We all must learn at a point in our lives that for anyone to make money the first step you must take is to spend money. I’m sure you have heard of the quote: Without risk their is no reward.
When you find the right money equation, your income must always be greater than your expenses. The key lesson here is how to spend the left over funds; Invest it immediately. Whether you purchase a stock, bond, or a business. Asset purchases is the real proven definitive route that the rich make to increase their cash flow and net worth. Have you heard of anybody getting rich by not taking risks. Even if you do not invest right away, at least start paying yourself by transferring your left over money to savings. Implementing this last advice singlehandly will open up so many opportunities for you.
In my discussions with random people I keep hearing the same excuses: I am not ready to invest, It’s too risky to invest, or I do not know how to invest. The first step before any decision you make, is to take time and get informed by asking questions or reading how to guides/books/my blog. Ha Ha Ha. We’re all rookies at some point in the investing world, but the deciding factor between those that do and those that do not makes all the difference.
1-Income > Expenses = Surplus of Money
2-Surplus Money Invested=Assets + Time =More Assets
Money management’s foundation is based on one premise: live below your means & watch your money. As Dave Ramsey suggests in his excellent book, The Total Money Makeover; as being the most important emotional financial decision we all should make to get us out of the dangerous cycle of living paycheck to paycheck.
Get Informed. Read finance blogs. Invest or Save.Watch your Money!
RichUncle EL
Hey Bro,Good article, you always make me think of my money early in the morning. I get paid tomorrow and will start investing.
Hey, That's a smart thing to do, I appreciate you sharing a comment. It's important to get in the game and not just sit on the bench, so that one day you can retire with something tangible.
Let me know if you need anything else. See my contact page if you need my email.