https://images.hive.blog/DQmURiqgkQRS7Kkw8TyDUQ53eQKyW2pyVXFiTw3MRxQDQ7j/A1.jpg 

At one point or another, each of us have thought about how to foot the bills after we stopped working actively. Retirement is an important stage of life and if not properly planned, could lead to financial misery at old age. In my part of the world (Africa), having children and making sure they grow into adults with a good job or nice business is always considered strongly as preparation for retirement. Unfortunately. I have seen numerous times that this does not always go as planned

Sooner or later, no matter where you live, you will eventually grow old and stop your 9-5 job or other businesses you do. Thinking about that time now is not being overly futuristic. But I see it as acknowledging reality and planning actively towards that end. I mentioned  investment in children as a popular strategy towards securing financial stability during later days of life. There are other things that people do now to plan for retirement. But for everyone on the Hive blockchain, we are fortunate to have the HBD savings option which one could seriously consider, for retirement finance planning.

Lets take a look at this wonderful feature of the Hive ecosystem.

### HBD Savings -  the opportunity to save for tomorrow

The HBD savings facility give all the opportunity to set something aside for retirement. If you are a new person reading this article, HBD savings offers 20% APR (interest) per annum on HBD kept in the savings wallet. I have been saving some HBD and earning this 20% interest, which is why I really feel that this could serve as a financial plan for retirement. 

So here are 3 reasons why you should seriously think about having some HBD savings plan for retirement:

* **Stable value currency:** The first consideration towards long term savings is value retention. Many people are put off by the fluctuating nature of cryptocurrencies as they fear their asset value could be wiped off in an instant. Of course, those fears are well-founded. But as regards HBD savings, such fears are effectively dealt with. 

HBD is a stable value cryptocurrency. As such, it retains stable value and does not fluctuate like other coins. While it might still experience slight movement in value, this is almost always negligible. Money saved in HBD does not experience massive price fluctuation which crypto is generally known for. One could comfortably save in HBD for years and still have the confidence that their asset value is nearly consistent with its original value no matter the time period that elapsed.

So basically, HBD will save almost 100% of the value for years to come

* **Savings that make money:** It is very likely that you keep some of your money with your local bank. How much interest do they pay for savings? In my city, banks do not pay anything for money kept in a savings account. Instead, they deduct money regularly from such accounts in the name of service changes. Unfortunately, this is something we continue to battle till this day. Even when you put money in a fixed deposit account, the interest paid annually is poor and usually single digit. But with HBD savings, the case is different.

HBD savings pay a whopping 20% interest on deposits in your savings wallet. This is massive. Interestingly, the interest is calculated and added to the capital at the end of each 30-day period. We will come to that later in this article. But then, the point her is that 20% is such a very big figure in the finance sector to pay for deposit savings. When you save with HBD, you interest is calculated and the paid to you on daily basis. By checking your wallet each day, you will be able to see the daily interest paid, which then accumulates and is added to the capital at the end of each 30 days, Take a look below at mine:

 https://images.hive.blog/DQmULd5hycKyEf9gxBQGbbvLQG456PtftPLXnWiGDXnXaJY/A1.jpg 

So when you save with HBD, your savings make more money for you. It is an interesting passive income that continues to grow through to the time when you have retired from active service.


* **Savings that Compounds:** If you have yet to research on how compounding savings make you rich, try to find time and do that. But then, this is something really interesting about HBD savings. When you save in HBD, your interest is accumulated and added back to the capital after each 30 days. As you can see in the above screenshot, I will claim my interest in the next 20 days. Once I do that, it is added to the capital which increase, effectively increasing the capital that would be paid in the next month.

Compounding interest is one of the laziest but time-proven wealth growth strategy. Just think of it. Whether you are there or not, your HBD interest continues to accumulate and grow each month. In this way, your wealth or savings grow. And this is the type of wealth that grows with time. 

Assuming you started with $100, imagine how much that will be in 5 years? check that in this compound interest calculator screenshot.

 https://images.hive.blog/DQmY6BfodDQ8e58gTckXjbMiAAK6xo2qW3uvC1EeXBFiQSN/image.png[Compound Interest Calculator](https://www.thecalculatorsite.com/finance/calculators/compoundinterestcalculator.php) 

Yes, $100 becomes $269 in 5 years, Waoooh! Then what happens when the amount is bigger, say $1000? You have an idea of the power of compounding savings. This is the amazing opportunity brought to us by HBD savings. Isn't that wonderful?

### <center>Finally...</center>

How you plan your retirement life is important and has a bearing on how your sunset days would go. Everyone will eventually make this decision and face the realities of managing finance at old age. You could seriously think about the opportunity that HBD savings offers. Maybe, you could start now and save something small weekly, monthly or as the case may be (Dollar cost averaging).

Note: Always do your own research. This is not professional advice. Make an informed decision and be responsible for it. HBD savings is not perfect, but does represent a huge opportunity to save, grow passivley and have something to care of you at your twilight.

Posted Using [LeoFinance Alpha](https://leofinance.io/@fokusnow/why-consider-hbd-savings-as-a-retirement-finance-strategy)