Your Seven-Step Game Plan to Reach Your First Half-Million
So you want to be a millionaire. And with your killer drive and professional achievements, there’s no doubt you’ll get there in due time. Up first: Aim to save $500,000. Cutting your goal in half will put you in the right mindset and allow you time to ace the habits and skills you need to join the millionaire’s club.
Here are seven tips to help pave the way:
Fifty-two percent of wealth accumulated by millionaires comes from earned income. In fact, the majority of millionaires save, on average, at least 20% of their income.
Educate yourself on entrepreneurship—and network like it’s your job. Millennial millionaires are more innovative and entrepreneurial than older generations. They’re 3.4 times more likely to be serial entrepreneurs, and 5.6 times more likely to have achieved massive gains by taking bigger risks.
The sooner you get rid of student loan and credit card debt through student loan refinancing or a personal loan, the quicker you can put your hard-earned dollars toward growing your nest egg. For instance, if you invest the $316 monthly average SoFi members save by refinancing their student loans, at a 6% return, you’ll accumulate nearly $52,000 in 10 years.
Investments, in general, account for 32% of the wealth among millionaires. And 86% of millionaires saw their largest wins by using buy-and-hold strategies.
Because time is on your side, you can better weather the ups and downs of the stock market than, say, someone who is nearing retirement. If you’re in your 20s or 30s, invest 80 to 90% in stocks, and 10 to 20% in bonds.
Source: John Foley, President, SoFi Wealth
If you make $150,000 a year and save 13% ($19,500) at a 6% annual return, you’ll have about $257,000 in 10 years. If you get a 3% annual raise, and save 13% of your new income each year at a 6% return, you’ll have about $290,500 in 10 years. However, if you invest that 3% raise plus 13% of your income, at a 6% return you’ll have about $514,500 in 10 years.
Consult an experienced financial advisor to help you strategize and manage your wealth. Active management of your portfolio will ensure your nest egg is growing in step with your personal goals and time frame. Sixty-two percent of millionaires work with a financial advisor, and 55% like their advisors enough to recommend them to their friends.
Your (Ridiculously Easy) Financial To-Do List Illustration: David Wyffels
Why It's Important: You know the big-ticket expenses in your life, but all the smaller spending can also be a killer. Take a look at your monthly outflow, and I guarantee you will have a few "Yikes, I had no idea" moments.
Do This Now: Gather up your bank and credit card statements. Then go to my website, SuzeOrman.com, and click on Suze Tools to find the expense tracker. Input your average monthly expenses, and get honest about where your money is going.
Please note: This is general information and is not intended to be legal advice. You should consult with your own financial advisor before making any major financial decisions, including investments or changes to your portfolio, and a qualified legal professional before executing any legal documents or taking any legal action. Harpo Productions, Inc., OWN: Oprah Winfrey Network, Discovery Communications LLC and their affiliated companies and entities are not responsible for any losses, damages or claims that may result from your financial or legal decisions.
Original article and pictures take static.oprah.com site
And right now you’re all sitting there thinking ‘But Sarah if you hate math so much then how the heck did you end up working in finance and writing a blog about money?!’
You’re not wrong to be a little confused, but let me try to justify my life choices.
For as long as I can remember, math was always my least favourite subject in school. I struggled through, but my brain just wasn’t built to comprehend algebra and trigonometry. I have memories of my engineer (aka math brain) Dad attempting to patiently walk me through my math homework and me having multiple meltdowns because he didn’t do it the same as my teacher. That’s how math brains work; they can just figure out complicated problems. For me, it was more about memorizing steps than ever actually understanding what I was doing.
I went to University without having a clue what I wanted to do for a career and made it through my entire four year Bachelor of Arts degree without any more clarity on the subject. I did what I could to avoid taking any math classes, and ended up in a stats (aka easy math) class to check that requirement off my transcript. My major in University was history, clearly the path of someone who knows exactly what they want to do with their life, and I loved it. I discovered that writing is my jam, and I can seriously rock an essay (oh…there’s the blogging tie-in). I might think that a two mid-term, all multiple choice class is like winning the lottery but in actual fact, the more writing there is, the better I’m going to do.
Falling into finance…
After I graduated, it was time to start looking for a job. I still didn’t know what I wanted to do with my life. At that point I planned to work for a few years and then maybe go back to school and get my graduate degree in, you guessed it…history! I had worked admin jobs in the past and figured that was as good a place as any to start the job hunt. I applied for a bunch of jobs and accepted the first one I was offered, which just happened to be at a financial advisors office. And as they say, the rest is history.
