Saving for a rainy day is a very ancient concept. During earlier times when there were fewer means of transport, less resources and man was helpless before the elements, the rains symbolized a period of hardships. Man preferred to stay inside his cave or hut as he could not venture outside. To prepare for this stay he would store some food and when the rains finally came he would survive that period on the stored food. Saving food prevented him from dying of hunger. The roots of the saying, “saving for a rainy day” are in this story.
Over a period of time man made great advancements and overcame all elements. But a new kind of worry arose; that of financial uncertainty. Again man became a slave – to money. If he wanted to buy anything, he needed money. Money became the driving force in man’s life. If he had money he would be respected. If he did not have money he would get disdain. Without money he started facing hardships much like his ancestors who faced them during the rains. But the ancestors were wise. They would save for the rainy day so that they can withstand the rains. Applying his ancestor’s wisdom, man understood that keeping aside small amounts as savings would give him the much needed support that he might need during difficult times.
Saving is the key, whether you are running a country, a football club or a household. Your income minus your expenses is your saving. The best time to start saving is from your first salary. Keep aside some amount from your salary and deposit it in a bank. Assume you did not receive that cash in your hand at all. If you don’t have it there is no question of spending it. Cultivate this habit right from your first salary. You would be surprised the amount you can save if you start saving from your first salary. Life is full of unexpected events and you never know when you would be faced with a challenging situation which could drain your finances. Just like our ancestors would’ve done, you can rely upon your savings to tide through those difficult times.
You should encourage your children to start saving from an early age. These savings can be used for something important. Saving for a rainy day is the first financial lesson that you can teach your children.