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Zhi Finance » Your money-saving thinking is destroying you

Your money-saving thinking is destroying you

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What kind of wealth concept should young people establish? Saving money without restraint is a big hole.

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In the eyes of our parents, saving money is equal to saving money, and spending money is equal to wasting money. The formation of this idea originated in a period of extreme scarcity of resources, and originated from the current situation of existence and existing experience. Once formed, it is difficult to change.

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In fact, saving and spending money is just a simple financial allocation problem. They basically do not contain any moral attributes.

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If someone must investigate their moral bias, then spending money will be more moral. It is obviously selfish to save money. I saved money because I think it is good for me. It has no beneficial attribute, which is easy to understand; When spending money, it is worth it. It is self serving, but not self serving.

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You see, these things we usually take for granted sometimes can’t stand thinking.

1. The initial motive for saving money is poverty, not virtue

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When you have little disposable capital, you will naturally become thrifty. This is a thing that does not require others to teach you or give you motivation, because you have no choice at all.

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Therefore, saving money must be equal to poverty in the beginning.

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Of course, there are still some people in the world who have already possessed prominent wealth and status but still look very frugal. Books without nutrition on the market will tell you how thrifty those top rich people are in their lives after they have a huge fortune.

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For example, Li Ka shing can wear a suit for decades, and the front side of a piece of paper will be reused after it is used; Mark Zuckerberg’s car is only a Honda, and recently he has only bought a new Volkswagen; John Caldwell rides his bike to work every day, cuts his own hair, and so on… and then gives you the truth that “success depends on inspection, failure depends on extravagance”.

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Regardless of whether these things are true or false, one fact that everyone should know is that their current wealth must not have much to do with their thrift.

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You have seen Li Ka shing wear the same suit for decades. You may not know that he spent 800 million Taiwan dollars to build a villa; You have seen Zuckerberg drive an old Honda. You may not know that he spent 100 million dollars to buy an island for his vacation; You know that Caldwell goes to work by bike. You may not know how many yachts and helicopters he has.

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All their thrifty behaviors are just unconscious habits, rather than deliberately saving money.

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These habitual behaviors can only prove that they may have been poor. They once had no choice but to save money, just like you. Therefore, some small habits have been deeply imprinted on their bodies, and they are still kept until now.

2. Learn the correct money saving posture, and first know what the cost is

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A rich man said that the secret of becoming a rich man is very simple, that is, put 10 gold coins into your pocket every day, and take out only 9 gold coins to spend. If you keep going, you will become a rich man. This is obviously just a fable, which is used to illustrate the universal truth that a little makes a mickle. But our real world is much more complicated than this simple truth.

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Many a little makes a mickle is a kind of static thinking, which neither considers inflation nor the value change caused by money attached to people. It has artificially created a vacuum sterile environment, but it obviously does not conform to reality.

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A man who tries to save money is not confident of himself.

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Young people should not save money. Those who dare to spend every penny clean will surely make a lot of money in the future.

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I partially agree with this statement. The part I agree with is that this approach is applicable to the enterprising personality.

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If you are an enterprising personality and have an income record book, if you open it, you will probably see such a phenomenon, that is, although prices have risen many times in the past 10 years, your income has increased more. On the one hand, your self value has been improving; On the other hand, money has been shrinking.

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For those who have the ability to “quickly upgrade”, the behavior of “saving” has little significance.

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The combination of opportunities in this world is very complex. No one can figure out when and where to spend the money, and suddenly one day they will pay you back in multiples and multiples. Some people spend money on playing games and suddenly earn money by playing games; Some people spend money on food and suddenly earn money by eating;

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Some people spend money on books and suddenly earn money by knowledge; Some people spend money on dinner, and suddenly rely on friends to earn money; Some people earn money while playing.

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What if the money is spent but does not produce the expected return? This is certainly possible, but experience itself is potential wealth.

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There is no expected return, but you haven’t found a proper way to realize it for the time being.

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For the enterprising personality, save money without restraint. Apart from money, you can also make yourself better; In addition to money, there are also opportunities to have more connections with the world. If the missed opportunities can be made up by time, some experiences can never be returned.

