Savings Missteps: “The Plasma TV” problem

So you’ve bought into the importance of savings and you’ve been socking money away with regularity. One day you look at your bank balance and you’ve saved a couple of thousand dollars.

So what happens? This might be more of a guy thing but, a light goes on in your head and an idea arrives fully formed, “Plasma TV”.

When we’re talking about saving were talking long term. We’re talking about accumulating capital whose purpose is to generate a return and grow.

If you want to buy something that you have to save up for, then you have to set up another account for that purpose.