People are often surprised when they hear the not too common story of the retiring lawn mowing man being a millionaire. “What the guy who drove that banged up old ute?” Yes, that guy. He’s worked his money by imitating successful investors and avoided costly mistakes that would see his money go down the drain. What are those costly mistakes you can avoid so you also can become financially savvy and retire wealthy?
- Financially savvy people don’t spend more than they earn. Live within your means and avoiding high credit card fees and interest payments. Using cash instead of credit helps you stick to a budget. Once the money has gone the spending stops.
- They don’t spend money without stopping to think. Financially savvy people question their purchases. “Do I love this?” How many times have you looked at an old purchase and wondered what you were thinking?
- They don’t waste leftovers, don’t let food expire, don’t eat out all the time. How many of you buy lunch every day? Cook a bit extra to take to work the next day. Use up all the food in the fridge and only purchase what you are going to need. Too many people have stinky fridge syndrome throwing away their money when their food expires.
- They don’t get sucked into get rich quick schemes. Most people aren’t handed financial freedom on a platter. Financially savvy people know that wealth comes through hard work and making good choices over a period of time.
- They don’t avoid necessary expenses. Meaning they get the car serviced because its cheaper to look after the car you have then buying a new one. They trim the fat but not the essentials.
- They don’t forget their financial goals. They make a plan and work through it to the end point. Even if they experience set backs they keep the ball rolling and get there in the end.
- They don’t let mistakes take them off track. Money skills are not common sense and the money game is something people need to learn to play successfully. Everyone is going to face a setback at some point but financially mature people learn from it and get back to their goals.
- They don’t use shopping to make them feel better.
- They don’t spend “bonus money.” Tax returns or surprise windfalls, like a decreased energy bill, are used to increase their wealth.
- Financially savvy people don’t overlook small expenses or find opportunities to reduce them. e.g. turn off the lights in empty rooms, reusable products, turning off the air con when they’re not at home.
Feeling financially free is a lot more enjoyable than financial stress. What points can you take on board today to be financially savvy?
If you’re facing financial hardship we are here to talk about a solution. Call us on 1300 887 211 or Book a Free No Obligation Phone Consultation with our friendly team and we can discuss debt management options specially focused on your personal situation.