Saving Money by Spending Wisely (Commentary)

I opened my gate and saw my neighbor lugging a bag of “rubbish” home.  It was his routine again. I wondered why he must buy his daily necessities for a few months ahead and cramping his house just like one of a “rag and bone” man, unlike mine, I only buy my necessities when I need them. However, let us face facts; spending wisely is the key to saving money. Not only will you be able to save money during an economic downturn, you will also have sufficient food to protect your family during an emergency while you plan your next steps.

Shopping for things in bulk will allow you to save money during an economic downturn. By buying things in bulk which will not get eaten by mice or getting destroyed over a period of time, you will be able to save money during an economic downturn when prices are rising. An example will be Willard Michlin in his article “Saving Money by Spending Wisely”. In his life, he had incidents where he managed to earn money just by planning ahead. In the year 1971 where there was inflation, he bought metal rings for a 4 year supply for his father’s company. This allowed him to sell them at the current market price at a later date. In this way, he managed to earn money just by buying these things in bulk at a cheaper price, and sell them at a later date. Hence, by spending wisely and planning ahead, he not only managed to save money but also to earn money.

However, there could be a problem with buying things in bulk. Large amount of space, example a public storage place, will be needed to store the items that you bought, and thus other costs will be taken into account, such as rents. Rents will eat up your profit rates really fast and you may not even be saving money. Other problems will happen to your items when you buy them in bulk and this may cause a loss in money. When storing of food, there may be rats which will eat up your food storage. Spoilage may also occur when exposed to rain or moisture. Another problem will be the problem of storage. Things also change too fast and instead of prices rising, it may even result in prices dropping. Also, when buying clothing, people may change in size and thus too leads to wastage. Thus, all these different factors should be taken into account when buying things in bulk.

Another benefit of buying necessities in bulk is that you will still have sufficient food and daily necessities for you to survive during an emergency or during a natural disaster. This will give you time to plan your next move. An example will be Howard Ruff, a newsletter writer in the 1970’s. Even though the IRS shut down his store and attached all his bank accounts, he still had big food storage to feed his family of 13 while he planned his next move. He was able to do so without panicking. This was because he had all the daily necessities needed for survival. This big food storage could also come into benefit during disaster where all the supermarkets are closed; you still have enough food to tide you over. Thus, by buying things you need and investing in a food storage program, not only will you be able to save money, you will still be able to protect your family during an emergency.

So, invest in a food storage program by only buying things that you will use. By spending wisely, you will be able to make a profitable investment. Spending wisely and planning ahead for rainy days will allow you to save money and preparing yourself for emergencies. I am glad I did not laugh at my neighbor for acting like a “rag and bone” man, his method was efficient and now there is not one, but two “rag and bone” man living next to each other. You may be laughing at us right now for being stupid and acting like this, but when disaster strikes, we will see who will have the last laugh.