High-paid job vs savings

After a long shift from 8:30 to 17:00, I was on my way to go the supermarket to buy some fruits for myself. I had a small talk with my senior who just started his master’s degree in the next semester. Our conversation was surrounding money. One thing that made me feel surprised was that in his last four years having the Taiwanese government scholarship, which is pretty much with tuition wave and $15,000 NTD monthly expense, he ends up just a slight bit better than me. He didn’t have any saving in his bank (don’t really know he has any investing portfolio). At that moment, I think I understand the difference between getting rich and staying wealthy from the book Psychology of Money by Morgan Housal. You could make a ton of money but if you kept spending it and without saving, there is no point in how much you earn. The heavy-lifting is in keep the money and save it not how much you earn it.

Another time when I and my friend were partaking in a Vietnamese restaurant. I meet one of my seniors but also a professor within my university. Without any doubt, he made tons of money from his job. The same question to him: “Do you have any savings or having any investment?”, the answer is quite shocking too.”No, I just spend what I earned”. I cast the doubt on his answer but hypothetically if it was true. There is no difference between me and him, we were both didn’t have any savings within our bank account. He could be a good teacher and have a stable job, and he will going to earn much more than I did today, but if we don’t save money, there is no difference between how much money you made for your job.

Savings is might harder than earning money than we think, so what are the benefits of having savings?

One of the benefits of savings is that we don’t have to worry about money and our might is free from it, and we can do what we like whenever we want. My roommate, he is from Malaysia, he lives an extremely simple life, doesn’t have anything fancy (using an old 5 years old phone and laptop) and eat in a low-class vegetarian restaurant, and he doesn’t give a damn about how other people judge about his lifestyle and sometimes I consider him a little bit weird. However, there is a huge difference between me and him. He has a saving which is ample to pay tuition and living fees for himself and his sister within a year. “Well, I used to stress about the money,” he said, “but now I have savings, it doesn’t bother me anymore.” “Every month the money from the library (his part-time job) and also the financial aid automatically transfer into my bank without touching it, I have some cash from where I wash dishes.” After the talk, he continues watching the TV series throughout the whole summer vacation.

I think that we live in our life when we’re constantly chasing a career that will promise a decent paycheck. However, the thing we should focus on is savings, without saving your money, it is just like you are filling the water into a leaking bucket.