On Saving, and Saving Too Much

For most of us, especially Americans, saving even 10% of our income seems to be an impossible task. This doesn’t mean we don’t try. We try hard, but there are many forces working against out his goal. These forces are inflation, job loss, not enough opportunities, unpredicted circumstances, and so on. Saving is a difficult task because we are addicted to spending more than we earn by using other’s credit.

There are few of us who work hard, save, and invest, and build a fortune that many of us simply dream about. But as soon as we reach a secure stage, we are often asked to enjoy what we have accumulated. Many are told to act nobly or altruistic by giving away money as charity, while many others are simply asked to keep building the fortune.

What is it that we want to do with our money? Why do we want to save money?

We strive hard, and give up our desires today and save more, simply to enjoy tomorrow. But when tomorrow comes, we still try to save more. Most people believe being frugal today will help us have a better retirement, have a better future. The problem with future, however, is it never comes. Although you may draw a line on your savings and start living your life, the fact is, we are never full, we never draw the line.

Although I have been frugal many times in my life, I would admit that I am not in for saving and living only for the future. This doesn’t mean I am an impulsive spender or I seek instant gratification. But I am a bit skeptical about the future.

We keep saving for our retirement. We put money into our 401k retirement plan and investments in our IRA, which cannot be withdrawn without reaching that age or being charged with penalty. We haven’t touched our hard earned money since decades, and we keep stuffing in more. However, we are not sure weather we would live that long to achieve our financial goals, let alone enjoying our money.

We are so busy bothering about the future, completely neglecting the best gift of our life: present. We want to secure our investments and want guaranteed returns, but we don’t have guarantee of whether we would live to receive the returns.

So, What Should We Do? Save or Not To Save?

You must save for your future, but not deprive yourself of anything. Some personal finance blogs share some really good tips on how you can save money without depreciating the quality of your life. Learn how you can invest more without loosing what you have now. Life is really short. You might be saving for your retirement, and you may be alive as well. But you would always regret about what you missed doing when you had the opportunity.

I am not against saving. In fact, I have written many articles on savings on this blog. But your priority should be living, and then saving. Don’t forget your financial goals, but also remember that you are in this world only for a short while, for much shorter time than you think. If your approach asks you to deprive of things, try to find alternatives.