What's your excuse for not saving money?

[Laize]

Any financial planner worth his salt will tell you you should save about 10% of your gross income for a retirement account and have enough money in a savings account to cover 3-6 months' worth of regular expenses just in case something happens (Like you lose your job).

Yet here we are, the richest nation in the world and we have one of the lowest savings rates in the world. Europeans save about 8-10% of their income on average. Americans? Even in Recession we can barely break a 5% savings rate.

So statistically speaking, there are several people on this forum who do not save nearly enough money for retirement or emergencies. So I ask you guys. What's up with that? Instead of buying that $600 iPad, why not buy a share of Apple stock? Instead of blowing $5 on a coffee in the morning, why not put that $5 in a savings account?

source

[BatteredRose]

Sometimes I've done okay with money, but not for a while. Even then at a certain point I was blowing it on various things that I just won't get into right now.

But right now, it's pretty much all spent up on things like bills and groceries and such.

[Creotor]

I save moneyz.

[Alan1187]

Pretty much one entire check goes to fuel, rent, water bill, and groceries. Second pay check of the month is cable, electric, extra groceries to try and save more money from the rent check, and then of course more fuel. My second check of the month is the one where I do have some left over, but because I just spent the previous 2 weeks doing nothing, I tend to want to go out to eat at least once or twice (this is also the check I'll treat myself to a game if something is out that interests me).

[Lightwysh]

I like stuff.

[brown]

My only excuse for ever not saving money is because I simply don't have any excess income to save. Other than that I always save some money.

[Laize]

I have to ask people that say they don't have excess income to save a question. Why don't you have extra income? Have you gotten in over your head in credit card debt? Bought something you couldn't afford? Lived beyond your means in any way?

I'm not trying to patronize or be a dick. Things like this are anathema to me (No, I'm not a privileged rich kid nor am I a high flying executive) so I'm truly curious.

[melodramocracy]

What it boils down to is this: I treat myself / loved ones better than my wallet actually allows, and have done so for quite a while.

And while I altered my habits pretty successfully over the past quarter, and cut back drastically on the big ticket items (last one was a new guitar in August), reversing that trend and seeing really good saving results is a slow process.

[brown]

I have to ask people that say they don't have excess income to save a question. Why don't you have extra income? Have you gotten in over your head in credit card debt? Bought something you couldn't afford? Lived beyond your means in any way?

I'm not trying to patronize or be a dick. Things like this are anathema to me (No, I'm not a privileged rich kid nor am I a high flying executive) so I'm truly curious.

For me it is because I'm currently still in school so I'm not making much. For others I would think the current economy is a big reason. In an economy where jobs are scarce, it can be hard enough to just make ends meet. Everyone else that doesn't save just doesn't know to plan for the future or lives beyond their means I suppose.

[Porcell]

I contribute the IRS maximum to my 401k every year, and have an additional surplus every month that just keeps accumulating in my checking account. Still trying to figure out where to stash that extra money so it gets more than the 0.2% interest from the checking. I don't want to do anything too risky with it since I want it liquid as an emergency fund, but something like a bank CD is such a trivial interest rate that I might as well just leave it in my checking account.

But yeah, I save.

[Laize]

I contribute the IRS maximum to my 401k every year, and have an additional surplus every month that just keeps accumulating in my checking account. Still trying to figure out where to stash that extra money so it gets more than the 0.2% interest from the checking. I don't want to do anything too risky with it since I want it liquid as an emergency fund, but something like a bank CD is such a trivial interest rate that I might as well just leave it in my checking account.

But yeah, I save.

Why not invest that extra money and make it work for you? You could buy shares of Intel for $26.50/share, and they'll pay you $.21 every 3 months per share... just for owning it. And the value of that stock could go up (or down) and make even more money. That's about a 3% yield if the stock doesn't move at all.

I'm not promoting a stock, just using numbers off my head. You could easily throw that money in a mutual fund or something that pays a different dividend (Verizon pays on the order of 5%. High yield bond funds pay closer to 7%-8%). Not a good idea to just let it sit in a checking account though. Learn how to invest!

[brown]

Yeah, I really would suggest doing something with the surplus just sitting in your checking account. I'd honestly look at putting it in some long-term stocks, but if your not interested in stocks then put it in a cd for now. They generally have very low interest rates but then you will atleast have even more money when you have decided where you want to put your money.

[Gheld]

Any financial planner worth his salt will tell you you should save about 10% of your gross income for a retirement account and have enough money in a savings account to cover 3-6 months' worth of regular expenses just in case something happens (Like you lose your job).

Yet here we are, the richest nation in the world and we have one of the lowest savings rates in the world. Europeans save about 8-10% of their income on average. Americans? Even in Recession we can barely break a 5% savings rate.

So statistically speaking, there are several people on this forum who do not save nearly enough money for retirement or emergencies. So I ask you guys. What's up with that? Instead of buying that $600 iPad, why not buy a share of Apple stock? Instead of blowing $5 on a coffee in the morning, why not put that $5 in a savings account?

source

I am putting away 10% of my gross into an RRSP, screw the stock market though. My money is invested in money and bonds where there is no way on gods green earth it won't be there when I retire. I also save a huge chunk of my net income.

Further studies have shown that the boomers are the most financially irresponsible generation alive today, so they have muddied the statistical waters so to speak. When they die off I'm sure things won't look so dire afterall.

[Sunseeker]

Poor, no excess. ATM: unemployed.

[vindicatorx]

I have a PERF plan and 401k so not sure what you are talking about

[Hakusan]

Vacation next month.

[Kavoo]

I have a girlfriend.

[Flame6]

Why save money? If I go broke or have something terrible happen the government will bail me out!

[greysaber]

my savings are in the form of assets and tangible investments.

land doesn't constantly depreciate like that green crap people keep in the bank/markets...

[Laize]

my savings are in the form of assets and tangible investments.

land doesn't constantly depreciate like that green crap people keep in the bank/markets...

Land is a great investment.