Do you know what is the only difference between rich and poor people? It is not money, but the mindset.
If you are born poor, it is not your mistake. But, if you die poor, it is surely your mistake. Now, don’t give me that lucky-unlucky shit. Making good money has nothing to do with luck. Yah! I agree, luck matters to an extent, but if you are not taking right steps at right time, no luck can save you. Do you know why some people are awesome with money? It is not your luck all the time, but the financial decision and financial mistakes. If you want to be rich, you should follow these financial planning tips from money saving experts.
1Never Spend More Than You Can Afford
Look around and you will notice that money saving experts do not spend more than they can afford. They live out of less money than they earn. Knowing how to live less than you earn is a very important skill in managing money. Some of the richest people in the world have fully assumed this principle.
2Do Not Focus On Price, But Value Of Things
The price you pay for an investment or object is just part of the truth. But, if you want to be a money saving expert, you should instead think about the true value of a good. In terms of investment, they look at those that have growth potential in the future.
3Do Not Lose Money On Fees, Commissions, And Penalties
Money saving experts are serious about every penny they spend. They do not lose money on fees, commissions, and interest. To do so, you need to understand how to manage your bank accounts.
Money saving experts are very much concerned about the bank fees, ATM fees, and the costs for other transactions. And, to do so, you don’t need a degree in finance.
By simply checking your bank accounts in 10-15 minutes each month, you will understand how these fees work.
Try to avoid these financial mistakes, and you will see a lot of money coming your way.
4Do Not Miss To Adjust Your Life To Major Changes
Money saving experts do not forget to adjust their finances after a major change in life. Be it a marriage, or a child; they never miss to reshuffle their priorities. Take time to think about it yourself, or with the help of a financial expert, at least once a year. By reviewing your life and the financial plan you will see that this is an extraordinary way to manage the important changes.
ALSO READ – 5 Steps To Follow Before Investing Money
5Do Not Ever Feel Satisfied With The Money You Earn
The more you earn, the more you should demand. This is the theory of money saving experts. If you are done with a wish for having more, no offense, but consider yourself done with money too. Rich people are not satisfied with the money they make and they always look for new ways to increase their income.
6Do Not Ignore Financial Balances
Achieving financial success requires some habits that grow slowly and surely. These include the monitoring of financial balances. Money saving experts take a certain amount of time each month to make sure that they are on the right track and their finances are balanced. They are very much concerned about where their money is going and this is how they are able to avoid these financial mistakes.
7Do Not Take Foolish Risks
Higher the risk, higher the profit. This theory is not always right. Sometimes, it is good to take the calculative risk. If you want to increase your money, the first thing you need to do is – never waste your money. Learn to understand the how to control risks (like buying a house, car insurance, life insurance).
8Do Not Behave Like Google, Who Knows Everything
When it is about money, I love to follow Steve Jobs quote – “stay hungry, stay foolish” If you want to be rich, keep your eyes, ears open and mouth shut. You have lots of information coming from all sides. That’s why money saving experts understand their limits and focus on their strengths.
9Do Not Expect Others To Do Thing For You
After having a suggestion from an expert, financially successful people do take the responsibility on their shoulders. They are looking for advice, but they never leave their responsibility.
10Do Not Ignore Others Valuable Things For Money
If you want to be a rich person, never let the desire for money go beyond other more valuable things.
It is true that sufficient financial resources give you better access to technology, medical services, and leisure options, but financial success is just one of the parts of a successful life.
Do not ignore the importance of other valuable things like health.