Updated: May 12, 2021
Well, who doesn’t want to grow their money? Traveling across countries or driving a Ferrari going to a fine dining restaurant, and many more. Yes, these are the rewards you will get if you have reached your goal. However, things aren’t as easy as you think as climbing up requires struggles and consistency. Indeed, growing your money is the most challenging part that you will face in life.
Hence, here’s a question of the day:
How can we enjoy delicate things in life without having to worry about financial issues?
It’s a million-dollar question for everybody, including you. Because, if you are reading this page now, your income from your full-time career isn’t helping you out to achieve the ‘#lifegoals’ that you want.
Are one of these your current situation?
1. Your wallet and current savings are crying because of your high expenses killing them
2. Your job isn’t paying you enough
3. Current pandemic has affected your job hunting
4. You want to grow money but don’t know what to do
If one of these pain points (or maybe all of the above) hits you hard, this is for you.
So ask yourself this,
“How often you felt so done checking your current account balance just to realize your savings are barely surviving?”
As if you feel that you are getting poorer and poorer…
And it will come to a point where you will question how the rich can get richer in any situation.
Have you ever thought what are the primary keys that rich people always do?
Of course, there is always an element of luck in life, But most importantly it is their consistent attitude towards like that helps them capitalize on opportunities
Rich people have the tendency to invest for the long-term perspectives and do not get easily trembled by temporary situations. Rich people tend to think far because they are goal-oriented.
However, this doesn’t apply to just rich people. Because the great news is,
You can do it too.
As long as you are consistent, discipline, and dedicate towards the progress,
you’re good to go!
Here are the 5 Recommended Ways for You to Grow Your Money Realistically...
1. Get Out from Your Debt Cycle!
The most important thing that you should do before growing your money is to clear your debt. Imagine this way, your credit card interest is 25% yet you have your investment yields going well which is around 10%. Guess what, you will end up losing your 15% as well.
Many people often get out of their present debts by making more debts, diving into the financial troubles deeper and deeper. This is the biggest barrier to get rich, especially the debt cycle is your habit to allocate your money.
If you want to invest your money, 2 rules apply here:
First, pay off all high-interest debt as the compound interest will kill you
Second, Always prepare emergency funds for the rainy days. You can either choose to have 6 months of expense if you have a higher risk appetite or 6 months of Salary as your emergency funds.
Because the truth is, the investment will not make you rich overnight and in order for you not to make emotional decisions when investing ( which ends badly 99% of the time) You need to establish a strong financial foundation for yourself before you start investing.
2. Profitable Side Hustle
What are the skills you have that can possibly learn from the internet? In fact, there are so many side hustles that you can start today. Starting from affiliate marketing, sell products, manage social media for business, rent a room, online courses, and many more that will help you to earn additional income. In fact, this can be your main source of income if things are going well in the long run. Let’s say if you are proficient at languages, you can help those potentials who are keen to learn. Or if you are experienced in finance-related products, you can help more people to grow more money by learning from your courses.
Alternatively, you may want to consider learning courses first before you start your own side hustle too. Ironically, most people think learning courses it’s just a waste of money when it’s a long-term investment that doesn’t make you any losses as you gain knowledge from learning.
A wise man once said,
“Knowledge is the new rich, arm yourself with it.” - Toni Payne.
3. Never put All Your Eggs Into One Basket (But too many baskets is not a good thing too)
(Remember this: If you only rely on one resource, you will have to work for the rest of your life!)
Never worship into one specific investment. Instead, be open with various investment plans at once a.k.a diversification such as real estate, bonds, stock, mutual funds, or For-ex (depending on your budget). Diversification is like preparing an umbrella before it rains. It will definitely help you to gain profit / reduce losses in other investment plans if one isn’t going well. Because we will never know the times where the market is going against your favor.
And over-diversification will shrink your margins and not be able to yield the benefits of your winners! Striking a good balance is key.
4. Modify your investment strategy as life priority changes
As you grow older, your financial allocations will change too. It's like during your 20s, you will only think of dress to impress, but not when you hit your mid-30s where you start thinking how you can get that flat, lovely car, and many more.
At this stage, you must understand deeper your risk profile analysis to determine whether you should invest in high risk-high return or adopt a conservative approach that you’ve gained through your past experiences. This works the same thing for those who have never invested in anything before. Risk profile analysis is mandatory for every level, even professional investors are still required to conduct their own financial analysis.
5. Seek Industry Experts How to Grow Your Money
If you are a little calculative with your financial priorities and goals, it is strongly suggested to seek professional help to guide you along. Keep an open mind to the industry experts and what they have to offer as they have faced hundreds to thousands of clients and might be able to help you with valuable advice on your financial situation.