Personal finance is one of the many essentials needed to fully take charge of your life. As an upcoming entrepreneur, knowing how to balance your money is important for your long term success. If you hold onto your beliefs of spending money unnecessarily and unwisely, when your income increases you wont have the proper knowledge to put your money to work. The basics to effective personal finance management include assessing your income and expenses. Setting short and long term goals for savings and investments. Creating a detailed plan for what will be done to achieve your financial goals. Executing the necessary steps to achieve your goals for your finances and consistently reviewing your financial status to ensure your on the correct path. Diligently following the steps above will place you in a better position to fully grasp and control your finances.
Article BY: Vedran Vuk
Through reading Robert Kiyosaki’s books such as “Rich Dad Poor Dad”, “Prophecy”, and “Cashflow Quadrant”. A house is a liabilty it does not place money into your pockets. If you turn your home into an investment property where you rent out your free space, it becomes an asset. With that said, it’s important that we as a society know the difference between the two. Increasing our financial IQ will prevent another housing boom-bust and prepare you for future investment opportunities.
For those that don’t want to enter the field of business and entrepreneurship, becoming rich is still well within their reach. Knowing how to save and manage your money is the first step. Th second step would be knowing where to put your money. Compound interest is very powerful if used correctly. More videos on understanding compound interest will be put up soon.