Feeling Behind in your Finances? Take these 3 Steps to Get Ahead.
Someone commented on a MogulGrind IG post recently that “they can’t get ahead in life because it takes money to make money…” She was half right. It does take money to make money, yes. That will not stop you from getting ahead if you have the right mindset and relationship with money.
1. Invest in your skillset. You’ll need to sharpen your skills so you can command a higher salary in the job market.
2. Lower your cost. Realize you don’t need the latest high fashion, luxury car… I call it “stepping out of the Matrix… there’s a sophisticated system designed to make you feel inadequate if you don’t spend on the latest product/service/destination… If you want to get ahead it’s imperative for you to snap out of it. Find ways to cut expenses.
Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn't … pays it.. - Albert Einstein
3. Invest in the stock market. You can start investing with as little as $5. The sooner you start investing the more time your money has to compound. Compound interest grows your wealth over time. The key is to invest early and often. You won’t get rich quick but consistently investing over years will be life changing, trust me. You’ll be tempted to get out of the market when the market dips, but don’t be daunted. Stay the course if you’re in quality equities like an S&P 500 Index fund.
It’s not what you make, it’s how much you keep.
I’ve seen firsthand people who’ve generated millions of dollars in their career yet still have a negative net worth. On the other hand I’ve also seen people making $40k/year, live off of $30k and invest the remaining $10k per year. Over a 25 year period that amounts to over $1.1m at a 10% compounding rate. During that time you would have put in a total of $250k, yet have $1.1m. If you want to accelerate that pace then increase the amount you invest, the more invested the greater the growth. If you’re making 6 figures and spending on the latest cars, jewelry, fashion, luxury vacations, etc.. living above your means & financing your lifestyle via credit cards, you are likely still broke.
I’ve been there, running on the treadmill, trying to get ahead but seemingly sliding further and further backwards. I’ve been privileged to be around some very successful people and had the opportunity to study some of their playbook. I’ve also read a ton on the subject and learned through personal trial and error as well as observation of other’s mistakes. I cracked the code. The MogulGrind path requires a mindset change (paradigm shift), stop sweating the home-run when base-hits can be just as effective in helping you win the championship. Investing early and often in the stock market and keeping expenses low, while building up your asset column is the key. The asset column will then fund your “fun.”
Each one teach one. If you’ve learned anything here or gained a little bit of inspiration, share this post with a friend. Let’s bridge the wealth gap.
One!
Money Mar
