What are you really saving for and do you think without savings you can still live a normal life after retirement?


well, the reason why i save is to offset future unforseen bills, whether while still working or when i retire from active work. it's just a simple case of preparing for the future.
my people have a saying that if you dont plan at all you plan to fail and saving for the future is planning to succeed. saving is a plan and one of the ways to secure one's future after retirement and to have something to fall back to should in case one is plagued with unforseen circumstances like sickness, old age, retirement, sack etc.
in response to your second question, no i don't think i can live a normal live after retirement without my savings to fall back on because life wouldn't remain the same with the absence of a steady means of income.
in light of this, permit me to note that saving come in different forms. it could be saving money in the bank as finances to fall back on or it could be saving with respect to investments where you have something that can produce the worth of your money with respect to businesses , real estate etc.
so when i say saving i don't mean money alone, infact investments is the best form of saving and i'd advice everyone to atleast dedicate certain percentage of their passive income to investments that can yield future returns.


Thoughts on Savings

I think that building up savings is important, first and foremost, for your current mindset. 

Having funds tucked aside means that your stress levels will be reduced as you are not panicking about unforeseen or emergency expenses. The risk of you building up expensive credit card debt is also massively reduced if you can dip into your savings to cover unexpected bills.

Savings also allow you to take advantage of opportunities to acquire assets when they become cheap. A market crash is usually accompanied by cashflow problems for most people, but those with savings can pick up bargain stocks, real estate and other assets (cryptos!) on the cheap. Having savings allows you to feel in control of your destiny.

Another advantage of having savings is that you can think longer-term. You don't need to snatch at short-term opportunities (that might not actually be in your best interests) to meet your monthly expenses. For example, poorly paid work or dead-end jobs. Your savings set you free to pursue interests that are aligned with your long-term goals.

Thoughts on Retirement

I believe that retirement, in the traditional sense, will become a relic of the past.  

None of us will ever 'retire' fully. 

For one, it will become increasingly difficult to accumulate sufficient savings to cover our living expenses as our life-spans increase and secondly, governments will no longer be able to afford to subsidise retirement for its citizens.

Sure, those who carry out strenuous manual tasks for their work will have to stop as they get older, but they will switch to other less strenuous tasks to keep on earning. 

Fortunately, the digital age will present us with millions of different ways to pursue our interests and 'get paid'. The emerging crypto and tokenised world that we are starting to see today is just the tip of the ice-berg.

We will keep on 'working' to earn money to cover our expenses way beyond the current commonly accepted retirement age. This might prove to be an extremely positive change as the current practise of 'pensioning off' many decades of wisdom and experience will be quite rightly put to an end. Also, with life-spans extending, there could be further decades of active engagement and interest for people who might otherwise have been left to pasture under the traditional model of retirement.

So the goal is to find areas of work that we find stimulating and engaging, because we might find ourselves doing it for a (very) long time...

1 Comment

Honestly, I don't think many who are 30-ish or below will ever get to retire or if they do it'll be because their own kids can support them not because they have the money to.

I don't get to 'save' for things. I get to work my ass off and barely make enough money to afford bills. Any savings I have is very minimal, and gets drained the moment I need something more expensive such as an unexpected car repair. Retirement is not a word I get to look forward to, it's not going to be some great thing where I get to stop working and go have vacation or have fun and enjoy time off from a life of hard work. Instead, the chances are myself and many in my generation will be finding jobs we can do when were 60 or 70 or 80 just so we can keep barely affording bills and keep it like that until something (illness, injury, or just plain age) puts us in the hospital and if we're lucky enough to survive and get out we'll probably be homeless and die on the streets.


There are several reasons to save for. For me, I'm saving for my future. I lived a very rough life where I had to struggle to get most of the things I had. This is because my parents weren't financially capable to provide those amenities. So I'm saving up for my kids. So they don't ever have to suffer, they don't ever have to beg and so they could live normal lives and not have to struggle through everything. 

It is obviously not possible to live a normal life without saving after retirement. How would you feed? EVen if you have some money coming in monthly, what about cases of emergency? You will have to be dependable, which is not so good as no one can be completely reliable. Saving is essentially important.