Rattibha

15 SIGNS YOU ARE GOOD WITH YOUR MONEY.
[ A MEGA THREAD ]

1. YOU HAVE A STEADY FLOW OF INCOME
If you lose your job, you know how much it can negatively impact your life.
That's why you've started investing your time & money in assets and side hustles that generate a steady Cashflow into bank account.
& you remain financially secure

'Your job is no longer secure'
I'd like to show you the real picture of this Statement.
In 2021 when Lockdown was reimposed, 10 Million Indians lost their jobs within just 10days.
Most of them lack an emergency fund and have no side hustle as insurance.
I feel sad about this

2. YOU KNOW HOW MUCH YOU SPEND
You follow👇
50/30/20 BUDGET RULE
• 50% RULES
Food
Housing
Utilities
Medicines
Insurance
Cultivation
• 30% RULE
Personal Care
Entertainment
Outing/Hobbies
Mobile Recharge
• 20% RULE
Emergency Fund
Investment
Education
Savings

Spend 10-12 minutes to calculate your daily expenses.
Do you know what Cashflow is?
Incomes - Expenses = Cash flow
Maintaining positive Cashflow is a big life hack.
And Increasing positive Cashflow every Month signs that you're good at managing your money.

⏳CASHFLOW⏳
•Jack's Income statement
Incomes= $5000
Expenses= $2500
Cashflow= $2500*
*Positive Cashflow should be the ultimate goal
•John's Income statement
Incomes= $10000
Expenses= $12000
Cashflow= -2000*
*Negative Cahshflow
Your Cashflow should never be like John's

3. YOU CAN PAY YOUR BILLS EVERY MONTH
•The 8 income streams:
•Earned
•Profit
•Capital Gain
•Rental income
•Interest income
•Residual income
•Dividend income
•Royalty income
You should have more than 3 income streams that allow you to pay the bills on the right time.

4. YOU CAN BUY THINGS YOU WANT
Just because you can afford anything, you can buy? NOPE!
If You don't need $55000 priced car & expensive house,avoid.
But don't try to cut your small wishes:
-Food at restaurant
-Outing with family
-Starbucks
-Charity
-Dating
-MacD
-Gifts
-Tour

Without getting into debt,You income streams Should allow you to afford these things:
•Any other Important needs
•Student loan payment
•Transportation
•Housing
•Clothes
•Utilities
•Food

5. YOU HAVE AN EMERGENCY FUND
A study says: Two in three families lack an emergency fund
•A perfect Emergency Fund=
6 × Monthly Expenses
•Emergency Fund must be used only for Emergency cases:
•Job loss
•Wages cut
•Car Repair
•Roof Repair
•Credit Fees
•Critical illness

6. YOU'RE PLANNING FOR A MAJOR PURCHASE
You started thinking about how to afford a purchase more than a few months from now.
6 Things To Consider:
•Calculate cost
•Do Your Research
•Listen To Mentors
•Assess Your capital
•Watch Your Cash flow
•Let Numbers Be Your Guide

7. YOU ARE SAVING MONEY
Your budgeting skills allow you to eradicate the crippling expenses every week or every month
& You save 50-60% of Your incomes
Because You Know already How to save more money
-Healthy >Fast Food
-No luxury things
-Quit bad habits
-Earn more
-No party

8. YOU INVEST TO MAKE MORE MONEY
You already know the stage of your money Journey:
•Make Money
⬇
•Save Money
⬇
•Invest Money
⬇
•Multiply Money
⬇
•Maintain Money
•And Now, You put every single dollar work hard for you.

• ASSETS : PUT MONEY INTO YOUR POCKET
• You invest in Assets:
- Retirement Savings
- Rented Home
- An Index fund
- Rented Cars
- Businesses
- Bitcoin
- Stocks
- Bonds
- Silver
- Cash
- Gold
- Skill
Because You know the value of COMPOUND INTEREST that creates wealth for you.

9. YOU DON'T HAVE ANY CREDIT CARD debt OR PERSONAL LOAN
•Two Types of Debt:
- Oppressive Debt
- Enriching Debt
Credit Card = Oppressive Debt
Avoid it.
You know that paying the bare minimum will do nothing but increase your balance because of increasing interest repayments.

10. YOU CAN DELAY FINANCIAL GRATIFICATION
Unless you can afford to fully pay for something, you don’t buy
Whether it’s:
•Travel Expenses
•A New Bag
•A New Car
You would save up for something & wait >>> put something on credit and get it now
Watch THE SHAWSHANK REDEMPTION

11. YOU'RE CONTRIBUTING TOWARDS YOUR RETIREMENT
Passive Incomes > Expenses
= Freedom
Whether you’re looking to retire at 40 or at 65,you’re now making contributions towards your retirement fund
& looking for passive income ideas to support yourself while you'll no longer work

12. YOU HAVE THE RIGHT INSURANCES IN PLACE
Money without Financial Intelligence is soon gone.
You know how to protect your family from unfortunate events
Against all unforeseen expenses, You take such insurances:
•Car
•Pet
•Life
•Health
•Travel
•Landlord

13. YOU CHOOSE TO LEARN ABOUT MONEY
90% of self-made Millionaires read 2-3 books/month.
Leaders are Readers.
But How It can help you:
- Learn from the mistakes
- Think like the greatest
- Learn from the best
- Motivate to grow
- Learn to invest
- Enhance Focus
- Provide info

The school education system doesn't teach about finances.
So, You take the initiative to continually self-educate through:
- Seminars
- Courses
- Books
- Blogs
Because You know that you cannot rely on anyone else but yourself to be financially independent.

14. YOU HAVE A LEGACY TO PASS ON TO YOUR CHILDREN
You can support them in times of hardships with cash & assets
But the ultimate gift you can give your children? Financial education
"Give a man a fish,you feed him for a day.
Teach a man to fish, you feed him for lifetime"

15. YOU'RE CONTRIBUTING TO CAUSES YOU CARE ABOUT
It's not mandatory but If you can afford, give back:
- To the community,
- To charities,
- To the church,
- or simply helping out a friend.
True satisfaction comes from giving without expecting anything in return.

So, are you good at managing your money?
Did you answer yes to many or all of these questions?
If so, congratulations!
And If you like this thread on Personal finance, please RT.
Thank you.
[ End ]

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