Tips for running a better business

Everyone longs for abundance and financial security, it is a human desire that we all share. It is an inspiration instilled in us as part of our survival system. While we all have this in common, only a limited few actually reach true financial security.

The figures can be disappointing. According to the Retirement Confidence Survey (2006), 53% of Americans have less than $ 25,000 in retirement savings. Also, 30% believe they will only need $ 250,000 or less in total retirement savings.

One of the problems in our society is lack of discipline in relation to savings.

These steps are not easy to follow, but they will initiate you on a disciplined path and lead you to build a money-conscious mindset.

1. Reduce your household expenses.

Find ways to make your home smarter to reduce electricity bills, water and everyday utilities.

In California, we have the highest real estate prices in the country, so reducing the cost of living can be a sacrifice.

If you are a first-time home buyer (or even an empty nester), be open to the idea of ​​purchasing a duplex or other multi-property rather than a typical single-family residence. That way, you can live in one unit and rent another for income.

It is not easy to live near tenants, but if you screen your potential tenants correctly, it will reduce future nightmares. Be smart, pay your mortgage to other people! After creating a passive income stream, you can always save money and then buy another house later.

2. Increase your formal and financial education.

Did you know that earning a bachelor’s degree can increase your income by $ 25,000 a year? Also, it gets better:

According to census data, a person earning a bachelor’s degree will earn another $ 20,000 per year – which is $ 45,000 more, year over year!

Now, don’t complain about the high cost of education or how “difficult” it is to go back to school. My former neighbor was in her 50s, running her own business and graduate school part-time. there’s still time!

It is also important to note that universities do not teach people to become rich. So during your formal education, start taking classes about investing.

Financial classes are taught in most adult schools and colleges for a nominal fee. I have also attended real estate seminars for many years and learned great tips from many types of mentors.

3. Become an aggressive / conservative investor.

Although it may sound like an oxymoron to be both aggressive yet conservative, it is not. It is all about planning. The risk you take with your money should be related to your age.

But, don’t be fooled: One should never invest in something that they don’t fully understand. If stocks interest you, start learning about the market.

Learn how to understand financial statements. If real estate is your game, start participating in REIA (Real Estate Investment Association).

Also, don’t be greedy! I know that investors are so desperate for that 20% return that they gave their money to unscrupulous companies and never saw their principal again!

Protect your principal, compromise for less interest if necessary. If money is lost, it can take years to rebuild.

Do not follow the crowd.

Most Americans are broke, why on earth would you follow their bad habits? Trying to live with your neighbors can destroy your chances of financial freedom. Also keep in mind competition among family members.

For example, some families like to move past each other in their journey. It is non-stop cruises, air trips and weekends in Las Vegas. but guess what? They’re BROKE !?

Some people who know me may make fun of my frugality. They can please everyone they want because I am laughing all the way to the bank!

Many rich people are weird and eccentric, I used to think that money has made them that way, but now I realize that they don’t care what they think of others. It was perhaps this flawed attitude that helped make him rich in the first place.

5. Saving Is Sexy, It’s Fun to Be Frugal.

If saving is a huge task, you won’t do it. If coupon clipping and wearing off-the-rack clothes are beneath you, then you need to change the outlook.

Start making a game by saving and being thrifty. See how much money you can put in a cookie jar each week. Before you spend a penny, consciously think about the action you are taking.

Find out if there is a better way to find what you need at a lower cost. Can you buy it second hand? Do you know that someone else needs the same thing.

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