The Basement Floor: The Power of Savings - Discover Living in the Okanagan

Save Save and Save some more

For over 20 years, I’ve been building houses—learning the importance of strong foundations. Now, I’m applying that same knowledge to building financial houses for individuals looking to take control of their financial future. And it all starts with savings.

If you don’t save, you have nothing to build on. No financial stability, no retirement plan, and no way to take control of your future. For years, I didn’t prioritize saving—until I started reading about it. Books like Prosperity Consciousness and The Richest Man in Babylon were eye-opening. They introduced me to simple yet indispensable concepts that completely shifted my mindset about money.

The reality is, no one tells you to save. Schools don’t teach it, banks don’t emphasize it, and society encourages a life of payments—a car payment, a house payment, a furniture payment, a lifestyle built on debt. Sure, there are government incentives like RRSP tax deductions, but no institution actively encourages people to save a lot as the key to creating the life of their dreams.

That’s why savings is the basement floor of the Financial House. It creates a habit of continuous growth, and when allocated correctly, it compounds over time, offering a clear path to financial freedom.

What is Savings?

In the simplest terms, savings is taking money out of your income and putting it into vehicles that help it grow. It’s about paying yourself first before anything else—allocating a percentage of your earnings into an account where it can build momentum over time.

A strong savings habit should start with 5% to 25% of your income and be treated as non-negotiable. You live on what’s left, not the other way around. The key to making it work? Make your savings untouchable.

One of the best strategies I’ve learned from people like Alex Hormozi is to set up a bank account that makes withdrawing difficult—one where you have to call in or authorize withdrawals manually. This adds friction to the process and helps prevent impulsive spending when temptation strikes.

But here’s the most important part: Savings isn’t just about emergencies—it’s about opportunities. The wealthiest people don’t just save for a rainy day; they save so that when the right investment, business, or opportunity arises, they have the capital to seize it.

The Biggest Mistakes People Make with Savings

The biggest mistake people make with savings? Not doing it.

Why? Because they don’t see the value—there’s no immediate reward, no instant gratification. Without a clear pain point or motivation, saving feels like something that can wait. And that’s the second mistake: procrastination. Someone introduces you to the idea, you think, that’s a great concept, I should do that… but then tomorrow never comes, and you never start.

The solution? Make saving as easy as putting on your shoes before a marathon.

Here’s a simple habit shift that works:
✔ Start with just $1 a month.
✔ Commit to increasing it by $1 every week or two.
✔ Set up an automatic transfer into a savings account so you don’t have to think about it.

Just start. It’s not about the amount—it’s about creating the habit of saving. Once that habit is in place, increasing the amount becomes effortless, and before you know it, you’ve built a solid financial basement that supports everything else in your Financial House.

The Biggest Lesson About Savings

The biggest lesson I’ve learned? Watching your account grow is one of the most rewarding feelings in personal finance.

At first, it’s slow. It feels like nothing is happening. But over time, as the balance starts to increase, you begin to see the power of consistency. Like Alex Hormozi says, the first $100,000 is the hardest. But once the right habits are in place, saving becomes second nature, and each new milestone becomes easier to reach until you hit your next plateau.

Now that my habits are in place, I find myself constantly looking for ways to save more, invest smarter, and maximize my returns. It’s like a game—once you start thinking about savings and wealth-building, opportunities begin to appear everywhere.

At the end of the day, saving is like planting a seed. You nurture it, let it grow, and with time, it turns into something amazing.

The Golden Rule of Savings

The golden rule of savings? Have faith in the process.

Just like planting a seed, you don’t see results overnight. You water it, give it sunlight, and trust that with time, it will grow. Savings works the same way. You put money aside, stay consistent, and before you know it, you’re watching your financial stability take root and flourish.

And believe me—it’s better to stress now than later when the variables change. The future is uncertain, and you don’t want to be caught unprepared. When you build the habit of saving today, you create options, opportunities, and security for tomorrow.

So, take the first step. Like Nike says: “Just Do It.”

Laying the Basement of Your Financial House

Savings is the basement floor of your Financial House. It provides a strong foundation for everything else—your future investments, opportunities, and financial security.

✔ Define your savings habit—start with 5% to 25% of your income.
✔ Make it untouchable—set up an account that’s hard to withdraw from.
✔ Avoid the biggest mistakes—don’t procrastinate, and start with just $1.
✔ Have faith in the process—your financial seed will grow if you nurture it.

This is just the next step in building a strong Financial House. The next level? Debt, Emergency Fund, and Opportunity Fund. Stay tuned as we continue the journey.

If you have any questions or want to learn more, feel free to reach out. I’m here to educate and help you understand these systems. Until next time, let’s keep building strong together.