{"id":1311,"date":"2019-02-10T14:10:53","date_gmt":"2019-02-10T13:10:53","guid":{"rendered":"https:\/\/cowrywise.com\/blog\/?p=1311"},"modified":"2021-04-21T17:01:45","modified_gmt":"2021-04-21T16:01:45","slug":"savings-investment-myths","status":"publish","type":"post","link":"https:\/\/cowrywise.com\/blog\/savings-investment-myths\/","title":{"rendered":"Savings and Investment Myths: The Microtermist\u2019s Mirage"},"content":{"rendered":"\n<p>The human mind tricks us into believing a number of savings and investment myths. One of its most dangerous tricks is with the thought that one is actually saving money when he or she consistently set cash aside for a few days, say 7 days. It is a very dangerous trick that can destroy anyone financially.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What is Microtermist\u2019s Mirage?<\/h3>\n\n\n\n<p>When we build a savings strategy around extremely short periods, we come face to face with what I term the Microtermist\u2019s Mirage. \u201cMicrotermist\u201d is another term I created just because it does the best job describing the idea of someone who does stuff for extremely short periods. Add it to your dictionaries, thank you ;).<\/p>\n\n\n\n<p>Remember how it feels when you start working out for a few days and get that feeling that your body has changed, and how you start to think you have arrived? Few days on, you start to cut down your work-out periods and overtime nothing at all. The fat comes and you find yourself rushing back to start the same cycle? That\u2019s what the Microtermist\u2019s Mirage does to you. It lies to you about your progress.<\/p>\n\n\n\n<p>This same mirage rears its ugly head when it comes to <a href=\"https:\/\/cowrywise.com\/blog\/money-guides-and-tips\/financial-planning-chidinma-okoli\/\" target=\"_blank\" rel=\"noreferrer noopener\">managing our finances.<\/a> It is one of the savings and investments myths that makes people keep saving without ever growing their money, sounds weird right? But if you look deeply you\u2019ll see it happening all around.<\/p>\n\n\n<div class=\"shortcode-block\">    <div class=\"inhype-postline-block-wrapper\">\n      <div class=\"container\">\n        <div class=\"row\">\n          <div class=\"inhype-postline-block inhype-postline-block-57474 inhype-block clearfix\">\n            <div class=\"owl-carousel\">\n            \n                  <div class=\"inhype-post\">\n                    <div class=\"inhype-postline-block-content\">\n\n                      <div class=\"inhype-postline-details\">\n                        <div class=\"post-categories\"><a href=\"https:\/\/cowrywise.com\/blog\/money-guides-and-tips\/\"><span class=\"cat-dot\" data-style=\"background-color: #000000;\"><\/span><span class=\"cat-title\">Guides<\/span><\/a><\/div>\n                        <h3 class=\"post-title\"><a href=\"https:\/\/cowrywise.com\/blog\/get-people-to-invest-in-your-business\/\">How to Get People to Invest in your Company<\/a><\/h3>\n                                                <div class=\"post-date\"><time class=\"entry-date published updated\" datetime=\"2022-12-19T14:17:32+01:00\">December 19, 2022<\/time><\/div>\n                                              <\/div>\n\n                                            <a href=\"https:\/\/cowrywise.com\/blog\/get-people-to-invest-in-your-business\/\" class=\"inhype-post-image-link\">\n                        <div class=\"inhype-post-image\" data-style=\"background-image: url(https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2022\/12\/How-to-Get-People-to-Invest-in-your-Company-3.gif);\"><\/div>\n                      <\/a>\n                                          <\/div>\n                  <\/div>\n            \n                  <div class=\"inhype-post\">\n                    <div class=\"inhype-postline-block-content\">\n\n                      <div class=\"inhype-postline-details\">\n                        <div class=\"post-categories\"><a href=\"https:\/\/cowrywise.com\/blog\/money-guides-and-tips\/\"><span class=\"cat-dot\" data-style=\"background-color: #000000;\"><\/span><span class=\"cat-title\">Guides<\/span><\/a><a href=\"https:\/\/cowrywise.com\/blog\/saving-tips\/\"><span class=\"cat-dot\" data-style=\"background-color: #000000;\"><\/span><span class=\"cat-title\">Savings<\/span><\/a><\/div>\n                        <h3 class=\"post-title\"><a href=\"https:\/\/cowrywise.com\/blog\/battle-lifestyle-inflation\/\">How To Battle Lifestyle Inflation<\/a><\/h3>\n                                                <div class=\"post-date\"><time class=\"entry-date published updated\" datetime=\"2019-04-16T10:13:49+01:00\">April 16, 2019<\/time><\/div>\n                                              <\/div>\n\n                                            <a href=\"https:\/\/cowrywise.com\/blog\/battle-lifestyle-inflation\/\" class=\"inhype-post-image-link\">\n                        <div class=\"inhype-post-image\" data-style=\"background-image: url(https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2020\/06\/lifestyle-inflation-2.jpg);\"><\/div>\n                      <\/a>\n                                          <\/div>\n                  <\/div>\n                        <\/div>\n          <\/div>\n        <\/div>\n      <\/div>\n    <\/div>\n    <\/div>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>Save money to grow it not to blow it.