The best place to find extra money is to earn it, negotiate it, save it and not to waste it. These simple steps will give you a leg up on your emotional spend thrift self. The not wasting it part is basically allocating funds to the right place month after month, and it is called a budget. The savings part is simple, but will provide you retirement leverage due to the compounding effect. Everyday you’re purchasing power is getting less and less, thus making retirement that much harder. Can you find extra money? Look right at your paycheck first. Then look in the mirror second.
The older baby boomers are currently feeling the strain on their finances, just ask somebody or volunteer at an elder facility to get more information with savings and money. Just ask them is Social Security actually covering 100% of their expenses? Most of the time the answer is no. What can you do to not be in their position when you are older with money? Earn it, Negotiate it, Save it, and not Waste it.
I recently read an article which gave 6 steps to succeed in retirement, do you want to know the first step, save at least 16 percent income. Why 16% because with time and compounding that money will provide a nest egg to supplement your Social Security. But the reality is most people do not even come close to saving that amount. When can common sense make more sense than putting things above your future?
I see the disastrous theme everyday in social media, but they see it as it’s cute to spend like Trump or Branson. How can you see progress in life, when you’re spending 100% of your income and still have debt. I hope I’m making sense to all of you and if not oh well keep using your parents, the government, and your friends for hand outs when you are in a bind. Because behavior like that will not last long. This is why it’s important to get finances in order first, then you can have some freedom to spend without worries later. When is the perfect time to relax a little and have fun?
After accomplishing these things:
Pay off all debt
Get at least 3 months emergency savings
Accomplish any money goals currently stressing you
Invest consistently towards retirement
Give away a little very month
Comment if you agree with the Earn it, Negotiate it, Save it, and not waste it money mentality.
Rich Uncle EL
