Freedom Financial | 10 money rules that you have follow
Author Cary Siegel had learned in young age that “money is important” everyone used to say author he has to start earning money quickly. Author says he was working for saving money like other 90% people sometimes he needed car or he bought the car on loan. Or sometime he needed house or something else. He was just earning money in his starting life but he couldn’t manage the money and when he tried to change it he had got many experiences of his financial journey along with learning which actually helped him to retire one Early age. author compelled 99 all Those lessons and learning in a book called “Why didn’t they teach me this in school.” Today I am going to share 10 lessons of one them and let’s learn freedom financial.
These are the 10 Money Rules
- Working for learning.
- Marrying the financially right person.
- The 50% rule.
- living below your means.
- Invest wisely.
- Emergency funds.
- Debt is bad.
- Budgeting.
- Make short term and long term goals.
- Slow rich.
1.Working for learning
Author says that your first jobs or your start working first time that is your practice there your learning about your work and carrier. But some people compare salary with work on the starting. When you go to school and give them fees to learning so suppose your salary as a fee to learning something. So don’t think about salary in starting try to learn that time focus on work and people how the people work. then you can improve yourself, behavior, bodylanguage, communication skills, knowledge and work etic. don’t use work for earning use for learning it will also lead you to freedom financial.
2.Marrying the financially right person
Mostly partners get fight for money because if he doesn’t have money than how he can run the house an pay the bill etc. That’s why partners get affected with it it doesn’t mean the need to marry rich person. The person who support his family financially he should be the serious with his finances so both partners need to be financially literate for freedom financial.
3.The 50% rule
Most of people can’t afford their expanses author says that people do this because they have habit of expend money. That’s why they are dependent on credit cards and loans and always try to catch up with race of salary. To avoid this you have to save 50% of your salary and think your salary never increased so expend your 50% of your salary and invest your 50%. Live like you have only the salary of 50% percent. Author have a suggestion for students it they recently completed their study and Started earn. Then they have to think of at least 3 years that they are still students it will help to grow. People are usually put their first salary to a trash to buy something or mobile phone but they have to follow this rule of author.
4.living below your means
Warrent buffet holds 5.5% shares of apple company but he still uses Samsung’s old flip phone. Which is around 15 to 20 dollars even apple company gifted him apple 10. When it’s launched but he still uses Samsung’s phone because he says why he has to use apple when same phone give him same work. Imagine a billionaire who still uses old phone and it’s also reason of his wealth. So people have to live their Life according what required it doesn’t matter if you small amount of money or you are rich you just follow this simple rule. “spend below your means”
5.Invest wisely
Investing money is not only the invest that people have to do even invest time to learn some skills that will help you in future that’s also a investment. Investing in knowledge and books is most beneficial investment that no one can steal you. But it will help you when you convert it into actions.
6.Emergency funds
People are face unexpected situations or problems because they didn’t save some money. They have to be prepared for future problems such like job loss, health issues. Recently people faced Corona problems to face theses problems they have to create a emergency funds that fund help people to get out of from it. So Save funds it least for six months to fulfill your problems like Corona or etc.
7.Debt is bad
You have to remember one thing if your are in a debt then you can’t be financially stable. And you also have to know how to get over it and there is simple rule for it. “don’t buy the things you can’t afford” that’s means the things you can’t buy or you don’t have money to buy. You and try to get loans for it then put your self away from it because when you dependent on loans then you don’t deserve that thing so get away from it.
8.Budgeting
Author says it that “what you can measure you can manage, what you don’t measure you can’t manage”. So that is the reason for personal financial because then you will know how much you spending. Or how much saving and if you fail to saving money then you will regret it. So keep a monthly budget and note down income, expenses and saving and control to wasting money on useless things.
9.Make short term and long term goals
To be a millionaire is a long term goal and to achieve it you have to focus on your short term goals. Author suggest is that “easy to achieve short term goals” which is consistently motivate your self and a motivated person achieves long term goals.
10.slow rich
99% people want to be a millionaire over night but the fact is becoming a millionaire is long term process. They can’t suddenly save money alot it required some time. Most of billionaires start with zero and work overtime then a income grows they invest their income well. They learn and make mistakes but never stop to try at the end all the efforts, money compound together make millionaires. So if you want to be a millionaire then you to understand this “if you wan to enjoy being rich, you have to enjoy the journey of getting rich.”
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