When I look back at the past ten years, I’m still surprised I ended up where I did today. It all just sort of fell into place. Most importantly, I enjoyed the work and was good at it. Less importantly (but still a factor), I hate the job hunting process so there was very little that would have made me change paths. I can count on one hand the jobs I’ve held since I started working at 14. I am so not the typical millennials in that regard.
The fact that I started out in an admin position was beneficial for me. I was able to do things I was already comfortable doing, while at the same time learning lots of new things and understanding how the business worked.
There was one distinct moment when I realized how much I was picking up from my new finance job. I was chatting with my parents about work and mentioned TFSA’s. They looked at me confused because they had no idea what I was talking about. I was shocked. My parents are savers and have been investing since before I was born, but they didn’t know something that came up almost every day at my office. After giving them the rundown, I thought, hey, I know more about this than I thought….maybe I could do this as a career.
There’s more to finance than math…
I’ve held different roles with different responsibilities, but there’s been one constant. My job may be in finance, but complicated calculations are very rarely a part of my life. This isn’t the case for all positions, but that’s kind of my point. If you are a super math whiz and want to run numbers all day long, there is absolutely a role for you. If you’re like me and would rather work with people and solve non-math related problems, it’s totally possible.
This doesn’t just relate to my job. Money is a part of almost everything we do. Even if you’re not handing over your credit card to make a purchase, you might be walking your dog on sidewalks your tax dollars paid for, or watching Netflix that your parents pay for. As they say, money makes the world go around. That’s why it’s so vital to put aside your hatred of math and build your relationship with money on your terms.
Hating Math is Not an Excuse
Have you ever heard anyone blame their poor money habits on being bad at math? I have…and then I’ve ranted. You do NOT have to likeor be good at math to be rich. All it takes is spending less money than you earn. That’s not math; it’s common sense. Plus, there are so many automated tools available today that will take care of all the math for you. If you can type on your phone, iPad, or computer, you have all the skills necessary to maintain your budget and save money. (To get my budget spreadsheet for free just sign-up for my newsletter. It’s super simple and does all the math for you.)
If you’re having a hard time getting past the numbers, then relate your spending and saving to something else.
“If I cut my daily Starbucks habit down to every other day I could afford a vacation every year.”
“I could buy these shoes, or I could save the money and retire a little bit earlier.”
Leave the Numbers to the Pros
Know what you’re good at it and don’t be afraid to delegate the things you find challenging. Usually, when we think about delegating, we think of assigning responsibilities to a co-worker or hiring someone to clean our house. It doesn’t have to stop there though. Taking advantage of technology is also a sort of delegation. There are apps out there that track your spending, remember your passwords, plan your vacation, and even remind you to drink water. No one ever said you have to do it all;you just have to find a way to make sure it all gets done.
Don’t want to keep track or your budget? Download an app like Mint to do it for you. Not sure how to get started with investing? Try out a robo-advisor that will do almost everything for you. Just last week I wrote about how many millennials are scared to invest, but they shouldn’t be. Whether you hire a financial advisor or use a robo-advisor, there’s no reason not to invest and many reasons for it. Spend your time focusing on the parts of finance that you enjoy and find ways to be hands-off with the elements you hate.
Still Think You Hate Finance?
Maybe you’re sticking to your finance-hating guns and aren’t entirely sold on the idea of embracing money management. Let me give you a few examples of why I think finance is so amazing (and because GIFs make everything better)…
There is almost no better feeling than paying off the last dollar of your debt. Not there yet? Stick with it! You’ll be dancing a serious happy dance when your debt hits ZERO.Hitting the ‘Book It’ button on a vacation after saving up. Trust me, going into debt to travel does not feel the same as being able to pay for it in cold hard cash.
Have you ever bought something and instantly knew it was a bad idea? Having a budget will give you the freedom to spend money but never have regrets about affordability. I can’t guarantee you’ll never make a bad purchase (mall mirrors make everything look good), but you won’t have to worry about paying your rent because of it.
Eliminating the money-fight. Couples fight about money more than anything else, and for good reason. Floundering in debt, conflicting spending styles, or large income gaps can be crazy stressful. Communicating and getting on the same page about your finances makes for a happier relationship.I hope I’ve convinced you that personal finance isn’t limited to math whizzes. It’s all about making use of the tools available and finding your own twist to keep things interesting. No math skills required.
