Have you ever wondered that how are parents, who did not have as much income as we do or rather only one of them use to work, managed to rear us, their children, without compromising on our upbringing? If you are to commence argument saying that today’s standard of living is costlier than that of theirs, then you should also consider the fact the if on an average, the older generation had 3 children, the current generation has only one.

We, the current generation, are taken away by the luxury surrounding us. We do not have the control over our temptation to spend lavishly and seek all comforts possible. Our parents only went for minimal comforts. They thought twice before spending. Now, we take spending on luxury as a measurement of our status.

We want our friends, our known ones, our relatives to all know that we live a high standard of living. We tend to spend more than our earning capacity, by way of using credit cards, loans etc. and when we have a financial crisis, default payments and get into legal problems.

When we earn, we also should learn to save. But , it is very important that by investing some money and getting loans which might be multiple times more than the investment is not wise way of saving.