Category: Money

Saving is not enough if you are dreaming to become a millionaire. Here are some financial tips that do not require high risk to achieve your financial freedom.

1. Live below your means

By living below your means, you will be able to set aside money for your emergency fund and other investment portfolios. To ensure that you can set aside funds for your savings and investment, automatically subtract these specific allocations. Whatever amount is left, is for your expenses. For you to become more conscious with your spending, use an expense tracker to determine where you put your money.

2. Diversify your income streams

Today’s situation revealed the importance of attaining various income streams. People with various multiple sources were able to mitigate the financial crisis brought by COVID-19. Having side hustles and passive income to generate other sources of bottom-line will allow you to fasten in obtaining your financial freedom.

Interestingly, as you diversify your income streams, you also get a chance to do what you are passionate about. Side hustles make you more creative and innovative.

3. Improve your financial literacy

One of the financial tips that are underrated that most people should know to become a millionaire is to improve their financial literacy. Here are the five financial books that can help you learn more about how you can attain financial bliss.

Learning financial matters each day is essential for better understanding how money can work for you. Importantly, as a golden financial rule, you should not invest in things that you do not understand.

4. Do your math

To know how many years you should be working and saving, it is recommendable to do your math. How early is your early retirement age? Well, to do that you should compute how much you allocate per month with your retirement financial goal.

Being rational with specific numbers will help you to be financially secured once you decide if you want to stop working and live the life you are dreaming of.

5. Diversify your investments

The investment portfolio should always be diversified. This strategy can lessen your financial losses when a certain industry in your investment faced difficulties that can attribute to declining revenues.

All these financial tips do not guarantee making you an abrupt millionaire but these techniques will aid you to achieve your financial goals without losing much similar to the schemes that promise easy money.

Today’s pandemic confined people to stay at home. This leads us to lessen spending and increase our financial bliss to mitigate the effects of the recession brought by COVID-19. This article will discuss five interesting books to improve financial literacy to attain financial freedom.

Setting your financial goals and simplifying your money management helps you to achieve a meaningful life. Reading the book Keep It Simple, Make It Big by Michael Lynch will help you create strategies to invest and save for the people whom you support.
This book helps people not to be overwhelmed with trending financial investments and entrepreneurial trends. It will teach you how to simplify financial plans rather than complicate them.

Another book that will improve one’s financial bliss that is well-known for most people is the Rich Dad, Poor Dad of Robert Kiyosaki. Good grades and a high-paying job does not guarantee you to be financially equipped. In the first chapter, Robert stated that rich people do not behave like common individuals. What is more interesting, they learn every day how money can work for them.

If you are burdened by your financial debt, Down Home Money by Myra Oliver is a great book to consider. The message of the book conveys how you use your money is more important than how much of it you have. This book teaches how to get out of debt and obtain high-yielding rental portfolios that made Myra achieve financial freedom. Not to mention, when she was still young, she didn’t allow consumerism and debt to dictate her life.

One of the great books that will help you improve your financial literacy is Pass It On by Lori & Roger Gervais. Financial literacy is not taught in school. That’s why this book aims to pass down wealth to your kids and grandkids by highlighting the proper handling of money and the wisdom beyond it.

Lastly, another book that improves your financial know-how is You’re Making Other People Rich by Ryan Sterling. This book helps you to be conscious of your spending habits. Controlling the purchases that aren’t beneficial to you will help you get the most out of your money. A strategy that will help you to be disciplined in handling your spending habits is to track your expenses daily.

These five books to improve your financial literacy are one of the many literature that enhance one’s financial bliss. The ongoing pandemic is an opportunity for you to invest in learning money management, investing, entrepreneurship and savings to help you achieve financial freedom.

As the Chinese proverbs stated, “the best time to plant a tree was 20 years ago. The second-best time is now.” This is similar to start saving as early as your 20s. Why? To prepare for the opportunities that await you.

Time is money. All investors treat time as the most valuable asset because they could not gain it back once they lose it. When you start saving as early as your 20s, you can accumulate greater value than saving in your later years. Not to mention, successful investors save in their early years so that they can own their time in the future. These types of people do not want to be at the mercy of their employers. Thus, they save to earn back their time.

Respectively, as young as you are today, you have extra money to save compared to when you gain dependents on your next years. This is one of the things you need to consider when saving, time is truly precious.

Another reason why you need to start saving right now is the opportunity cost. If you are not that liquid when a great opportunity to invest comes, you have to forego the chance of your money to grow. And remember, the opportunity will only knock once.

Moreover, market trends are an opportunity. Once you have savings, you can ride on to the opportunities that are waiting, especially for long-term investments.

Further, saving in your early years will help you prepare for recessions and calamities. Emergency funds play a significant role in life. It enables a person and even families to survive when fortuitous events may occur.

Indeed, the Chinese proverb is right. It is better to start saving now rather than be sorry when something might happen in the future. You do not need to save that much now, what is important is that you are constantly saving money until you get the financial freedom that you are desiring.