PAY-YOURSELF-FIRST #1 step in Building Wealth!

Back to basic!

 The gate-pass to any investment is capital. In building your capital you should start  with saving.

As I wrote before to save is, income LESS saving before expenses. I know it sounds cliche' but repetition reminds us to instill this very basic step yet the foundation of building wealth . 

George Clason author of The Richest Man in Babylon stated "A part of I earn is mine to keep".  

You should pay attention first of your needs before anything or anyone else.

 If you learn to set aside for example 2,000 pesos every payday, 

for the whole year, you'll able to save 24,000 pesos.

 This savings you'll use now to build your emergency fund as the pre-requisite before you start investing.

 Emergency fund that saves you from getting into debt and pulling-out your investment early under circumstances. 

 At the end of the year, if you'll receive your bonus, you  can divide it in two parts.

 You can splurge the half and then save the other half as fund for your initial investment. 

In stock market, for as low as 5,000 pesos you can now start your investment.

 After you achieve your first year in saving diligently,

 start again your saving routine for next year. 20 percent of your income are recommended percentage you should a lot for  paying-yourself .

As you develop this habit you'll never thought that you're savings grow slowly as well as your investment.

 It's not about how big you'll start, the important here is the discipline no matter how small it is. 

If you continuously practice it, you'll be able to make it.

Start now. If you're looking forward to invest,

Save! Pay Yourself First!

6 ways to start Fattening your Purse

 As I began my march towards financial literacy, I read this very inspiring classic Financial Ebook "The Richest Man in Babylon" by George S. Clason. This book hitted my financial subconcious.
Its hard at first to accept the reality that I was living wrongly with my financial habits and beliefs. I struggled to change but then its no possible. Through this book I learned ways on how will I fatten my purse. 

Sharing you 6 ways to start fattening your purse.

       The Cure for a Lean Purse 

 1. Start thy Purse to Fattening 

  How you'll be able to fatten your purse? Arkad, the richest man in Babylon said that you should "Pay Yourself First". He stated that " A part of I earn is mine to keep".  We all know that to save is, after we get our salary what's left is our allocation for savings. That's the common practice nowadays. Every payday, you should take first 10 percent and set aside as your savings. You'll do this before you pay anyone, This is the right formula, INCOME - SAVINGS = EXPENSES. You have to practice it and make a habit, at the end of the day you'll be surprise that its doable. You'll be able to build an emergency funds out of your savings. Start it now. Its never too late. The percentage for allocating your budget may vary depending on your preference. Example are 10 percent for tithes,  20 percent for savings and 70 percent for your living. It's up to you!

2. Control Thy Expenditures

  Preparing your Budget is a must and you should always be mindful. How will you control your expenditure? Identify your needs over wants. You should list all your expenses even at the very small details to track your money. Some of us complains our income is not enough but the mere problem is our lack of discipline. You should learn the art of delayed gratification. If you can't afford your "luho", let go. Don't compromise to get into debt, plan instead. Save!

3. Make Thy Gold Multiply for a Profitable Investment

       It means growing your money. Saving is not enough because as inflation rises your purchasing power thus. What you need to do is invest. Allow your money to begets another money. We need to learn where to grow it. There are many investment vehicle to venture into. We can start a small business or learn a high-return investment like stocks, mutual funds and UITF. We cannot depend merely with our physical strength. Time will come we'll grow old and need to rest. So we must prepare and build a profitable investments to provide our expenses and sustain our lifestyle.

 4. Guard Thy Treasure from Loss

   Nowadays, scams are like mushrooms, popped-out everywhere! People are very attracted to lure into quick-rich scheme. Their false hope earning an instant bucks blinds them to assess the ligetimacy of their investment. There's no such thing as building wealth overnight. If you want to become wealthy you'll take the right pace of accumulating assets that gain profit in due time. To avoid scams armored yourself with Financial Education. If you have enough knowledge in handling your finances, you can never be fool by any scammer. Guard thy treasure!

5. Insure a Future Income

      In life, we can never tell the future. We don't know our safety everyday, even our job security. We must learn to plan ahead, specially if we are the bread-winner. We should insure ourselves, to save us from any uncertainties. Knowing that we're going to leave our love ones who are not ready to take care of their finances. There are different kinds of insurance according to your needs. Examples are insurance for  Disability,  when you're not able to get back to work, Critical Illness Insurance, that can help you in your hospital billings and  Life Insurance, since death is inevitable, this can provide and leave a huge amount to our family from our unexpected loss. We don't wish any misfortune but we should always anticipate emergencies.

6. Increase thy ability to Earn

      Learning is a never ending process. We should not be complacent to where we are now. If we are making less, we need to improve ourselves and learn a new ways of earnings. We should upgrade our skills to complement the new trend of making money. It's not about just working hard but it's working smart.  We have  many opportunities to earn, we just need to challenge ourselves to step-out from our comfort zone!

  " Go thou forth and practice these truths that thou mayest prosper and grow wealthy!" words of encouragement from Arkad.

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