The Money Management Skill Only a Few People Have
Climbing the ladder to riches is a very difficult task, and there are several pills to chew. A lot of people will say that money cannot buy happiness, but the truth remains that poverty cannot buy happiness as well but while money cannot buy happiness, it can give space for choices. While this is true, it is no doubt that the rich make a lot of mistakes and while some of these mistakes can be overlooked, so many put them in a position they hate for life.
One very big mistake I have noticed in rich people is that they want to live the rich people's lives. Being rich is having funds in assets and cash. Impressively, rich people are very careful about every penny they spend but they do not care about the expensive emotional purchases they make. This habit often makes a lot of rich people poor or regret they made those actions when money is needed the most.
Not being able to account for money being spent is another problem that the rich. Have you realized that there are a lot of wealthy individuals who do not check their budgets? Since they have a lot of money, they do not care about the numerous subscriptions they are signed into. High income does not mean wealth, it means you can utilize more opportunity.
Becoming rich or wealthy isn't a case of having one stream of income. I am not saying that the current job or work you are doing is bad, what I am saying is that you need to have a diversified portfolio. You need to understand that there is a need to increase your wealth in a less risky way and this can only be done by diversifying portfolios. Do not let your investment be in one place, it is better off when it is diversified than when it is in one place. If there is a financial downtime, one portfolio won't be enough to keep your finances going.
hello @gbenga ,
the ability to manage money is something that is achieved over time, with education and a lot of perseverance is that a person manages to acquire the habit of managing money, for many of us money is more related to the emotional but for the rich money is a resource that must be taken care of because it is limited.
Good one My professor. You hit it on the head. Thanks for your motivational
It is always a wise decision to have our streams of income diversified, the standard of wealth is often based on having several investments generating profit for the firm.
Yeah you are right. Not spending every penny but saving or investing, as well as keeping tabs on your way of spending. Thanks