“Financial Freedom Is Available To Those Who Learn About It And Work For It”, this is a famous quote from Robert Kiyosaki. The first step to your financial freedom is to make a decision and start to work for it. The second step will be to start to saving money and investing those to assets which pay you instead of taking money out of your pockets.
Today I want to share my best tips which I have learned from the book or the hard way. Living paycheck to paycheck can be stressful and hopefully, my tips will help you to achieve better money skills.
Make a budget
You need to know where your money goes. You need to have a plan which guides your spending and saving habits. You can find good templates from the internet, just modify those a little bit to suit better for you.
Pay yourself first
On the payday, please pay yourself first. At least 10% of the wage and invest this money in stocks, ETF or etc. Also, set a personal goal, for example, I want to have 100 000 dollars when I am 50 years old.
Don’t buy the canteen lunch. Make a little bit more food day before the workday and eat this instead of expensive canteen lunch. Also, plan the whole week menu to avoid unnecessary purchases.
Buying a non-necessity
In every purchase think twice before buying. What comes to bigger purchases, it would be good think few days before buying and if there is something you really need (e.g. toilet paper), buy it in bulks.
Credit card debt
Pay your credit card off completely every month because the interest rates are very high (~20% ). If you have credit card debt you should pay it off as soon as possible.
Please let me know are you doing the same and what are your favorite saving tips.