If you don't understand money, you'll never be truly wealthy.
Here are 15 money skills everyone should know:
Here are 15 money skills everyone should know:
1. Paying Yourself First
What you need to do:
- Deposit paycheck
- Automate investments first
- Anything left over goes to bills
The process:
- Determine how much to invest
- Determine investment frequency
- Determine where it should be invested
Make your money work for you.
What you need to do:
- Deposit paycheck
- Automate investments first
- Anything left over goes to bills
The process:
- Determine how much to invest
- Determine investment frequency
- Determine where it should be invested
Make your money work for you.
2. Investing in Yourself
The best investment you can make is in yourself.
How to level up right now:
- Read a book
- Take a course
- Exercise for 30 mins
- Listen more, talk less
- Learn from past mistakes
The highest ROI is when you invest in yourself.
The best investment you can make is in yourself.
How to level up right now:
- Read a book
- Take a course
- Exercise for 30 mins
- Listen more, talk less
- Learn from past mistakes
The highest ROI is when you invest in yourself.
3. Controlling Your Spending
Society tells you to:
- Spend
- Show off
- Consume
Don't go broke trying to look rich.
Society tells you to:
- Spend
- Show off
- Consume
Don't go broke trying to look rich.
4. Increasing Your Income
Increase your income by:
- Getting a new job
- Starting a side hustle
- Negotiating for a raise
Give yourself a raise to fast-track your process.
Increase your income by:
- Getting a new job
- Starting a side hustle
- Negotiating for a raise
Give yourself a raise to fast-track your process.
5. Analyzing Your Expenses
Expenses can be categorized in 2 ways:
- Fixed
- Variable
Review your spending from the last 3 months.
Categorize expenses as:
- Needs
- Wants
- Wishes
Start reducing spending on wants and wishes.
Expenses can be categorized in 2 ways:
- Fixed
- Variable
Review your spending from the last 3 months.
Categorize expenses as:
- Needs
- Wants
- Wishes
Start reducing spending on wants and wishes.
6. Tracking Your Money
Assign a purpose to every dollar.
Some examples:
- Business accounts
- Retirement accounts
- Emergency savings fund
- Joint / Individual accounts
Want to be like the pros?
Automate the process.
Assign a purpose to every dollar.
Some examples:
- Business accounts
- Retirement accounts
- Emergency savings fund
- Joint / Individual accounts
Want to be like the pros?
Automate the process.
7. Building an Emergency Fund
63% of Americans cannot afford a $500 emergency.
That means the average American would have to resort to high-interest credit card debt to pay for surprise expenses.
Do your future self a favor and save 3 to 6 months' worth of living expenses.
63% of Americans cannot afford a $500 emergency.
That means the average American would have to resort to high-interest credit card debt to pay for surprise expenses.
Do your future self a favor and save 3 to 6 months' worth of living expenses.
8. Paying Off Bad Debt
Credit cards can be a double-edged sword.
Use credit cards wisely, because they can DRAIN your wealth.
If you use your credit card, only use it for convenience and NOT to buy things that you canβt actually afford.
Credit cards can be a double-edged sword.
Use credit cards wisely, because they can DRAIN your wealth.
If you use your credit card, only use it for convenience and NOT to buy things that you canβt actually afford.
9. Starting a Side Hustle
Building a successful side hustle will take:
- Hard work
- Dedication
- Long nights
The reward will be:
- Fulfillment
- Freedom
- Time
Start by learning a high-income skill.
Building a successful side hustle will take:
- Hard work
- Dedication
- Long nights
The reward will be:
- Fulfillment
- Freedom
- Time
Start by learning a high-income skill.
10. Automating Your Investments
Automation keeps your life simple.
Automate:
- Savings
- Investing in 401(k)s
- Investing in Roth IRAs
Out of sight, out of mind.
Automation keeps your life simple.
Automate:
- Savings
- Investing in 401(k)s
- Investing in Roth IRAs
Out of sight, out of mind.
11. Jumping at Opportunities
Never let an opportunity pass you by.
Donβt be afraid to:
- Take a new job
- Start a new business
- Negotiate for a higher pay
Opportunities multiply as they are seized ~ Sun Tzu
Never let an opportunity pass you by.
Donβt be afraid to:
- Take a new job
- Start a new business
- Negotiate for a higher pay
Opportunities multiply as they are seized ~ Sun Tzu
12. Building on Your Strengths
Everyone has strengths:
- Writing
- Managing
- Mathematics
Build on your strengths and create a career out of it.
Thatβs how youβll make more money.
Everyone has strengths:
- Writing
- Managing
- Mathematics
Build on your strengths and create a career out of it.
Thatβs how youβll make more money.
13. Surrounding Yourself with Winners
If you want to be the best, then you have to surround yourself with the best.
Curate a tight-knit circle of high-quality friends and mentors.
Quality over quantity.
If you want to be the best, then you have to surround yourself with the best.
Curate a tight-knit circle of high-quality friends and mentors.
Quality over quantity.
14. Adopting Healthy Financial Habits
It takes about 66 days for a new behavior to become an automatic habit.
Stick to a productive daily routine to build healthy financial habits.
When you build healthy financial habits, you will struggle less in life.
It takes about 66 days for a new behavior to become an automatic habit.
Stick to a productive daily routine to build healthy financial habits.
When you build healthy financial habits, you will struggle less in life.
15. Choosing Your Partner Carefully
86% of millionaires are married - and 65% are still in their first marriage.
Find someone who is:
- Frugal
- Mindful about money
- Aligned with your financial goals
Find someone with a winning financial mindset.
86% of millionaires are married - and 65% are still in their first marriage.
Find someone who is:
- Frugal
- Mindful about money
- Aligned with your financial goals
Find someone with a winning financial mindset.
Thanks for reading!
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