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Have you always dreamed of living a millionaire lifestyle? If you ask any millionaire, they’ll tell you money management is a matter of mindset. The goal of achieving financial freedom is to get unstuck from your day-to-day reality by adding additional options to your life. I don’t recommend anyone quitting their job to “follow the dream”. Instead, create unlimited abundance by adding something new and implementing money success principles of the rich and wealthy.
Save a fixed amount.
Put a fixed amount of your income into your savings, every paycheque. Instead of thinking about how much to save each month, automatically put 10% of your income into savings each month. This is a good habit to develop as early in life as possible. If you want to save money, commit to putting at least 10% of your income away initially. Over time, as your income increases, consider increasing this amount if you can. Instead of allowing ad-hoc spending to rule your life, create a monthly budget based on a money management system, and follow it carefully.
Start saving early.
Instead of waiting until you are in your 30s or 40s to start saving for retirement, start doing it while you’re young. Compound interest will make this investment pay off exponentially over time.
Don’t invest money you can’t afford to lose.
Avoid investing money you might need in the short term. Stock returns can be volatile relative to other investment instruments; however, for this reason, investing in stocks usually yields a higher long-term return.
Use the right mutual funds.
If you’re planning to put money away for retirement, put it into a mutual fund. Put retirement savings into a mutual fund. Talk to your advisor to make sure the money is invested well. Index funds are often cheapest to invest in and provide one of the best riskadjusted returns. Consider putting retirement savings into index funds. Discuss your best options with a licensed financial advisor.
Don’t borrow money.
Don’t take out a loan simply because you qualify for it. Just because you qualify for a loan does not mean that it is always a good idea to take it. Think carefully before you take one out.
Shop around for car loans.
Don’t simply accept the loan that the dealer offers you when you purchase a car. Whenever you purchase a car, the dealer will try to offer you financing. Instead of taking this simply because it is there, try to get a better rate from an outside option. Avoid places that “qualify everyone” as their terms are almost always the worst in the industry. I’ve seen example quotes with interest rates as high as 33%.
Start your own business.
Add a part time side hustle to your full time job. You can use it to supplement the income from your “soul sucking” day job. Eventually the side hustle might even replace your full time job when it exceeds the income you were getting from that job. Getting access to the knowledge you need by joining an results-oriented learning program is one of the best ways to get ahead in life. If you’re currently stuck in a dead-end job, consider joining or Millionaire Mindset online learning program to add additional options to your financial life.
In particular, stop scaling your consumption up when your income rises. I don’t mean foregoing your daily Starbucks habit. The $7 latte shouldn’t matter much in the grand scheme of things when trying to build true wealth. Instead, when your income rises, add more to your income by adding additional options, rather than expanding your consumption. Stop trying to “keep up” with your friends by spending more. Instead, accept that the newest, largest TV and a new car simply may not be your highest priority right now. They may be even out of your financial reach at the moment, which is fine. In general, a good way to save money is to avoid buying things you cannot afford. If you can’t afford a big screen TV without paying for it with credit, then don’t buy it. Better said, if you can’t afford to buy something twice, you can’t afford it. Practice living simply and finding enjoyment in simple, inexpensive activities. Do not rely on money to bring happiness.
Set personal finance goals.
When it comes to personal finance, keep yourself on track by setting clear goals. For instance, set a goal to create and stick to a monthly budget following a money management system. Or set a goal to not miss a single bill (or pay late) for an entire year. Missing bills usually has a bigger consequence than we realize, to avoid missing any of them, period. On a regular basis, decide whether you have lived up to your business and financial goals. If you’re doing poorly, ask why. And also think about how you can improve.
Share your learnings.
Why not share your own learnings by starting a blog or, even better, writing a book. Write about a topic that interests you and use AdSense ads to generate revenue. Pick a niche you care about and write about that niche. And then use contextual ads or affiliate links to generate ad revenue.
Follow a Proven Money Management System
Get unstuck from your day-to-day reality by adding additional options to your life. I don’t recommend anyone quitting their job to “follow the dream”. Instead, create unlimited abundance by adding something new and implementing money success principles of the rich and wealthy, including a simple money management system anyone can follow – regardless of how much (or little) money you make today.
Many people are looking for financial freedom, but don’t truly understand money and how financial systems work. Most people have a love / hate relationship with money. It’s time to change that. It’s time to take control of your financial life. Free up your time and resources to do those things you love most. Click the button below to find out more.Millionaire Mindset Course