Broke, Stressed And Disgusted
A How-Not-To-Guide:
Hypothetical question: If you won 100,000 dollars what will you do with it first?
If you think of what you are going to invest it in or earn with it then you are going to be successful. If you first, think of what you are going to buy with it then hmmm….you are going to have a pretty rough time financially.
Let’s admit it, saving is boring. It’s not about oversize plasma tvs or fancy vacations. Saving and budgeting are essential ways to financial freedom. I know, I know nothing new and phenomenal here.
Even if you are not an expert on tax exempts or budgeting you just have to DO THE MATH. It’s like, you don’t care about dentistry, but you have to brush your teeth!
Forego these rationalizations: " I worked hard at my job so I deserve these 1,000 dollar boots", "I can’t wear anything but pure silk against my skin," or " Genuine leather is me." Instead adopt this attitude: " If I don’t own it, I won’t have to dust it."
It is those odds and ends that we spend money on, if accumulated can amount to a lot. Don’t spend it on trifles that are gone in a flash. There are far more thrills in a life of control, than there are in a life of abandonment.
You don’t need to take a course in accounting to learn the formula. You don’t have to keep detailed account of your expenses either.
A wise budgeting plan consists of three parts, a plan to save and invests, a way to control all living costs and a solution to the problem of debt.
It’s the 10%-70%-20% plan after taxes and tithes. Out of your income you get ten percent for your savings, seventy percent allotted to your costs of living and 20 percent to pay your debts. Pretty simple huh? Just make sure you have the discipline to adhere to the plan and you will never be in trouble financially again.
One very important thing, pay yourself first. Keep a part of every dollar you earn before you pay the bills. That’s the way it should be. If you wait to save after you pay all your obligations, surely there won’t be any money left. I’m guilty of this myself, that’s why I found myself at the end of the line broke. But now I know better.
Now, one more question I promise this is going to be the last question for the day. Which do you think is in better financial position? A. some debt and some money? B. no debt and no money? C. more debt and more money? If you answered A or C, you want financial health. If you answered B you don’t understand financial health and I’m afraid you are suffering from the case of the "shorts."
Hypothetical question: If you won 100,000 dollars what will you do with it first?
If you think of what you are going to invest it in or earn with it then you are going to be successful. If you first, think of what you are going to buy with it then hmmm….you are going to have a pretty rough time financially.
Let’s admit it, saving is boring. It’s not about oversize plasma tvs or fancy vacations. Saving and budgeting are essential ways to financial freedom. I know, I know nothing new and phenomenal here.
Even if you are not an expert on tax exempts or budgeting you just have to DO THE MATH. It’s like, you don’t care about dentistry, but you have to brush your teeth!
Forego these rationalizations: " I worked hard at my job so I deserve these 1,000 dollar boots", "I can’t wear anything but pure silk against my skin," or " Genuine leather is me." Instead adopt this attitude: " If I don’t own it, I won’t have to dust it."
It is those odds and ends that we spend money on, if accumulated can amount to a lot. Don’t spend it on trifles that are gone in a flash. There are far more thrills in a life of control, than there are in a life of abandonment.
You don’t need to take a course in accounting to learn the formula. You don’t have to keep detailed account of your expenses either.
A wise budgeting plan consists of three parts, a plan to save and invests, a way to control all living costs and a solution to the problem of debt.
It’s the 10%-70%-20% plan after taxes and tithes. Out of your income you get ten percent for your savings, seventy percent allotted to your costs of living and 20 percent to pay your debts. Pretty simple huh? Just make sure you have the discipline to adhere to the plan and you will never be in trouble financially again.
One very important thing, pay yourself first. Keep a part of every dollar you earn before you pay the bills. That’s the way it should be. If you wait to save after you pay all your obligations, surely there won’t be any money left. I’m guilty of this myself, that’s why I found myself at the end of the line broke. But now I know better.
Now, one more question I promise this is going to be the last question for the day. Which do you think is in better financial position? A. some debt and some money? B. no debt and no money? C. more debt and more money? If you answered A or C, you want financial health. If you answered B you don’t understand financial health and I’m afraid you are suffering from the case of the "shorts."
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