savings
Also called: menabung
Money set aside and not used for current consumption.
What it means
Savings or saving is setting aside part of income regularly to be stored and used later. Family savings are usually kept in a bank account so they are safe and easily accessible. Saving differs from investing because its purpose is to preserve the value of money, not to pursue high growth.
Why it matters for families
Savings are the first buffer when a family faces unexpected events such as illness or loss of income. Without savings, a family is forced to borrow at high cost. Saving also trains financial habits that spread to other family members.
Example
For example, a family sets aside Rp1.5 million per month from an income of Rp8 million into a savings account. In a year, Rp18 million is collected, enough for an initial emergency fund and part of school costs.
Common misunderstanding
Many save with a leftover pattern, meaning they store whatever is left at the end of the month. The correction is that saving should ideally be done at the start as soon as income comes in so it is not spent on consumption.