Sure, you’ve heard it before. Get rich quick schemes, buy ‘this’ and watch your cash flow grow, and other effortless schemes to get you believing your financial freedom is right there waiting for you.
More often than not, the end result is not only disappointing but costly, and following a period of wound licking, the search for a new money-making opportunity begins.
Well, we looked at what works and what doesn’t and if you follow any one or all of these tips, your financial situation is more likely to get better than worse.
A dash towards smart cash
Obvious! But a lost art nonetheless. Pay your bills, plan your extras and put the rest in savings. Duh! But yes. Something happened in the last decade or so and people are no longer thinking of savings.
2- Passive income
These are earnings that may not require as much hands-on work, including investing, royalties, retainers, and consultancy fees. If you are planning to buy a second car, don’t. Better is to buy shares in good car companies instead.
3- Restrain your impulses
The trick to managing your finances is to keep on training your mind to do the right thing like think before making an impulse purchase. You need to ask yourself if you really need that gadget or purse that you saw in the window. Treat your money like it could go away tomorrow and don’t overspend. This applies to both your personal and business finances.
4- Simplify your finances
In the New Year, you should resolve to pay off short-term debts, like credit cards. Save gas and maintenance money and use public transport in your city instead. It’s also good exercise and good health means less doctor fees and more productivity.
5- Visualize what you’ll do with your money
If you don’t know how you’re going to spend your money, then you’re never going to make that money.
If someone says they want to make $20,000 per month, ask what they’re going to do with it. If they say they’re going to save it, tell them they’re never going to see that money.
6- Don’t own a home, car or office
Owning a home usually isn’t your best plan because it costs a lot of time and money to maintain, which you could spend furthering your career or enjoying life. Same with a car. Today, many co-sharing opportunities exist to split the cost of an office, apartment or car. This also creates surprising networking connections with people and professionals you would otherwise not have a chance to meet.