Which side of the spectrum do you fall on? Total math pro or avoid it at all costs?
Do you dream of becoming financially stable, independent, and to quit worrying and stressing about money?
Having multiple bank accounts can help you save for the future and achieve your goals. We use 4 bank accounts and love this system!
Do you want to purchase big things in the future? Or do you want to increase your savings? And make sure your bills are always taken care of with no worry or stress?
I am a strong believer that money does not equal happiness, but it can definitely be used in great ways to provide a more comfortable life for your family. And it can do powerful things when put to good use.
A great way to get to financial stability is by using the 4 bank account system.
Let me explain…
The 4 Different Bank Accounts You Need
1. Bill Pay Checking Account
Add up all your bills over the course of a year – everything from electric bills, property taxes, homeowner’s insurance, mortgage, cell phone bills…
Add everything up and add a little extra for wiggle room, then divide by 12. This is the amount you need to be transferring to your bill pay checking account each month.
You can break it down into a weekly transfer, bi-weekly transfer, or once a month – just make sure the whole amount gets put in there.
And then when it comes time for all those bills to be paid, the money is right there and ready to be used for that exact purpose.
I would also highly suggest setting your bills up on auto pay and having them draft directly from this account. Of course, you still want to keep up with the bills and make sure you are being charged correctly, but this will make sure every bill gets paid on time and you don’t accrue late fees.
Having multiple bank accounts can help you save for the future and achieve your goals. We use 4 bank accounts and love this system!
2. Regular Checking Account
This account is for everything else – unless you want to take this system a step farther and create additional accounts for things like groceries or hobbies.
Separating bills from everything else will give you an easy, in-your-face, image of how much money you actually have for everything else after bills are paid. And bills get paid first. Isn’t life grand?
Having multiple bank accounts can help you save for the future and achieve your goals. We use 4 bank accounts and love this system!
3. Savings for the Future Account
This is a savings account for emergencies or just savings for the future.
Once you figure your bills and how much you will need for groceries, gas, misc spending, etc., decide on an amount you can transfer each week or monthly to this account. You can even set up auto transfers on your online banking so you never forget!
This money should not be touched unless it’s an emergency (like a real emergency!)
4. Savings to Spend Account
If you have a large purchase you are wanting to make, start saving in this account for that. Think of this money as I’m saving to spend this on this one really big thing, like a new car, four wheeler, or a big home improvement project.
This account is you working hard to reach your goals, and not depending on loans for things you want.
Having multiple bank accounts can help you save for the future and achieve your goals. We use 4 bank accounts and love this system!
Additional Account Ideas:
Depending on your specific dreams and desires, you could also create an account for home improvement projects, hobbies, a separate business account, etc.
The idea is to make your money work for you, to tell it where to go. From my experience, if the money sits in one account, it’s going to be spent. And at the end of the day, I probably wouldn’t be able to tell you where it went. I don’t like that! I like to know my money went here for this, and I saved and got this.
Take a look at your bank accounts and see how you can change things up to make this system work for you.
Everyone is different and has a different money situation, but everyone is capable of doing their very best and making their money work for them.
Using this system will allow you to feel the relief of knowing you always have money for your bills, you can increase your savings, and save up for large purchases. This has seriously been life changing for us and I can’t wait to hear how it helps you reach your financial dreams and goals.
Having multiple bank accounts can help you save for the future and achieve your goals. We use 4 bank accounts and love this system!
Go chase your dreams! Keep at this and never give up on yourself. You can do this!
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Original article and pictures take www.thelittlefrugalhouse.com site
The cash envelope system is a budgeting method that works. If you say it will not work for you, it means you did not try doing it the right way.
Whether you are getting out of debt or not, you can probably use some help in making sure you control your spending.
Contrary to what many people say, the best way to do this is to use cash. If you are trying to get out of debt, this is the next step you need to follow! This is why it is so important to use the cash envelope system.
If you are just learning about budgeting, you will want to check out our page — How to Budget. There, you will learn everything you want to know about budgets and budgeting.
THE CASH ENVELOPE SYSTEM
WHY A CASH BUDGET?
Cash is King!! I say this all of the time because I truly believe in this. When I bring up using cash, the first rebuttal I get is “If I have cash, I spend it far too easily.” I do not agree with this statement at all. The main reason that people fail on a cash budget is lack of tracking what they spend and assigning it a task.
When you have only $200 for groceries and you also know that your cash must last for 2 weeks. It forces you to think twice before you buy that extra item. Using coupons you can usually spend less. However, cash still helps you spend less money.
