Most people live in the present and do not think about the future. And of course, strive to achieve them.
10. Financial literacy
If a person does not strive for financial literacy, what kind of well-being can be discussed at all? This can be learned. Financial literacy consists of several aspects. Of course, the most important thing is doing home accounting. You need to know how much money you have earned and how much you spent. It is also necessary to be able to compare the conditions of the services provided by banks or other organizations. In this case, you will not get into trouble if you decide to use these services. It will be useful to develop the ability to understand investments. Then you can increase your funds. Read books on finance, attend courses, seminars. But pay attention to where you get the information, listen only to reliable sources.
9. Financial Triumph
Everyone should feel a financial triumph. This is a major purchase, travel or something else that is especially important to you. Set a goal and achieve it. Save money, look for additional sources of income. When you allow yourself to experience financial triumph, it will inspire you to continue to work. And the purchase will delight you for a long time. Do not spare money. If you do not encourage yourself, your enthusiasm will end over time.
8. Asset increase
Even if you are far from bookkeeping, you probably know what an asset and liability are. An asset is what brings you money, and a liability is what takes you. It is important that the asset always exceeds liabilities, for this it is necessary to increase it. You must find additional sources of income. It is not necessary to take a few side jobs. At this pace of life you will not be enough for a long time. Then you will no longer have assets and liabilities. An asset may be a deposit in a bank, real estate, securities. Of course, you need to understand investments, not everyone is given it. But everyone can open a cash deposit and receive interest. A profitable acquisition is real estate that can be rented out.
7. Financial independence from parents
Children always remain children for their parents, even if they are already over 30. But no matter how you would like to use the help of your parents, tell them “no.” It's time to learn how to provide for ourselves. Most likely your parents are not so young. They have their own desires, but they deny themselves everything in order to help the over-age child. Constantly hoping for parental support, you will lose the remnants of independence. You will never achieve anything on your own. Strive for financial well-being. At this age, you should help your parents, not they.
6. End Thingism
Financial success is not measured by the brand of the car, the brand on jeans or the latest iPhone model. But for some reason, everyone is also stubbornly trying to show their “coolness” with things. Do not spend money on something that you cannot afford. Moreover, do not take anything on credit if this is not a vital acquisition. You will not surprise anyone with branded things, but they will make a serious breach in your budget. And the cost of a car or phone will decrease significantly in a couple of years. If you have extra money, invest it in an investment or your own education. Then the money will work for you.
5. Budgeting
You will never become financially successful if you do not learn to count your money. As noted above, an asset must be larger than a liability. So liabilities are monthly expenses that you must calculate. This includes utility bills, fare or gas, grocery shopping. Do not worry, you do not have to count every penny until the end of life. It’s enough to record expenses for a couple of months. You will find out how much money is spent on products, how much on a monthly payment of bills. You can plan your budget and even save. When you see your purchases in a month, you will be surprised how much money is wasted. To maintain a home budget, use special programs or a regular notebook and pen.
4. Understanding the work of banks, the tax system, etc.
You should have at least the slightest idea about the financial system of the country in which you live. Otherwise, you may become a victim of fraud. In the pursuit of additional sources of income, do not overdo it. If you will receive large amounts for some reason, problems with the tax cannot be avoided. Therefore, arrange everything properly. The state allows you to return the tax paid when buying real estate, for treatment or training. Use this. Banks and financial institutions will never work at a loss. Therefore, use "personal offers" only if you really understand this. Otherwise, you will have to pay high interest for using the bank.
3. Repayment of loans and debts
But it’s better not to use loans at all. And if they are, strive to quickly extinguish them. Many families pay mortgages, a heavy burden for 15, 20, or even 30 years. Of course, many cannot immediately lay out a large sum. But paying off sooner means saving. If you can put an extra amount to pay off your loan or mortgage, between lower monthly payments and a shorter period, choose the second. If you paid a certain amount each month, you can pay it further. But you will have to pay it not for 10 years, but for 9. You will also save on interest, their amount will decrease. It’s not worth borrowing at all. You take strangers for a while, but you give yours forever.
2. Passive income
Find a passive source of income. He will make you profit without your participation. Bank deposits, investments, securities, stocks, bonds. There are many options. Buy real estate, rent out. You can rent a stroller, chair. Invest in business. But before you invest, you need to read everything, weigh the pros and cons. Never invest all your money in one source of income, otherwise you’ll lose everything. Participation in lotteries and sweepstakes does not apply to passive income. There, you will rather lose your money, and not make a profit.
1. Financial purpose
You must set a financial goal. It sounds, of course, a little strange: "Set a goal to set a goal." In fact, without a list of goals that you aspire to, you will achieve much less. Make a financial plan for life. For example, at 25 you want to buy a car, at 30 an apartment, at 40 to build a suburban cottage. When you have real goals, you will know what you need to strive for. But do not set unrealistic goals that you can never achieve, otherwise your whole financial plan will fail.