Name : Ketut Ayu Swandewi

NIM : 2211171101
Class : IV A1 Denpasar

The importance of cultivating saving's habit

My honorable Mr. I Gusti Ngurah Agung Wijaya Mahardika, S.Pd. M.Pd. and my beloved
friends. Thank you for the time given, on this occasion.
Om Swastystu, Good morning, everyone. At first, let’s together express our gratitude to God
for allowing us to be here safe and healthy. I'm here to talk to you about “The Importance of
Cultivating Saving's Habit.”
I chose this topic because I think many young people todays struggle with saving money.
Some may not even have savings account. This is a big deal! Saving money is the secret
weapon for feeling secure and having a bright future. But let's be honest, who doesn't love
buying fun stuff right now? It's tempting to just say you only live once, and forget about
planning for tomorrow. The problem is, that kind of thinking can leave you broke when you
really need money. Let's delve into some eye-opening statistics. Research from Luno dan
Dahlia Permata Bank found that 69% of millennials do not save regularly. Furthermore,
based on the 2023 Financial Services Authority (OJK) Fintech Lending Statistics Data, the
majority of loan customers are the younger generation, particularly those between 19 th to 34th
years old.
That's surprising, right? Then I explored again by asking some of my friends, and it's very
unfortunate that most of the friends I asked also experienced difficulties in saving. The
intention was to save money, but in the end, the money was used. These figures highlight a
prevalent issue: young people are prioritizing spending over saving.
Why is this happening? Today, let’s explore together. Several factors contribute to this
challenge. Students may argue without a steady income, saving seems impossible. But what
about those who already work? Perhaps a low salary combined with numerous needs
discourages them from saving. The truth is, you cannot manage your finances well.
Saving is an attempt to set aside part of today's income for future needs. Having a financial
safety net reduces stress and empowers you to face unexpected situations.
Nowadays, it’s hard for our generation to control ourselves. We often prioritize buying things
we want over saving for future needs. Have you ever wondered where all the money goes at
the end of the month? Or stress thinking about unexpected expenses until there is no money
that can be set aside to save? it's a sign that you are a wasteful person. Without realizing it, in
this sophisticated modern era, it is very easy for someone to fulfil their needs and desires.
This convenience even has a negative impact on financial life. With the development of the
era, many things have been updated to add value to the item. The increasing value of goods
does not make consumers decrease but on the contrary it actually increases the profit of these
goods. The development of the times has changed our lifestyle now. The lifestyle of the
current generation tends to be consumptive. Consumptive lifestyle is the urge to look trendy,
have the latest items, and follow certain social standards, so we are moved to spend money
constantly. Without realizing it, a consumptive lifestyle affects our financial future.
Consumptive lifestyles are mostly adopted by young people aged 18-25 years. The results of
research by Katadata Insight Center (KIC) and Kredivo state that the population of this age
uses 5.4% of their salary to shop in e-commerce. Here I am sure that many of you have e-
commerce applications on your smartphones, such as shopee, lazada, tokopedia, and the most
trendy one now is tiktok shop. How can a consumptive lifestyle not be inherent in today's
generation? with all the convenience provided by these platforms coupled with promising
advertisements and reviews that make us unable to control ourselves. For example, you see
one of the skincare advertisements used by the famous public figure Prilly Latuconcina, the
advertisement says that using the skincare makes the skin brighter after one week of using the
product. Then you will be influenced to use it to become beautiful like Prilly. This is an
example of how low your self-control is. Another example is that you want to buy food but
are lazy to cook or leave the house to buy it for reasons outside the weather is hot. Then your
choice is online food. All these conveniences will become your habit. These habits lead to a
consumptive lifestyle and we justify the lifestyle by saying it's "self rewards". The
momentary pleasure you feel is not a true form of self rewards. Real self rewards are those
that can give you happiness forever or in the long run you can enjoy the pleasure. It's better to
buy a house for the future than to buy branded clothes to follow a trend. It's better to save
money to study at an international university than to go to a coffee shop to buy a cup of
coffee. Saving money isn't about saying no to everything fun, but about knowing the
difference between a treat and a trick. We all deserve a little reward sometimes, but it
shouldn't come at the cost of your future plans. One word that inspired me from Henry David
Thoreau said, "The price of anything is the amount of life you exchange for it." If we look
into this statement, it’s true. The more money we spend on things we don’t need, the less joy
we have in life. I will give some tips that you can follow to cultivate the habit of saving
money are:
1. First, be wise in distinguishing between what you want and what you need. You can
remember the simple way that the things you need should prioritize function, while the things
you want should prioritize pleasure.
2. The second is to create two accounts, one for a savings account and the other for a personal
account. So that when shopping you only focus on the remaining money in your personal
account.
3. Third, make a monthly shopping budget, making a list of expenses and income will help
you live frugally. You can list what things you need with an estimated price. Making a list
also allows you to determine how much budget you will spend on it.
4. Fourth, determine your savings goals, having a clear goal will keep you focused and
motivated when saving. For example, if you save money to be able to study in America, then
you have to think that in order to study in America later you must be willing to live frugally.
5. Fifth, stay disciplined and consistent, you must remain consistent with your goals so that
no one can influence you.
In conclusion, the habit of saving money will greatly help our lives in the future. Saving is
the activity of securing some of the income to be saved. Saving also is a positive form of
investment. Saving isn't a habit that can be grown instantly, but saving gives you financial
stability. Well, ladies and gentlemen, now is the right time to change the way we look at
saving. Start growing the habit of saving. Maybe some of you don't work yet, but you can
keep some of the money your parents gave you to save and for a friend who's already
working you can set aside your salary every month to save. Because unexpected things can
happen, we need to prepare for them. Let us together create a brighter future for ourselves
and future generations. One word of motivation for you from Warren Buffett “Do not save
what is left after spending, but spend what is left after saving”.

That’s all from me thank you for your attention and your time. I hope we don't make any
more mistakes in financial arrangements. Thank you, have a good day everyone. Om Santih,
Santih, Santih, Om.
References

https://www.voaindonesia.com/amp/milenial-dan-gen-z-terjerat-pusaran-utang-pinjol/
7522571.html
https://www.permatabank.com/id/article/6-penyebab-milenial-susah-nabung-apakah-kamu-
juga-begitu
https://www.mortgage-express.com.au/blog/money-saving-quotes#:~:text=%E2%80%9CDo
%20not%20save%20what%20is,is%20synonymous%20with%20successful%20investing
https://pathlesspilgrim.medium.com/the-price-of-anything-is-the-amount-of-life-you-
exchange-for-it-1cee8a1b6df3
https://www.prudential.co.id/id/pulse/article/gaya-hidup-konsumtif/