Coffee Thursdays
The importance of being prudent
There's an old joke which says: the world is in recession if we directly know somebody who loses his job, but it becomes a depression when you lose yours. Nothing funny about it, but the fact of the matter is, the present blobal economy is considered the worst recession since the 1980s. The World Bank agreed that financial crises has significantly reduced investments, developed countries will shrink, poorer nations will be whammed by commodity prices; we face tensions as banks collapse, mortgages and loans repossessions and threatening job losses worldwide.
I don’t want to dwell with these economic jargon and clutter the figures, one thing remains certain: This is Reality Check for everyone and change is needed starting with the common man and its domino effect -- from our frivolous lifestyle and ways of spending money, the temptation of credit card purchase power and submission to impulsive commercialism.
How many of us were caught in the web of credit card bills mounting since last year, because it was too easy to swipe and later it’s hard to keep up working to pay? Did you remember when you had cash in your hand and you were so ecstatic to pamper yourself and justify your spending when you see yourself now wondering how to fill the gap of securing basic needs? How many of us are still in financial debt and scratching our heads how we are going to repay it?
I am not coming clean that I don’t have these issues myself, but perhaps if I try to share this challenge to everyone, our personal approach to regress downturn can help each other straightforwardly.
Needs vs. Wants: Entering the shop I always see myself in walking contradiction, especially finding something that caught my eye and helplessly attaching to it. Let it be new clothes, gadgets or even as simple as an adorable ornament perfect for my bedroom. As Oscar Wilde said: people can resist everything except temptation, I am struggling to confront this. What I do next is start asking myself these questions: Is it a want or a need? Do I really need it then? Can I still use it in 3 years time? What will happen if I don’t buy it? Can I live without it?
Save is a Savior: I remembered early last year that I got a decent job and enjoying the benefits of a business in starting, as it came too good and swiftly, the company decided to cut expenses as it wasn’t earning as projected. I resigned my post and left jobless for a few months after. Good thing, I was able to save 20 percent of my previous salary monthly and these savings helped me to survive the lean months of unexpected unemployment.
Live less: Whoever said the more, the better? My life experiences tell me otherwise, living less means less headaches, less stress and worries. Recalling back then owning valuable things unrest my mind in constant paranoia of what if it’s stolen, broken or got lost? I am left in tip toed condition all the time worrying about my valuables. Now, that I don’t have these expensive possessions anymore, I have nothing to fret or be bothered when I travel, leave home or simply move about; I don’t have to worry about anything as I am free from material belongings.
Be Prudent: Defined as wise in handling practical matters; exercising good judgment or common sense. Being prudent, cautious and practical are the traits we need to get through today’s predicament and threat of financial depression. This is a reminder that there is no such thing as security if we remain with our old habits of seeing things and this juncture offers change for the better.
Learn the lessons: Let us hope this current global problem will eventually bring a good side after all. These too shall pass and we will survive this economic slowdown. From the Great Depression of 1982 to the World in Recession beginning year 2008 until present, history is bringing us the picture: these unfortunate circumstances will only happen again and again if we haven’t learn from our mistakes.