hi everyone! i don’t usually talk about finances as it is quite a sensitive topic and it’s pretty subjective as well. however, i’m just damn proud that i had self-control at a young age and did not spend beyond my means to save. just a back story, i’m 20 now and definitely have a lot more spending power, but i also have savings that i don’t touch AT ALL.
before i begin, i just wanted to give a little disclaimer that this post is to purely share my financial experience during my teens and hopefully motivate everyone towards their financial goals & i’m also not a professional financial advisor.
—how did i save my first 20k at 16?
i saved the money received from red packets, birthday money, gifts, etc. WITHOUT fail. at 16, i placed the money accumulated over the years into a fixed deposit account with uob to earn a bit of interest. there were times when i wanted to pull the trigger and spend the money, but i didn’t let my intrusive thoughts win, and just save that sum of money!!
—why fixed deposit account?
i’m not someone who does trading as a form of investment, i just don’t dare to take risks when it comes to money especially when i have little to no knowledge about it. hence, my parents suggested that i should put my money in a fixed deposit account to earn some interest over a period of time. if i’m not wrong for uob, the amount matures in 10 months. for example, if i place $20,000 at 3.55%, i’ll earn $710 in 10 months. you’ll have to leave the principle sum for the whole tenure to allow the sum to mature, and should you withdraw the sum before its maturity, the interest amount earned will be forfeited. i recommend this technique for individuals who don’t want to take risks, and place their money in a safe financial institution.
—income streams
as mentioned, the money i saved were solely from gifts, parents, red packet money, i didn’t work part-time back then till i entered tertiary education. my tip would be to work part time during the holidays or start your own small business. i highly recommend event jobs that start around $15/hr (i’ve talked about this in my previous post) as they are low commitment as compared to a part-time job. as for starting your small business, find your own passion and interest. it could be selling crochets, bakes, etc. side hustles work as well!
—saving tips
i can’t give direct or precise advice, but all i can say is, JUST SAVE. i’d recommend you save at least 50% if not majority of your earnings. 50% is better than no savings at all and trust me, you will not regret saving up than spending all your money away.
—mindset
lastly, it’s all about positive mindset when it comes to finances. you may feel like spending $100 at a cute cafe or restaurant, but is it really worth it? can that $100 be put to better use instead in the future? i ALWAYS tell myself this before i spend and evaluate whether the it’s worth spending on or not. i know saving isn’t easy especially due to inflation and how singapore is known for having an exorbitant cost of living. do treat yourself once in a while but don’t do it excessively and forgo your savings just to splurge!
—to conclude
in conclusion, you got this!! slowly but surely. i hope this post finds you well, and please do share how you manage your finances or if you have any investments that you recommend!
thanks for reading and happy saving!💰🤑
