Start Saving, Start Building Self-Discipline

Living a healthy life in a low cost is not simple. Especially when you have some money in your pocket, you may think it could not be a big deal to spend a little or it may not affect the whole getting rich plan. But it is totally wrong. We must need to have self-discipline to control our living under low cost. The cost of my dinner yesterday will be a good example to show you how important the self-discipline is.

Saving is not so simple. Just like losing weight, you need to control your diet and do more exercises. Without self-discipline, it is very hard to keep doing that for at least one week. Saving money is a long-run progress. For example, you can save extra $20 per week. That means you can save $1080 per year. Please remember this $1080 is a extra saving. Even you just put it in your bank saving account, you can get another amount because of bank deposite interest. Just imagine if you make some safe and stable investment. For example, converting your money to Chinese RMB Yuan and depositing the money in a Chinese bank with 3.5% annual interest, you will get another extra income which is round $37.8. This is called “Interest rates carry trade”. Many banks have this kind of investment products and these commercial investment products usually have low risks and stable profit. The reason I choose China Yuan (RMB) is because I am Chinese and I fully understand the whole process of this currency exchange.

Now it’s time to talk about cost of yesterday. I think it will be a good example to explain what will happened if we don’t have strong self-discipline. As my saving plan, my healthy dinner will cost me around $4.00. It will contain rice, tomatoes, lettuce, carrot, beef and egg. But last night, my friend asked me to go to the East Coast Lagoon Food Village, a very nice hawker center with cheap food and great view in Singapore East Coast. Because of lack of self-discipline, he finally convinced me to break my healthy saving plan. There is doubt that I will spend more than $4.00.

Cost of East Coast Lagoon Dinner (SGD $)
Dinner Cost 12.83
Transport Fee 39.55
Total 52.38

When you see the data, I think you will understand how important the self discipline is. As the plan, the dinner should only cost $4.00. But this unexpected dinner cost for 13 times. Actually the dinner will not cost so much if you have a plan for it. A big part of the cost is for transport fee. I took taxi all the way to East Coast and come back. If I take the public transport, it will only cost me around $3.00. The whole dinner will be under $20.00, much cheaper than what I spent last night. So if you really don’t want to make the saving plan too strict, you can add some relax events inside, for example, having a nice dinner with your best friends or watching a new movie. Anyway, self-discipline can keep us spending what we have planed. It is a necessary ability to help us control the cost of living.

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