Right from our childhood days, our parents teach us that a penny saved is a penny earned. The phrase highlights the importance of savings. While growing up, our elders constantly tell us that we should spend less than we earn and save some portion for future use. They also teach us to spend money according to our income, and our expenses should not exceed our income.
Saving is the path to success. The money saved can be used in tough times such as any emergency medical situation. It can also be used to create more money by the way of investment. That is why it is said a penny saved is a penny earned because you start earning more with your saving.
Most of us know the importance of saving, still, many of us don’t do it. But remember! small steps taken to save money can lead to huge savings and that money can save us in the future.
If we save money today, money can save us tomorrow.
There is a world savings day, which many of us are not aware of. Let’s understand little about it.
The World Savings Day was established at the International Savings Bank Congress (World Society of Savings Banks) in Milano, Italy on October 31, 1924. The Italian Professor Filippo Ravizza declared this day the “International Saving Day”. Also called ‘World Thrift Day’, the World Savings Day was established to promote savings all over the World. Originally the idea was to educate families, children and thereby the whole society to save and particularly convince them of the importance of saving.
World Savings Day is an important day to promote financial literacy. Financial and entrepreneurial skills provide young people with the tools which can make them agents of change in their lives. This, in turn, can create a positive and powerful ripple effect in their communities.
Banks and financial institutions around the world, celebrate World Savings Day to increase the public’s awareness of the importance of savings both for households and for the country’s economy. They conduct lectures highlighting topics such as: Why saving is important, the history of World Savings Day, the role of savings in the national economy and how every depositor contributes to its development.
Sparefroh and World Savings Day
The most well-known element of the World Savings Day is the “Sparefroh” in Austria. Sparefroh, the official mascot of saving, is particularly active on the World Savings Day. ‘Sparefroh’ literally means ‘Happy Saver’, or rather “Save Happily!” In the 1970s, the ‘Sparefroh-Journal’, an educational magazine for younger people, reached a circulation of 400,000 copies.
At all branch offices in Vienna, Lower Austria and Burgenland, banks usually offer customers a “Sparefroh” PEZ candy dispenser, a “Sparefroh” coffee mug, pen, writing pad, etc.
World Savings Banks Institute
The World Savings Banks Institute is the only global representative of savings and retail banks. WSBI represents savings and socially committed retail banks or their associations from 90 countries. The Institute works closely with international financial institutions and represents its members interests at an international level.
Significance of World Savings Day
As financial resources are not available in abundance always, it is imperative to safeguard money and lever awareness. Campaigns take place and brochures, posters are distributed and displayed that speak of saving money. The day also primarily focuses on the financial security of the country. The role of banks on this day is all the more important as they come up with new ideas to approach people so that they gain more insight and become mindful about their savings.
Also, as the majority of the population does not have access to bank services, the savings banks associate closely with NGOs and other non-profit establishments to uphold cognizance. It is also extremely essential to educate people who fall under the poverty or unemployment category so that they can save money for their needs including illness, disability or old age.
WHY IS IT IMPORTANT TO SAVE MONEY?
- Provides a Happier & Better Life – When you are financially stable, you stay relaxed and tension-free. Financial stability comes from saving money. When you have some amount deposited in your savings account, you always stay happy and calm as you know you can take out money and spend it any time in future when there is the need of hour for doing so! Be it medical insurance, home loan instalments or anything else, the saved money can be used intelligently in many ways, thus, making way for a better and happier life!
- Fulfills Present Needs as Well as Future Needs – You never know when the need for money arises! Be it an emergency medical condition or just an appealing sale, you need to have money to fulfill your needs! Saving money never disappoints you. Rather, it opportune you to spend money when you actually want to do so.
- Helps You Earn Profit at the Time of Inflation – Many times, the saved money can be used in investments as well. You can invest your saved money in gold, properties, bank schemes and many other beneficial plans and schemes. These investments come as a great help at the time of inflation. When the prices rise, your investments also become more valuable because of the inflated rates. Thus, you can earn profit by selling at the right time!
- Increases Possibilities for Fulfilment of Financial Goals – No financial goal can be achieved without money in hand! Moreover, you ought to have money at the right time if you want to attain any financial goal in set period of time. And of course, the best way for doing so is to save from your present income.
- Blesses You with Happy Retirement – Retirement can be best enjoyed through the saved money that has been invested much earlier in the suitable schemes that ripe during your retirement phase. If you invest your saved money in good health plans, insurance, etc, you will not have to worry for any issue during your retirement. Most importantly, you will not be dependent on others.
- Safeguards You during Currency Fluctuation – Currency fluctuation is an unpredictable condition that can arise anytime. The best way to protect ourselves during such tough economic times is to save money on a regular basis. Needless to mention, the saved amount can be utilized at the time of need.
- Daily General Expenses Will Increase in the Future, So Saving Money Always Helps – Be it the general grocery items, the construction material, household items or anything else, your daily general expenses increases with time. Expenses grow each day! So a wise decision is to save money for future use.
- Benefits of Educational and Financial Aid to Children – Be it higher studies, enrollment into good schools or something else, your children are dependent on you for their various financial needs too. Saving some money regularly from your income will aid you in supporting your children in their financial and educational matters.
- Good Financial Status as well as Social Status – People who save money at the right time do not have to seek financial help from others at the needy times. Also, the saved money soon accumulates into a valuable amount that can be used in significant investments. These investments and wise financial decisions help you attain a good social and financial status in society.
- Escape from Wasteful Expenditure – When you start saving and accumulating money, you automatically protect yourself from being a spendthrift. You stop spending money wastefully or needlessly.
In conclusion, saving money bring many benefit to us. So, we should save money to let us have money to use when we need. Saving can help you through a difficult time, pay for education, and prepare for a comfortable retirement. Saving is also beneficial for the economy—deposits are turned into loans that result in increased economic activity and opportunity. Thus, being a good saver benefits you, the individual saver, as well as the economy in general.
Of course, the difficulty with saving isn’t knowing that it is a good thing, it is actually doing it—saving. Successful saving requires self-discipline. To save, you have to make sure you have money left over after your monthly expenses. Financial responsibility is a must if you desire to be a saver.
CAMPAIGNS ON SAVING MONEY
It is important to promote financial literacy. Financial and entrepreneurial skills provide young people with the tools which can make them agents of change in their lives. This, in turn, can create a positive and powerful ripple effect in their communities.
We can carry out many activities and campaigns to educate about the importance of savings.
- At first, for our campaign, we can divide age groups and focus on each of the groups for the campaign.
We have to ask them why and how they save. And encourage them to share their saving stories. Especially during pandemic, this topic of saving and managing finances has become more relevant than ever. So we can ask individuals, (be it an experience from children saving his/her money, or parents, or young working professionals or college students): about their experience of saving money during COVID-19 pandemic, their efforts and what they learnt from it.
This way we can bring awareness about saving through inspiring stories and try to make difference by educating about IMPORTANCE OF SAVINGS.
It is like a social media campaign, can be conducted online or offline. Either by going to individuals and recording or through any of social media, we can ask them to share their stories tagging us and using many hashtags. We can create some incentive for whoever would share their story with us.
- We can also make short animated video about saving money. And educate about sources of investment and how to and where to save money easily without spending much and earn return on that. i.e. tools that help to save money.
- Keep quizzes on saving money.