My biggest problem about the upcoming changes to my life it was finding time to work.
Anyway, just two years ago I decided to turn things in my life and I started teaching myself about personal finance. I learned how to have a fiscal discipline in order to reducing debit and improve and sustain economic performance.
I tracked all my progress as I strove to be financially. It helped me maintain stability, and reduce vulnerabilities.
Usually people take about 1-3 years to get out of debt from the moment they began to take action. So, you need to start as soon as possible.
It’s now been about 3 years since I started learn about personal finance. In that time, I’ve built and tested my financial knowledges and gradually, from scratch, I began to build the foundations of a solid financial future.
Here’s what I’ve learned so far:
- Pursuing multiple goals at the same time.
- Boost your based income.
- Buy things you think are useful.
- Reducing expenses. Save a substantial portion of your income.
- Cut costs on the things that don’t matter.
- Adapt to changing consumer market.
- Doesn’t investing in anything without first establishing an investment strategy.
Let me now make a clear example:
Mike plan to spend several weeks across three different trips in Italy. He want to visit cities, Rome, Firence and Venice, cheaply. In order to traveling cheaply, he’ll be working from the road. In theory, get cash in jobs while traveling shouldn’t make your trip be too costly. But reality may be different.
Ps: Ill ‘suggest to read my latest article “How to save money while traveling“.
To make this happen, though, he’ll need to put all of his financial skills and resources to the test. To that end:
He has to cutting back on all non-essential expenses – E.g. he prefer to cut on books and comics and save money for travel instead. To better understand the real value of your saving, consider that two ebooks are one night in a hotel.
He getting started automating – Some of his income still comes in by paper check, but most of his income can be deposited electronically instead. I even follow this simple tips but I have to figure out how to pay bills, yet.
Getting yourself things - There are some works that he can do to save more money, two simple example are cleaning home or just gardening. Just as you can lose money by hiring a housekeeper, you can lose money by hiring a gardener. These are works anyone can do, after all, and people have always done in the past. But often we have not the time nor the inclination to prune and weed and mow.
Of course, there are other things that I could add about personal finance and how to build a solid financial future.
It’s time for many of you to preparing for change, so let me know what are your plans!
Image Credit: Di Vlastula