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The immediate feelings of many things are irreplaceable, and may even be unique in your entire life. It won’t happen again if you change time, place or person.

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The correct way to save money can save money without sacrificing experience and other important costs (such as higher cost of time). For example, when I went to the cinema to see a movie, I suddenly found that there was a discount for group buying. It could be done in one minute, but the movie viewing experience was the same. Of course, I could choose to save money.

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So if we want to learn the correct saving posture, we must first know what is our cost. What explicit and implicit costs are added after saving money, and what is the relationship between benefits and costs.

3. To accumulate wealth, we must overcome the acceleration of financial gravity

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After reading the above content, you may have an illusion. That’s why I’ve been saying it’s wrong to save money. I thought I would advise young people to spend as much as they want. Not really.

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I do not approve of saving money without restraint, nor of sacrificing all the experiences that can be sacrificed to satisfy the endless sense of security in the heart. However, if you are not at one extreme, you are not at the other extreme.

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There is a concept called financial gravitational acceleration. If you want to accumulate wealth quickly, you must overcome the gravitational acceleration in your finance.

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For example, the house, car, loan interest, necessities, inflation, etc. are the gravitational acceleration of your finance. The greater the gravitational acceleration is, the slower your wealth accumulation will be. You can imagine it as “pulling the leg”.

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Don’t think this is just a simple arithmetic problem. When you save 100000 yuan a year and I save 200000 yuan, the difference between you and me is not only 100000 yuan, but 100000 yuan plus opportunity cost.

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If a very good project needs 200000 yuan to invest at this time, I may take this opportunity to catch the fast lane of wealth. However, you can either wait for the next opportunity, or you can only borrow money to invest, which leads to an additional interest in your financial gravity acceleration. In this way, the gap will be more than 100000.

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Therefore, although I am opposed to saving money without restraint, I will never approve of spending money indiscriminately and increasing my own financial gravity acceleration at will.

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Here, “indiscriminate spending” refers to spending beyond your ability or without effective experience.

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For example, a large number of simple and repeated consumption on sensory stimulation; For example, irrational impulsive consumption, such as consumption ahead of one’s ability to pay, etc. These are consumption views that have negative effects on wealth accumulation and should be avoided as far as possible.

4. Increasing income is always more than throttling

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When it comes to the relationship between earning money and saving money, it is inseparable from one word: increasing income and reducing expenditure.

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Although increasing income and throttling often occur together, they have different positions. Generally speaking, increasing income is more important than throttling. One of the simplest explanations is that there is an upper limit on expenditure, which is subject to your overall income level, while increasing income does not.

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From childhood to adulthood, my parents have always taught me to economize. Because in their growth process, there is no good increasing income method in China for a long time.

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In order to achieve effective increasing income, either you are well connected in the government, or you can only take great risks. Under such a realistic background, it is not surprising that they put throttling at a more important position.

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But they have been saving money so hard, and their families are not rich. Of course, they may blame their lack of increasing income capability, so if they don’t try their best to save money, it will be even worse. But in fact, they never put increasing income in a higher position.

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Most people are both increasing income and throttling. The fastest way to talk about the importance of the proportion of each element in an intermediate state is to consider the extreme state.

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Suppose one person earns millions every year but spends every day, and another person only earns the minimum wage but can save 80%. Ask: Who can save more wealth in 10 years? If this problem is left to the computer, it will surely be the one who saves money.

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But if they realize that they are in a competition, it must be the increasing income one who can save more wealth.

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Very simple. As long as the increasing income person doesn’t spend much money for a period of time, even for a month? It can be worth saving all the money saved by painstaking efforts over the past 10 years. This should not be difficult for the increasing income person. However, throttling is different. It can be said that throttling is on a regular basis. How can increasing income be on a regular basis?

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The status, value, vision and cognition of people have changed a lot. How can they catch up with them in a day?

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It is easy for those who increasing income to save money, but difficult for those who save money to increasing income, which has clearly demonstrated the importance and status of both.

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Sometimes, there is no conflict between increasing income and reducing expenditure, but sometimes there will be differences between the two. Remember, when there is a conflict between increasing income and throttling, most of the time, there is nothing wrong with taking the side of increasing income.

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