What has “financial prudence” to do with me?
e live in a world which is continually and relentlessly changing, with the global economy experiencing cyclical booms and depressions every now and then. Because of such vicissitudes of fortune, whether we like it or not, as long as we are plugged into working and living in a modern economy (and there is no way to turn back the clock), money is no longer merely a medium of exchange but has become a critical instrument which directly affects our immediate wellbeing and determines our future, so all the outcomes of our decision making, from the individual to the state, become matters of great significance. We are solely and collectively responsible and expected to protect our way of life and our relations with others.
Hence the heightened impetus for budgeting to spend on a myriad of activities to maintain our lifestyles and saving for a rainy day. Budgeting and saving are inextricably linked. By taking a look at how money affects you - the student, your family, your school and your country, this article presents a holistic approach to how budgeting and saving affect everybody, and why it is so important to put aside any spare cash, as and when it is possible to do so.
You may not be taking it seriously but to any student, money is everything. Although Singaporean families are generally affluent, there are students who have genuine worries about not having enough cash with them every day of the week. Fulltime students do not have any income and are wholly dependent on pocket money from parents to manage day-to-day activities at school or socialising with friends.
As you may already be aware, you do spend quite a lot of money on food (even assuming that you eat only school canteen food), to keep you alive and actively involved in school activities. This generally takes the biggest cut of your pocket money. Although it might just be possible for a handful, it is generally impractical for most to go home for meals during breaks on any given school day, only to return to resume school afterwards.
By all means eat to live and stay engaged with school activities but here are a few ways to help you save.
In East Asian countries, particularly Japan, it is not uncommon for students to carry along with them, a lunch box (known as “obento” in Japanese) to school. Carrying a lunch box to school here is a largely forgotten practice because we go for convenience no matter what we do, “conveniently” forgetting that anything that comes ready-made has a price tag and this includes the food that you eat in the school canteen.
However, if one is prepared to pack a lunch box (not forgetting a water bottle too) for school, anything from the refrigerator in the kitchen at home becomes immediately an invaluable ingredient. Apply what you learn from your Home Economics lessons to save whenever you can. A lunch box does not have to be an elaborate affair (think luncheon meat sandwiches) but consider the two to three dollars you get to put aside for something else every day if you persevere. Who knows it may become a habit?
It does not take long for anybody to realise that you may not be able to buy all the things you need or want because you simply do not have that kind of money. So when you must shop, be sure to make a difference between things you “need” and things you “want”. It is only wise to compare prices before buying anything you need. This is both a challenge and a fun thing to do if you give it a try.
When you go out with friends, consider first how much you can afford. It may seem embarrassing but it is perfectly all right to say “No”, if you think you do not have enough to splurge like them at a Starbucks or Coffee Bean joint. Thinking straight helps you to keep your money worries at bay. It does not mean your social life must suffer but it does mean that you need to move with the right crowd. When you have to go on an empty stomach just to keep up with your friends, you cannot last for long, can you?