If you are one of those who wait until they have some leftover money to start saving, you are missing a golden opportunity to achieve financial freedom.
Do not be of those people who still think that savings don’t get along with the debts. It is true that most people believe that what we call “saving” is the money that is “left over”; and it is a mistake to think that way because money is never left over. Consider that saving is simply the part of your income that is not destined for consumption; if you see it this way you will understand that Mr. Savings and Ms. Debt can live together happily ever after; you just need to be aware of what is truly important to you, to have ideals, will, and a certain discipline in terms of how you manage your money.
If you still haven’t started saving, this is the time to do it. There are many reasons, but here are some:
Saving makes it easy to plan your future and achieve goals in life; you will reduce economic dependence on family and friends; you will have greater capacity to respond to emergencies or other unforeseen contingencies; You will not need to contract certain debts that may be difficult to pay; you will be able to plan your trips, holidays or any other recreational activity that you like; you will have some economic slack to help improve the quality of life of your family; you will feel less stressed or overwhelmed against the economic problems of everyday life; You’ll make better decisions regarding your future, your studies or work; you will go building a financial profile that will be helpful when you want to borrow money to purchase your home or buy a vehicle; you also will go consolidating a way of thinking that will allow you organize your income, prioritize your expenses and live without major upheavals after retirement.
You see, saving has advantages that although almost everyone recognizes, many decide not to use. If you are one of those people who find it difficult to start saving, I recommend that at the very moment in which you receive your monthly or biweekly income, set aside a small portion for savings and power it up by trying to spend less on candy, soda, coffee, outings with friends or eating outside the home. Believe me, it is not difficult; you should just keep your commitment to grow the amount of money saved and in the end you will see that it becomes a healthy lifestyle.
REMEMBER: never think you’ll save the money left over and do not expect to have a better chance to start saving. Saving is one of the great tools we have at hand to build the future we want.
The difference between success and financial failure of any person is in their attitude.
Everyone aspires to have a good financial situation, but although the rules are the same for all, only a few are able to achieve it. Most people, when they turn 65 years of age, live of the Government or their relatives, and even some must continue to work to meet their own needs or help their children financially. It is not luck or inherited capital; the financial health of a person does not depend on having accumulated many college degrees or having climbed multiple positions in a large company, earning a good salary and earning good remunerations. The difference between financial success and failure is in the attitude. It’s your attitude that determines your financial success.
The fundamental reason why only a small percentage of the world population achieves financial independence (between 5% and 10%) is because most people do not possess the necessary attitude to put their finances in order, set financial goals , plan their budget, and even protect their current assets.
There is no point on knowing how to make money, if you do not know what to do with it beyond spend it or save it under the mattress to meet unforeseen expenses at home. It is true that formal education has not acknowledge the importance of financially educating people, but a change of attitude that drives you to set your goals and manage your personal finances is the first step to print a change in your life and achieve the welfare that you want.
This change of attitude should begin acknowledging how you perceive money, savings and investments, ask yourself what does money means is for you, is it the most important thing in your life, it is a necessity, or simply a vehicle to achieve your dreams? Once you have an answer to this question, evaluate what your goals, your priorities and the risks you are willing to assume are and how important it is for you to protect your assets.
And at this point, with all these answers in hand, you are wondering ask: What do I do to change my attitude? Where do I begin? I won’t suggest that you go to a bookstore to buy books on the power of attitude in the world of finance; in return Instead I’ll ask something easier without a cost: think of the five people who have the greatest influence on you, your way of thinking and your decisions; if you don’t have them, find them, but they have to be experts in the world of business and finance. They will be your reference group. Learn from their experiences, adopt their advice, focus on their ideas, study them, visualize yourself in their role as free and influential people and start thinking like them.
I assure you that’s the best way to start changing your attitude towards life, to business, to money and to finance; but you must do it now; you do not have to wait for anything. You must start to change your attitude right now, without further delay.