This Is How To Reduce How Much Money You Waste: The 5R Method

Are you rich? Are you as rich as you want to be? If you answered no, a major reason could probably be that you waste more of your income than you should. Everyone needs to indulge once in a while, but think about it for a minute - there are probably a lot of things that you don't really need, yet you spend a lot of money buying all the time. The bottle of Fanta each time you are in traffic, lunch from that fancy restaurant by your office each afternoon, that over priced aso ebi you know you might never even wear more than once... All these things add up. In fact, if you take time to do a calculation, you'd be surprised to know how much it all adds up to, and you'd be even more surprised to know what percentage of your income that is.

All that money could go into savings for the purpose of investments that would then yield returns. Even if you want to be like Falz who wants to just 'be a chairman and have enough money to waste', you still have to have enough money first. So, what's the 5R method of cutting out the waste?

• Refuse: You don’t have to say yes to every single event or costly service.

• Reduce: You can probably save money on some existing bills. Possibly by just asking.

• Reuse: Your old smartphone is still good for something. Use it for a new purpose rather than buying new gadgets.

• Resell: If you have to get rid of old stuff, at least make it worth your while. It's now easy, thanks to the likes of Olx.com.

• (Don’t) Rot: Saving money doesn’t mean much if you’re not growing your financial future. Make good investments and think long-term about the sustainability of your finances.

Cover image via Vanguardngr.com