CASH ENVELOPE SYSTEM CATEGORIES
Getting started using the cash envelope system is pretty simple. To begin, look at your budget. The following are cash envelope categories you should consider using:
Groceries
Clothing
Dining Out
Hair Cuts/ Beauty
Doctor Visits
Random Spending (which is your spend as you want – only if you can afford it)
Medicine
Doctor/Dentist Visits
You will notice that I didn’t include gasoline in my list. The reason I didn’t is that most people won’t overspend at the pump. Most of us just fill up our tanks and go about our merry way. You also don’t drive around and burn fuel or decide to fuel up because your neighbor did. This is a budgeted item, but not one where you might spend above your budget. Not only that, it is usually much more convenient to pay at the pump.
CASH ENVELOPE SYSTEMS TEMPLATE
When it comes to an envelope system, you can purchase an envelope system as sold by Dave Ramsey or you can just use the envelopes in your desk drawer. I’ve even got a cash envelope template you can use as well (this template was free for a limited time, but now is available HERE for $2.99).
HOW MUCH CASH DO I NEED?
One you have your categories, you have to determine how much cash you need for each category. You will figure the amount based upon your pay period.
For example, if you are paid every two weeks, take the total monthly grocery budgeted amount and divide it by 2. This tells you how much money you will need for each of the two pay periods for that month. If you want some help doing this, you can scroll down on our Budget Worksheet Excel form and there is a little template you can use!!!
Next, review, each category you will use cash for and figure up the amount you will need. Once you have done that, you will also want to figure out how many of each denomination of bill you will need. List the total amount, by denomination, on a piece of paper. Take that, along with a check from your account for the amount, to the bank. You will make a withdrawal and then split up the cash into each envelope.
Let me simplify this for you by giving you an example:
MONTHLY BUDGET
Groceries – $500
Clothing – $100
Random Spending – $80
Doctor – $50
Dining Out – $100
MONTHLY BUDGET DIVIDED FOR BI-WEEKLY PAY
Groceries – $250
Clothing – $50
Random Spending – $40
Doctor – $25
Dining Out – $50
Total cash needed: $415 per pay period
Now that you see what you have budgeted to spend on each category each pay period, you need to determine how many bills of each denomination you will need to get from the bank. Using the same example above, here is how you will do that:
Groceries – $250 —- 3 $50 bills, 5 $20 bills
Clothing – $50 — 2 $20 bills, 1 $10 bill
Random spending – $40 —- 2 $20 bills
Doctor – $25 —- 1 $20 bill, 1 $5 bill
Dining Out – $50 —- 2 $20 bills, 1 $10 bill
Finally, write down the total of each denomination you need onto a piece of paper and give it to the teller, along with your check, so that he/she knows who to break down the cash back:
3 $50 bills
12 $20 bills
2 $10 bills
1 $5 bill
FILL YOUR ENVELOPES
When you get home with your cash, sit down with your envelopes and put the amount of the deposit into each one. Then, write down the amount of your deposit on the envelope. Now, you are ready to shop using your cash envelope system (grab your cash envelope template below).
TRACKING YOUR SPENDING
In order to truly make this system work, you will need to write down every. single. transaction. I am not joking. Doing this can help you stay on track and you also have to account for everything you spend.
When you spend $20.17 at the grocery store, make sure to deduct that from your total. You can jot it down on the outside of the envelope, or keep a paper inside with the cash for you to use to track it. If you use the envelope template above, there is space provided for you to do this. Make sure you also always update your running balance after shopping. This way you are able to see how much money you have left to spend.
If you prefer to do this method electronically, you can use You Need a Budget. Instead of individual envelopes, you actually set up electronic ones instead. Then, as you shop, you make a note in that envelope and have a new total to spend for that category.
WHY THE CASH ENVELOPE SYSTEM WORKS
The reason why the cash envelope system works is pretty simple. Accountability.
When you have to make yourself accountable for your spending, you are taking control. It also will help you spend less. If you only have $100 to spend on dining out over the next two weeks, you really think twice about ordering take out 3 days in a row. When the money is gone – you are done spending!!!
It isn’t completely about cash. It is learning self control. That is the one thing everyone will learn in going through this process. Cash enforces this way of thinking. You will quickly learn to love using cash and you will feel more in control of your finances.
Cash also has more emotion attached to it. You don’t think about the consequences of a purchase when you swipe a card. However, handing over that cold, hard cash sometimes hurts. You do really think about each purchase a bit more.
