Comments on: Saving Vs Investing

By: Abner Sanya

Abner Sanya — Wed, 18 Nov 2009 15:02:43 +0000

Wonderful reading

By: kalengi

kalengi — Wed, 11 Nov 2009 10:35:30 +0000

I read this post a week ago and a question formed in my mind that I couldn’t put to words. Today I came across a quote that said it best:
“It appears to be a permanent part of the human condition that long term deadlines without short term milestones are rarely met.”

See the biggest weakness I find in saving for ‘a rainy day’ or for ‘retirement’ is that those are not only vague, but also way long term goals. What is the definition of a rainy day? When do you consider yourself retired? I haven’t figured it out yet, so I’m posing the question to you: How do I break down my long term goal of saving for retirement, into short term milestones that help me keep my eye on the ball? (and also keep my needy fingers off the fund)

And no, the word discipline doesn’t answer the question since it’s as vague as the goals. It’s not actionable. Awaiting your wisdom…

By: Loco

Loco — Mon, 09 Nov 2009 10:40:15 +0000

I’m with you on that Mo. That money wants to lend itself selflessy to charitable cause of indulging my need for a pair of red suede heels! Le dreamy Sigh!! I need rehab quick, gym buddies it is!!

Nzenbi, scoot over a bit let me stand over theeeeere with you as we wait for the next one

By: Mo

Mo — Sat, 07 Nov 2009 20:43:18 +0000

Loco, I should ask my mum if she gave one of us up for adoption. Hehe.

The discipline thing… I hear you. I mean, think about the poor money just lying there by itself in the cold, dark ATM vault… it WANTS to be taken out.

Anyway, I have planned. I shall start building my emergency fund in February and give myself a maximum of 9 months to have it complete. Let’s keep each other motivated… kind of like gym buddies… but the financial kind if you get my drift. lol

By: sibbie

sibbie — Thu, 05 Nov 2009 06:49:49 +0000

Now why didn’t i do finance? Sounds so interesting! *still taking notes* Waiting for the next post.

By: Loco

Loco — Wed, 04 Nov 2009 00:24:20 +0000

Mo, I am beginning to suspect we’re financial twins!!!!! Haha. The major underlying issue in saving is personal discpline, for example, how long should it take to set up an emergency fund? Assuming that while setting aside the emergency fund, you would have to be more frugal with the original budget, it is a wee bit hard to begin with the end in mind But somehow when you break it down in layman terms like this it actually seems do-able!!! LOL!! You have done what baba Loco has been trying to do since I was 8, you’ve inspired me to get my finances in order!! Well in!!!

By: wyndago

wyndago — Tue, 03 Nov 2009 22:15:46 +0000

3 months worth of your monthly expenses?! We should all try that.

By: Kafai

Kafai — Tue, 03 Nov 2009 09:23:13 +0000

By God, can’t wait for the investing series. I have also had problems maintaining that emergency fund…. three months salary just sitting there….hard!
You are a God send.

By: Mo

Mo — Tue, 03 Nov 2009 09:18:57 +0000

This is going to be difficult to adhere to. Will have to force myself to be disciplined though. An emergency fund would have come in VERY handy for these 3 months I spent in-between jobs so the practical applications cannot be faulted.

Thank you for breaking it all down in such simple terms for laymen. (I more or less slept through the financial management modules of my course)

Looking forward to reading the investing series.