she will keep for saving and how much money he or she will spend .

An individual that earns high amount of income will be able to save huge amount of money , but an individual that you received small amount of income as a result of working on small minimal jobs will have less money to save . Another factor that determine an individual's ability to save is the cost and standard of living of the economy or country where she resides . Some government officials who rule over its citizens negatively affect the cost and standard of living of its citizens , by not providing social amenities and business support funds for them , so as to continue carrying out their business activity and practice and to put the creativity skills into good use .

 

[Rachael]

The act of saving is a conscious act developed by an individual in order to earn a target. There are different factors that affect the act of saving and the number one of them all is the high cost and fluctuations of prices of goods and services. It is quite depressing that each time an individual makes a commitment towards saving money, the next thing that makes it impossible is fluctuations of commodities value. This factor has made the culture of saving difficult. Personally, I work on a scale of preference and each time I make a budget, I exceed the budget and dip into the money I kept aside to save and this habitually affect my savings capacity.

Another factor that affects the act of saving is lack of self-discipline or mismanagement of funds. Lack of discipline in managing the available funds has made it difficult for some individuals to save. Some people are just moved to purchase whatever is not even relevant at the moment and end up spending recklessly. Mismanagement of funds without ascertaining the needs from wants has made saving impossible. When once you do not minimize and if possibly improvise in order to cut cost, it would be difficult to save money.

 

[Kendy]

There are actually individuals who have the urge to save money but due to the frequent fluctuation of prices in terms of; goods, product or service, it becomes a challenge for them to save money but notwithstanding, I think that no matter how little the money could be, it is best to always have a savings at least on a monthly basis. I have been in situations where I had to fall back majorly on my savings and I realized the importance of savings. Uptill today, no matter how little the money could be, I would actually drop it either in my bank account or in my piggy bank.


The concept of mismanagement of funds could also pose as a major challenge when it comes to saving. There are some individuals that do not know how to differentiate their needs from their wants. There are sometimes where you would have to improvise by buying a lower quality in order to minimise cost while having something to save. The inability to manage funds is also one of the impending factors which barriers the act of savings and this can be overcome by inculcating the attribute of self discipline and consciously prioritising the culture of saving.