Everyone wants to be rich. And everyone thinks getting rich is not an easy task. But getting rich is all about the small but right decisions that you take in life.
It is about how you save your money, earn at the same time, and keep your expenses lower than what you earn. Book rich dad poor dad has an interesting set of lessons about managing your finances and growing your wealth.
Getting rich is a slow process the simple steps taken today can help you in becoming wealthier in the coming years.
The following are the ways that can help you to earn a lot of money to fill up your bank account next year.
1. Setting up automatic savings:
One of the habits that separate rich from poor is savings. living a quality life is dependent on money to a good extend. You can only spend if you have money and the best way to spend is to spend from your savings rather than cash flow. When you study the patron of people in debt, one common characteristic is lack of savings therefore they are caught in a vicious circle of poverty.
2. Ask for a raise or change jobs:
Your starting salary is something that you cannot rely upon your whole life, therefore, ask for a raise. Keep negotiating every few years or start a new job. This will make a huge difference to your savings.
3. High yields saving accounts:
A checking account is something that might stop you from adding up your wealth. Keep only one month’s salary in your checking account for your monthly expenses. Once done, keep three months’ worth of expenses in the emergency fund. After taking out the money for necessary means, allow your checking account to overflow on the benefit of compound interest.
4. Invest in skills:
By investing your time in learning new skills, you are empowering yourself to step into a tech-competitive world. It is also happening today and those who do not have handy computer skills are already lagging behind. Learn computer skills, learn to freelance, and create good passive income treat.
5. Buy a rental property:
Living in a rental property for long is an investment for which you do not earn any return. Therefore, it is best to buy a rental property; you can earn enough to cover the mortgage and other expenses. Again, a continuous second income is key. You’ve got to make a good side hassle in order to afford a rental property.