The funny thing about money is that it’s easier to save than spend, but many people do the complete opposite. We’ve done a lot of research over the past three years on financial successors like Dave Ramsey, Warren Buffet, and finance bloggers worldwide. Here are 9 efficient, realistic, and effective tips we’ve found for you:
Financially responsible people have real financial goals. Successful business owners will say they want to increase their revenue by 40%. These people don’t just say “ah, I’d like to be richer tomorrow”. Having an actual goal will increase the likelihood of retaining financial success. Write out a number that you like and work towards it.
2. Action Plans
The rich don’t play the lottery. Every successful person has an idea of where their income is coming from. They’re not financially successful because they keep hitting the lottery or getting lucky with the stock market. Create a plan on how you’re going to reach your goal step by step with a timeline.
3. Measuring Success
You don’t need to have a Master’s Degree in rocket science to understand the trend line of your income. Successful people check their credit scores, analyze their debt, and look at their savings accounts frequently. There are a million tools available to help you analyze your spending, savings, and even credit score! Don’t be scared of what you’re going to find. This is the first step to your journey of financial success.
There’s always that one friend or family member who loves to complain about their financial situation. They complain about how broke they are, how that one set back YEARS ago took them off their feet, and how they’d be doing so much better if that didn’t happen. Don’t be that guy. Successfully financial people f#ck up because that’s what happens. When you let a set back hold you up, you’ll NEVER get back on your hustle.
5. Pay for it 4x’s
We thought this one was epic. You’ve all heard Jay-Z say, you can only afford it if you can buy it twice. Wrong. You should be able to pay for it four times and have money left over in the bank. Financial success isn’t about getting the best deal, it’s about being realistic with your budget and not buying things you don’t have the capacity for. Read more about minimalism and finding value here.
Including this felt a little weird since it’s obvious. To reiterate on this, KNOW WHERE EVERY SINGLE PENNY YOU MAKE IS GOING. You better know exactly where that $30 you spent last week went. If you’re not sure how you ended up broke a week before payday then budgeting sounds like it’d be a great fit for you. Luckily, we’ve linked a simple strategy here: The Smartest Way to Pay off Debt
What is being frugal? It’s the OG way of being a Minimalist. Financial success stems a lot from being mindful of your spending and saving habits. Anyone with financial wisdom will analyze which savings accounts would benefit the most. They’d analyze the cost and value of an item then determine if it’s worth spending. Starting off frugal is a great way to get in the mindset of a successfully financial individual. Look at our friend @WarrenBuffetIG
Is there really a point in financial success if you’re going to blow it all with a short-term mindset? Long-term goals and plans are essential to have when you’re looking for financial eminence. If you’re really trying to sustain your funds and serious about your income start looking for ways to generate cash flow for when you hit the late 90’s. You should again, have an idea where the money will be coming from when you can no longer get up and put in work.
9. Surround Yourself with Assets not Liabilities
Take a good look at your friends around you. What are their goals and achievements? Are they looking to build their own income or business? Ensure your financial success by keeping those around you who are just as serious as you.
There are tons of books on financial freedom and growth. Here are some of our favorites:
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