We’ve been doing this for so long that I don’t know how to shop without my envelopes! It is routine and it helps us always know, in a matter of minutes, how much money we have available for the things we need.
Original article and pictures take www.pennypinchinmom.com site
I’ve never been a big fan of a lot of personal finance books because I always felt that many of them just spew out a lot of terminology, which mean I would get intimidated.
Actually I’m pretty sure I’m not the only one that feels this way. Which is really refreshing to see that there are a few people out there who not only talk about the importance of getting your finances together, but in such a way that talks about the why.
Jason Vitug’s book “You Only Live Once” does just that, where it goes over a pretty good outline on how to create a vision for your life, and using sound financial planning on getting there. He calls this “financial wellness”, which I think is pretty fitting.
How to Book is Laid Out
The book is laid out into four parts:
On the Road to Financial Wellness: Here you get to read about why financial education is important, and how it can really improve the quality of your life. Here Jason talks about the ACT (awareness, creating a plan, taking control) process he suggests to help you get financially savvy
Awareness: This part talks about why it’s important to create a vision for your life and the idea of being mindful with your finances
Creating a Plan: These chapters go through how to create a budget, and how it can help you achieve your life goal.
Taking Control: This part gives you different systems to help you take even more control of your money, such as how to make more money and mindful spending methods.
Mindfulness and Financial Wellness Goes Hand in Hand
I’ve always advocated to many that we need to figure out what it is that we want out of life in order to be able to get the ball rolling on our finances. I’m so glad to read that Jason feels the same way, and he explains the importance of this to the reader in a way that it’s not intimidating at all. And to be honest, that’s the last thing we need, right? For people to feel even more intimidated when talking about personal finance, only to shy away from managing their finances.
Through the book, the idea of mindfulness is stressed. Why is that? Because whether or not we want to admit it, we tend to waste time and resources. This can be in the form of buying a lot of things we don’t need or want, or feeling like we can’t afford something, and not taking the time to really figure out a plan to get those things.
I kept an open mind when reading this book, even though I knew most of what Jason talks about in the book, such as creating a vision for your life (SUPER important) and creating a plan. I was surprised to find out though that I was still afraid of the word “budget”. Now you’d think that for someone who has been debt free for over 6 years and managed to save at least 50% of their income, that I had one. Nope.
But now that my personal life is different, and I’m working towards a goal of early retirement, I want to see where I can be even more mindful with my spending and incorporate more financial wellness into my life. And if that means creating a budget and having even more conversations with my husband about where we best spend and save our money. I really like the way Jason outlined different types of budgets and how I need to rethink budget as simply a plan, and not something that restricts me.
And if there’s only one thing you learn from the book, is that being mindful of your actions leads to a more purposeful life. I hesitate to say happy because your mood can change, but when you feel like you have purpose (notice I didn’t say a purpose, which is different), your overall quality of life is improved. That’s what financial wellness is all about.
And how can we be more mindful? The book goes over quite a bit of that, with some action steps along the way. The main thing is to really question how you’re saving and spending, and whether or not that fits into the vision of your life.
How I Suggest You Read This Book
If you’re just starting out on your financial journey, I don’t suggest you read this book all at once. I would recommend reading the first three chapters, stopping and taking the time to really investigate your values and what it is that you really want out of life. The reason is that this part is scary enough, and if you jump right into planning, you’re going to find that executing your plan is not going to happen (trust me, I’ve been there).
And I suppose if there’s one criticism I have about the book, is that even though there is an emphasis on working towards a vision, there isn’t a whole lot of specifics on defining those values. Yes, it provides guidelines and some questions, but I think something like more questions to really get specific, like what kind of experiences and situations get you really fired up? Or what would you do today if money were literally no object? And why would you choose to spend your money on that (that really defines your values!)?
After you figure out your vision and how you want to be more purposeful, reading the rest of the book is easy. I plan on going back over parts of the book with my husband, honing in on our vision and creating a lifestyle spending plan (sorry, still hate the word budget) that works for us, including simplifying our money even more.
If you’re looking for a book that not only can help you get your finances in order, but your life, definitely get this book. Even if you’re on the way there (like I am), you’ll still get some useful nuggets out of it.
What To Do When You Realize Frugality Won’t Make You Rich
There it is again, that dirty little “F” word, Frugality. If you’re a regular reader, you already know that we embrace a frugal lifestyle and actually have fun with it. But frugality isn’t for everyone, and it’s not enough to enable you to achieve financial independence. We use it as a piece of our overall money plan, but we do not pretend that it doesn’t have its limits. In short, frugality just isn’t enough to make you rich.
