A recent study by Capital One revealed 73% of United States citizens rank finances as the #1 source of stress in their life. Two large attributing factors include living a consumption-based lifestyle greater than income earned and ignorance towards wealth creation. Both factors are corrected with a plan, discipline, and action.
What is stopping you from creating goals in basic financial areas, and, what’s stopping you from working on these goals daily, weekly, monthly, and yearly? 73% of people in the U.S. need to act and begin eliminating the negative stress caused by finances.
Basic Financial Areas to Plan & Pursue Growth:
- Personal Budget: Where are you spending your money? Have you created a detailed personal budget that shows your income versus your expenses? What are you spending weekly, monthly, and yearly? Are you saving money each month or living beyond your means?
- Savings Plans: What important items do you need to develop long-term financial goals? Examples may include a new home purchase, college tuition, vacations, retirement, and emergency funds. How much do you need to save monthly and yearly to hit these goals? How will you create routine and disciple?
- Investments: How can you develop a plan to invest and diversify your money to take advantage of compound interest and long-term growth? Small amounts of money can turn into large amounts of wealth over time.
- Debt Plan: What payoff plan or tool can place you on a path to pay off your debts? Are you able to create and accomplish a plan on your own, or, do you need to seek support from others?
- Additional Revenue: Savings are important, but increasing revenue is essential for achieving financial goals. What skills, passions, and interests can you utilize to create another source of passive revenue other than your current job? What skills or training can you learn to achieve a higher paying job versus your current role? How can you utilize using other people’s money to facilitate growth?
- Taxes: What knowledge can you learn to make taxes work for you, and, not against you?
You can learn valuable information about each of these financial topics by researching the internet, reading books, or participating in wealth management workshops. If you have the means, hire a qualified financial adviser who has expertise in the areas you wish to grow.
Many experts suggest following a 50/30/20 rule. 50 percent of your monthly income should go toward necessities, 30 percent should go toward discretionary items, and 20 percent should go toward your savings and investments. How do you know if this rule will allow you to reach your long-term financial goals? Is this too much, too little? You must research your goals, define the questions you need to answer, seek advice and knowledge, and start living your plan.
Have you started planning for your financial future?
Live The Pursuit of Growth