8 unpleasant truths about money

Money is serious. This is especially evident when we see how much you have to pay taxes, consider the budget holiday or are making payments on a credit card.

Often we cease to perceive money as something real, stop to count them, and we catch up with financial difficulties. So some without even realizing it, accumulate huge debts and the lucky winners of the lottery, wasting every last penny, and learned to draw from an inexhaustible money source. If you do not realize what is happening, the trouble will not keep you waiting.

These rules of handling money can seem tough, but an adult should learn.

1. Nothing goes by itself. All you need to achieve

Journalist Farnoosh, Torabi, writing on the topic of personal Finance, put it this way: "We receive not deserved. We get what were able to negotiate."

The first step to getting what you want — a demonstration of interest. Want to get a job? Please send us your CV. Hoping for a discount? Ask her. My dream is to work on the project? Tell me about it.

Women can be particularly difficult to ask for what they want.

Among women is common following tactics: to come to a new place of work, without haggling about the salary, to prove their leadership competence, and then ask for a raise.

But this approach has a drawback. If you start with low wages, and the increase will be based on this small amount. You should always knock the best possible conditions.

Sometimes the employee has no leverage to trade. That's fine, but you need to think strategically. If you go to a new area, then ask for a raise once you learn and get experience. If wages are not rising, you may need to go pay more.

2. Your wealth is in Your hands

Many of the richest people in the world have earned the position. For example, the founder of Oracle, Larry Ellison grew up in a poor neighborhood of Chicago, and then created a company that brought him 49 billion. Or remember John Paul Dejoria, who at one time lived in the car, and then founded John Paul Mitchell Systems and has a fortune worth $ 3.1 billion.

It is clear that these are outstanding examples, but the idea is that the money from the sky did not fall down, and regardless of whether you want to achieve incredible wealth or simply not to think about how to pay the rent, a little financial discipline can not hurt.

To learn how to handle money from different sources, be it podcasts, books, or online courses.

3. Credit card is not money

There's a fine line: a credit card is a tool for spending money, not a source of funds.

If you go into the details, the credit card is a short — term loan of funds from the issuing company. And when you use it, it not just facilitates you a waste of resources, it also facilitates the out of them.

In any case, it should be said that costs no money is the worst thing you can do. It can be reflected on your credit history and cost you health because of the stress associated with the need to be responsible for this expensive debt.

4. Pension — Your concern

If you do not change habits and start to save for retirement, to the end of working age you'll just be without funds.

5. Investing is boring

As expressed by Sophia Bera CFP of the company, "investing should be boring; imagine that you are watching the grass grow".

This is the opposite view of investing, which promotes the popular media, as feverish activity, when one crisis follows another. This applies to those few who are in this industry works. For the simple mortals of the investment is to put and not to touch.

For example, after the analysis of the portfolios of 325 thousand users robocoaster SigFig found that the most successful investors have made fewer transactions.

To do this still have.

Some are moving from savings to investments too late. Do not make this error. If you do not start to invest, then your money will be eaten up by inflation. Because the interest on a savings account is always below it.

6. Someone earns more than You

Saw the list of the 50 richest people on earth? In order to be, we need billions.

Nothing wrong with the pursuit of wealth is not. And, if you want to be the richest man on the planet, that's great, too. But, if every story about a vacation or a new car of a colleague makes you worry, that's a problem.

Some demonstrate a higher level of consumption than can realistically afford. They do it to impress others, but it's not worth it: few people notice, what kind of car you drive or what clothes you wear, and even those who do are really all the same.

7. Money alone is unlikely to make You happier

Happiness depends on subjective perception, and money is not always possible to buy it. However, studies show that money can increase happiness up to a certain, albeit finite, limit.

Often that people began to receive lower wages, do not become less happy. For example, travel blogger Kristin Addis says she was happier, getting only 40% of his previous salary — she left the job in investing, where he made hundreds of thousands of dollars, and began to travel the world. Another example is the authors of the blog Goats on the Road, abandon a stable income for travel and became more happy.

Maybe traveling the world is not your path, but somewhere in there is yours!




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8. No one except You, Your money will not be taken care of

It's worth remembering. When you understand this, you will take responsibility for financial decisions, and more no one of you will not solve. The result will be a feeling that you are in control of your life.

Yes, there are lots of different professionals who can help you, but none of them will take care of your vehicles just like you.



P. S. And remember, only by changing their consumption — together we change the world! ©

Source: insider.pro/EN/article/89034/


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