How to Prevent Money From Slipping Away?
Posted on December 23, 2015
It is important to be honest and realize that money management can be quite slippery. In fact, the money itself will easily slide out of our hands before we realize it. In reality, spending money isn’t the actual problem. The problem is we can’t hold on to it for long enough and what give us the most grief is when we spend our money without thinking. It is important for us to know how to deal with the slippery money. One of the more important things we should do is to take responsibility. After working so hard, people think that they deserve tons of happiness and full of nice things. In reality, if we want to change our quality of life, it is important for us to properly save money. If we want to prevent money from slipping away, we should take a responsibility.
We should know where, when and how we spend our money. These questions should be quite obvious and we don’t need to hesitate to properly answer them. We should be fully aware of our spending habits. To avoid money from escaping from our wallet, we should pay ourselves first and put the money in savings account and various investment platforms. This isn’t a selfish thing to do, in fact, we will be able to save more money. As an example, we could take about ten percent of our entire earning for savings and investment. After ten years, we will be able to start enjoying this. Parents should introduce good money management at young age and this will allow children to avoid losing too much money.
Another thing that we should be aware of is that we need to give before we get. We won’t get a tree full with sweet fruits if we don’t plant a seed and the nurture it. We will never be rich if the money we save isn’t allocated for various worthwhile investments. As time passes, our requirements for money will also grow and that’s the same with trees. Our dreams can come true if we have the patience, sacrifices and patience to do specific things. We may need to sacrifice tons of enjoyment and time with friends in order to make money, so we can save more and allocate more money into investment platforms. By giving our time and effort, we will be able to contribute and achieve things that we want in life. In general, it is important for us to do things that we should do to make our lives better financially.
To avoid losing money unknowingly, we should understand about the concept of opportunity cost. It means that when we make one choice, we will likely give up another. In this case, we could face various situations and we may need to deal with delayed gratifications. Each dollar we spend could mean that we have given up other things. We should be aware that we need to sacrifices the pleasures of the now and think about financial security in the future. Instead of allowing money to slip away through liabilities, we should put them into assets, so they can become money makers, instead of being sucked by money eaters. The majority of our excess money should be allocated to money makers. If we do want a better life in the future, it is important for us to save more money today.