Buying Happiness Around the World

10 Life Lessons About Money

10 Life Lessons About Money And Living The Life You Want.

Hello Adventure

1. Be Crystal Clear About The Life You Want

Don’t tell me what you value. Show me how you spend your money, and I’ll know what you value. You can afford anything, but you can’t afford everything.

You may say you can’t afford to save, but at the same time, you’re buying nice clothes and hitting the bars. There’s nothing wrong with clothes and bars as a deliberate, conscious choice. But don’t claim that bigger goals are out-of-reach.

Start first by knowing what is essential to you — hitting the bars or saving money? Is buying expensive clothes more important than traveling?

There’s nothing wrong with buying a new car and enjoying an expensive meal. The problem arises when you adopt habits that prevent you from achieving financial goals. Spending money frivolously while claiming that you “can’t afford” something else prevents you from achieving the life you want.

2. Focus On Solutions, Not Problems

The phrase “I can’t afford it is disempowering. Instead, replace that limiting belief by asking yourself, “How can I afford what truly matters to me?” Posing -open-ended questions cause a mental reflex, causing your subconscious mind to go in search of the answer.

Think of what you hope to achieve and pose a question to get your brain working. If you want a new home, ask, “how can I afford a new home?” Want more clients? Ask, “what would I need to do to attract more clients.”

3. Money Buys Choices

Do you often say things such as, “money isn’t everything,” or “money doesn’t buy happiness?” These beliefs will work against you finding opportunities to create more wealth. Why would most people get up early and work eight hours every day, only to claim “money doesn’t matter?” It does matter.

The highest and best purpose of money isn’t to fill your life with expensive gadgets; it gives you options, opportunities, and greater freedom.

Want to switch jobs? Let one parent stay at home? Move to the beach? You’ll need cash. You may not need millions to support the life you want, but you will need some money.

4. Money Buys Time

More valuable than the latest iPhone or Tesler vehicle is time. You can choose to spend your money however you’d like. But research shows that given cash, most people would spend it on buying the most precious asset: Time.

Time is limited; money is not. Use your money to buy time with the family and do what brings you joy.

5. Spend on What Enriches You or Makes You Rich

Society has expectations around how we should spend our money. Nobody questions the purchase if we spend $15,000 on a mid-size Toyota sedan. No one asks, “How could you afford it?”

But if we spend this same $15,000 on a scuba-diving trip in Fiji, people raise eyebrows. They assume we’re filthy rich, in credit card debt, or sponging off some sexy benefactor. Nobody seems satisfied with the honest answer, “I hustled hard and spent way less than I earned.”

If we buy a house for ourselves, nobody questions the purchase. No one says, “How amazing! You bought a two-bedroom fixer-upper starter home! You must be rich!” But if we buy an investment property, people raise eyebrows. “Where did you get that kind of money?”

We’re spending the same amount of money as our next-door neighbor, but we’re buying different things. They bought a boat, and we purchased investments. People will raise eyebrows, ask questions and make assumptions. Be okay with that. You’re going against mediocrity.

If you spend the way that everyone else does, you’ll carry the same debts that they do. You’ll work until you’re 65, then look back and wonder, “Is this all there is?”

6. Increase Your Income

If you are saving as much as you can but still struggling, it may not be because you have a spending problem but because you are not earning enough.

Find ways to supplement your income. If you’re earning $25,000 annually, find ways to increase it to $50,000. Life gets easier once you’re earning over much more than what you need to cover your basic expenses. How much you earn impacts how much you are able to save. Find ways to make more.

7. Save More Than You Spend

Saving is what you do with extra disposable income. Save a portion of your income. If you are already doing this, increase the amount. The more you save, the more money you have. The more money you save, the more choices you have. Yes, it is that simple. If you want your money to grow fast, start investing your savings.

When your investments cover your day-to-day living expenses while also growing, you’ve won the game. Your money is making its own money.

8. Invest More Than You Save – Know The Difference

Investments will go up and down — that is what they do. Many people cash in when their investments go down in value. Or, they stay in till it recovers and then sells it. To make money, invest when things are undervalued. And stay invested.

If you’re hoping that a house or stock will rise in value in the next few years, you’re speculating, not investing. Want to be an investor? Start with one hard truth, make your money going in, not coming out.

9. Start Now

Start this process now. Choose one action, however small, that you can do today. Great victories are the result of marginal gains accumulated over time. So start now. Call an advisor. Open a savings account. Start an investment account. Look at your cash flow and decide how much you can afford to save. Look for additional work or a higher-paying job. Whatever it is, start now.

10. Create Multiple Sources of Passive Income

Passive income is income earned even while you sleep. It’s getting to the point where your money is working for you and not you working for your money.

It’s not enough to create one source of passive income, such as dividend income from your investments. It would help make an income by creating an online business such as selling an ebook, digital product, course, or app.

Bringing It All Together

Once you reach financial independence, your options explode. You don’t have to work in a cubicle, serve clients or punch a time clock. You don’t have to serve irritating clients. You can spend more time with family and friends. Instead, you get to live the life you want! And wouldn’t we all want that?

This article contains affiliate links.

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How do you know where to invest? The Story of Rick and Jodi and their broker, Tim.

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