Frugality Takes Time
Making the decision to incorporate frugality into your life can be done in the blink of an eye. Practicing frugality, on the other hand, can be quite time-consuming. As with anything else, frugality is a continuum scale ranging from uber frugal all the way to not very frugal. And if you tend to reside on the uber side, you likely already know how quickly time can slip away in an effort to save a few dollars.
Picture This: You just spent the last two hours trying to decide which laundry detergent to buy in order to save 50 cents. Now don’t get me wrong, I am all for saving 50 cents. I just don’t want to devote hours of my time agonizing over such a purchase.
Even if you do optimize most of your purchases in a manner that doesn’t capitalize all of your free time, there is still only so far frugality can carry you towards financial independence before you need to incorporate other means.
Frugality Plays Well With Others
Short of winning the lottery or an unexpected inheritance from some long-lost relative, the other means I’m referring to is increasing your income. Frugality combined with a higher than average salary is the dynamic duo most people use to reach a staggering savings rate and, ultimately, financial independence.
These days, the Internet tells us that a staggering savings rate is 50% or more of one’s personal disposable income. I know that might sound unbelievable unattainable to some of you. And that’s okay. Just keep this in mind, according to Investopedia, the national savings rate in the U.S. last year was a paltry 5.5%. Based on that sad statistic, if you’re able to get your savings rate into the double digits and keep it climbing instead of declining, you’ll probably end up a millionaire long before your government assigned retirement date. Now that should get you excited!
The bottom line is this, unless you’re already a successful investment banker, frugality, alone, will not catapult you into the exclusive Financial Independence Club. You’ll need to incorporate it into your overall money plan to get the most out of it.
You might also enjoy:
Earn More Money
So, when you reach the end of penny-pinching and coupon-clipping, you’re going to need to increase your income to keep your net worth trending upwards.
Lately, everyone talks about how great side hustles are, and I agree! But, they’re not the only route to bringing in more dough. And let’s face it, the thought of a side hustle on top of a full-time job and a busy family might be enough to make you want to pull your hair out.
But, don’t panic just yet. Increasing your income might be as simple as asking your boss for a raise. But if you do go this route, just make sure you actually deserve a raise and you present your case succinctly with data to back it up.
If, however, you don’t think your boss is going to acquiesce to a raise request, check out a few more options below. And yes, one does include side hustles. Feel free to embrace it or roll your eyes and keep reading.
Options To Earn More Money:
Ask For A Raise – This is possibly the easiest route to increasing your income and reaching your financial goals.
Complete A College Degree Or Get A Higher Level Degree – Make sure you check with your employer to see if they offer tuition reimbursement! Mine did. 100%!
Take Another Position With Your Current Employer – Check your company’s postings often and let your boss know you’re looking for more experience and responsibility. Network! It’s probably the single best thing you can do at work.
Start A Side Hustle – Side hustles can be entrepreneurial or just standard second jobs. They can range from driving for Uber to pet sitting or starting a blog! The choice is yours.
Other Posts That Might Be Up Your Alley:
Our Path To A Staggering Savings Rate
Mr. Mad Money Monster and I have been extremely fortunate to have attained graduate degrees with very little debt. In fact, we both earned our graduate degrees for free through employer-sponsored programs. The only student loan debt we incurred was for our undergrad degrees.
Just by chance, we both found ourselves in higher-than-average-paying careers. Now we certainly aren’t making investment banker money, but we can’t complain – and we don’t. From our perspective, we live in a perpetual state of gratitude.
Thanks to our degrees and generous-paying jobs we have the “Earn More Money” covered, but we don’t earn so much that we can turn our backs on frugality, either. We must still incorporate frugality into our overall financial plan if we want the option to retire decades ahead of schedule. So we do. And we enjoy it.
Live A Balanced Life
Mad Money Cat is a male supermodel #millionairekitty #nofrugalityneeded
So what do you do when you realize frugality, alone, won’t make you rich? You stop depending on it to solve all your financial woes, but you don’t turn your back on it, either. You use it in its extreme form or in moderation. Either way, you incorporate it into your life in accordance with your values and goals.
Ultimately, if you earn as much as you can and only spend as much as you need, you’ll reach your financial goals long before you dreamed possible.
How do you feel about a frugal lifestyle? Have you embraced it? Or, do you choose to focus solely on earning more money?