<\/p><\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\">How Does It Affect Your Finances?<\/h3>\n\n\n\n<p>The aim of <a href=\"https:\/\/cowrywise.com\/save\" target=\"_blank\" rel=\"noreferrer noopener\">saving money<\/a> is to grow the money, which you do by investing your savings over a reasonable period of time. Having micro-term savings, as your core savings strategy, burns the growth process down to ashes. You see, saving money is like preparing for an exam. To come out with flying colours, in the general case, you have to prepare over time. Yes, there are exceptional people who can make magic happen within 7 days. But then, how many people are exceptional? Even the exceptional ones cannot play that card at all times.<\/p>\n\n\n\n<p>The same applies to your finances, and its impact can be really negative. Check out all the times you have saved up for 3 days, 7 days and the likes, and audit how many of the goals you saved up for were actually important. Not so many, right? No need to feel bad about it, we\u2019ve all been there. Before we get to the solution, let me show you some other ways this mirage can affect you negatively.<\/p>\n\n\n\n<p>With micro-term savings comes undue pressure, imagine saving up for a vacation within 12 to 15 days as opposed to doing that over 6 months? A perfect example of crazy. With micro-term savings, you are robbed of the ability to actually plan. Ideally, you should have funds for any goal ready 4 to 6 weeks before the set time of implementing the goal. That way, your savings and daily living expenses won\u2019t clash.<\/p>\n\n\n\n<p>Let\u2019s assume you have a vacation goal. Your funds should be ready at least 6 weeks before the trip. Why? Ticket prices don\u2019t change for the better over time.<\/p>\n\n\n\n<p>Also, with micro-term savings comes negative financial behaviour. You start to save money to blow it, whereas you should be saving and <a href=\"https:\/\/cowrywise.com\/invest\" target=\"_blank\" rel=\"noreferrer noopener\">investing<\/a> it to grow it. Now, you\u2019re probably thinking that I am suggesting you should never blow the money. If yes, then why are you <a href=\"https:\/\/cowrywise.com\" target=\"_blank\" rel=\"noreferrer noopener\">saving and investing<\/a> right? By all means, please enjoy your money. Just make sure that you allow it to grow well enough, so you don\u2019t end up in a cycle of \u201cspend-suffer-make money-spend\u2026\u201d<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"http:\/\/cwry.se\/blog_signup\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"222\" src=\"https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-1024x222.png\" alt=\"\" class=\"wp-image-4216\" srcset=\"https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-1024x222.png 1024w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-300x65.png 300w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-768x166.png 768w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-1536x333.png 1536w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-2048x444.png 2048w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-360x78.png 360w, https:\/\/cowrywise.com\/blog\/wp-content\/uploads\/2019\/01\/Money-management-breakers-10-150x33.png 150w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">How To Replace The Mirage With Real Images.<\/h3>\n\n\n\n<p>To avoid that terrible cycle, you\u2019ll need to have ample time to plan and allow your money to make sense. So, don\u2019t you think your finances deserve better than any option that makes you think you\u2019re growing when you\u2019re not? Jump on Cowrywise today and start growing your money truly. We provide you with the discipline you need to put that money to hard labour, so it can earn the returns you deserve.<\/p>\n\n\n\n<p>Download the Cowrywise app <a href=\"http:\/\/bit.ly\/cowrywise-app\" target=\"_blank\" rel=\"noreferrer noopener\">here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The human mind tricks us into believing a number of savings and investment myths. One of its most dangerous tricks is with the thought that one is actually saving money when he or she consistently set cash aside for a few days, say 7 days. It is a very dangerous trick that can destroy anyone financially.<\/p>\n","protected":false},"author":1,"featured_media":2645,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[134,173],"tags":[180,181],"coauthors":[],"class_list":{"0":"post-1311","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-money-guides-and-tips","8":"category-saving-tips","9":"tag-investment","10":"tag-savings"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Savings and Investment Myths: The Microtermist\u2019s Mirage - Cowrywise Blog<\/title>\n<meta name=\"description\" content=\"One of the major savings and investment myths is thinking one is saving money when he or she set cash aside for a few days. 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