Money answers all things!! Well, it doesn’t… There are some things whose void cannot be filled by simply possessing lots and lots of money, but still, having money is sweet.
Majority of the things we do as humans is just so we can lay our hands on money. It’s quite ironic that most people know how to search for money but not how to keep it when they eventually find it. This act of indiscipline has led so many into financial ruin that they may never come out from.
To ensure one stays far away from financial ruin, one has to learn how to manage his funds properly. Easier said than done? I know, and that’s why in this post I’ll be giving tips that can help in building a HEALTHY FINANCIAL LIFESTYLE.
BE PRUDENT IN YOUR SPENDING
One thing we should seek in our financial management is prudence. Money is something that should be kept with caution. The need to spend will always arise, but we should at every point in time stop to ask ourselves, is this thing I’m about to spend money on worth it? What do I stand to gain if I purchase this product? Does putting my money in this enterprise position me to get more?... If the answers to these questions are not favorable, we should do well to channel our money into better things.
Remember, if you don’t treat money with respect, it will leave you with no respect.
LIMIT YOUR WANTS AND PRIORITIZE YOUR NEEDS
Everybody wants to go to Malibu for vacation, go on a boat cruise, own a private jet, maybe two. These are wants, and they are good ones but you have to check if that’s what you really need. It’s good to be ambitious, “dream big”, but one should also be realistic. Look at your current state, what is it that you essentially need? Those are what you should prioritize.
ONLY BORROW TO ACQUIRE AN ASSET THAT WILL APPREIATE IN VALUE
One of the differences I see between the rich and the poor is that, rich people, most of the times, borrow so as to leverage their investments and increase their cash flow whereas poor people, most times, borrow to buy material things.
Just as having good spending habits is necessary, having good debt habits is also essential. Regardless of one’s status (rich or poor), not knowing how to properly manage debt can ultimately lead to an unhealthy financial lifestyle.
DON’T LIVE ABOVE YOUR EARNINGS
In Nigeria, we have a saying that goes like this – “No go dey do pass your sef”. What this means is that you shouldn’t pass your boundary, and I believe this too is applicable when it comes to finance management. We should learn to tailor our lifestyle according to what we can currently afford. With enough time coupled with careful decisions, we’ll be able to upgrade our earning rate and with that, our lifestyle.
That will be all for now. Is there anything you feel I should’ve included up there? Or you disagree with any of the points I just cited? Do well to drop a comment in the comment box.
Thanks for stopping by. Do have a great day!