Money is one of the hardest, but most important things to master. It is barely taught about in schools and what they do teach will not set you up for the big wide world of finance. If you are like me, you are thinking about your future, primarily how you are going to afford your future. If you have a large number of outgoings this can be a long and grueling task. It was for me, and because of that, I have come up with some insights to make your journey that much easier.
Reward Yourself
This is an amazing little trick to help you stick to your budget. Coming up with a plan to reach financial goals is one thing, but sticking to it is another one altogether. When you create a budget or financial plan, set yourself up with milestones and rewards along the way. Positive reinforcement is the brain's way to keep you happily going down the right path. It doesn't have to be anything massive, maybe a night out or a nice bottle of wine. just enough to make you remember that all of your hard work is going to pay off!
Cut Out Unnecessary Expenses
Sit down and have a little think about the things you buy throughout your day. It doesn't take 5 minutes before you realize there is a lot you can cut out to build your wealth profile a lot faster than your peers. I can tell you right now that if you make your own lunch every single day and just stick to dirty old instant coffee, your savings will grow and grow every week. On top of that, you could swap out nights at the bar for social gatherings at home, Have more nights in with your significant other watching movies and eating snacks, or even (god forbid) settle for the budget brand food at your grocery store. All of these will make a massive difference to your cash flow, especially when put together to help make your financial dreams come true.
Store Your Money Properly
While bringing in more money is the most important for long term gain, it comes a close second to making sure it goes to the right place while it waits. When you build up those savings, you are going to want to make sure that that money gets put to work. There are far too many options to go through in this article, but what I will say is do your own research. It is impossible for you to be too financially savvy, so keep consuming information until you know exactly where the best place to keep your hard-earned cash! Whether it is investing or keeping your cash safe in the bank, only you will know the best place for your money, so choose wisely!
Building wealth is hard work, but the principle is very simple. You really only have two options, decrease your outgoings or increase your incoming. The far simpler option is to decrease your outgoings. when you really boil it down, we spend a lot of money on things we really don't need. Always keep your ear to the ground when it comes to your cash flow. Do this, and your money will grow and grow.
