Earn more than you spend, save money on insurance… are rules everyone should know about money.
Basically, at the end of the day you have to try to make more money than you spent before, so you can be sure of the next payments. Of course, short-term loans or debit cards can help you survive in the short term, but it is not a safe measure and can be used in the long term.
Of course, the sooner you save, the more your wealth will increase.
If you want to put your short-term savings in a safe place like a bank account, you’re trading off the potential for high returns on that money. If you take the risk and invest in stocks, you will earn more in the long run.
That’s why short-term savings should be put in banks or safe investments that equate to low interest rates, and riskier securities (by portfolio) are usually option for long-term savings.
There is an American proverb: “Never put all your eggs in one basket”. The same goes for money, the more flexible it is, the less risk it is to invest or store.
The identification of “thieves”, business partners with nefarious schemes … is the simplest way to help you avoid business risks, thereby preserving your money. In addition, things like reviewing your monthly bank card bill or all previous spending will help you avoid invisible “thieves”.
Many people consider themselves optimistic about the life ahead and do not need to spend a dime on insurance. In fact, this notion is completely wrong. Your life will be “easier to breathe” when the safety of your health, home, etc. is guaranteed.
The fact that you allow the bank to deduct a certain amount of money every month to put into a savings account not only helps you not to worry about whether to deposit or not, but also ensures that you always have a “self-protection” savings. “.
Debt is not all bad, it can help you make profitable investments or for urgent expenses that you cannot afford. However, it will be a problem if your debt grows bigger and bigger, even to the point of losing control.
The financial industry changes daily with new products, new service fees and lots of new ways to save and spend money. Therefore, to make sure you can make the best decisions for your own finances, you should read the news, books and study every day.
A good example of this is Antoine Walker, a former NBA player. During his professional playing career, the American star played for many famous clubs and earned a huge amount of more than 110 million USD.
However, success came so quickly that Walker lost his way and fell into endless games. His addiction to gambling and his unaccountable business had left Walker stuck in heavy debts.
Wealth is not something that we can see, wealth does not show how many villas you have, how many supercars you have, but wealth is the assets you have such as cash, stocks or saving money. These are the things that make you feel free and secure. So, instead of choosing luxury items, you can invest in profitable health so that the money makes money.