The Reason Why You Don’t Have Money
It’s not because you don’t earn enough
Money is one of the most controversial topics on this planet. It occupies almost anyone’s mind; doesn’t matter if the one’s relationship with it is good or bad.
You can have any opinions you want — but, unless you live in a cave, completely distanced from the modern world, you will need money.
It’s the fuel of humanity; the reason we want to spend the rest of our lives with someone; do the work we hate; destroy everything. Its energy is extremely powerful, whether we want to admit that or not.
The most important question is — how can we have a positive relationship with it?
Setting Your Priorities
This one is pretty simple: if you never dive deeply into this topic, you can’t know what you want.
Your perspective of money will be created by the media, celebrities, and other distractions of our world. You will imagine wealth as millions, something unreachable.
Because of it, you’ll be locked inside the mind prison — thinking that you’ll never have enough money.
But the truth is — most of us don’t need private jets, $10MM+ mansions, and supercars to be fulfilled. We want to travel, feel secure, spend time with our friends and family; being able to buy stuff we really need when we want to.
But we don’t know that. We can’t value that; we don’t appreciate what we already have, or what is pretty close. We dream about something in the distance and hate the current version of ourselves.
Take a piece of paper and a pencil; write down what you want to have. Think many times about it, and remove all the noise out of your mind.
Investigate deeply, and have a list of something you really want, what really makes you fulfilled!
People can have everything and still be unhappy if they don’t have their priorities clear; or have almost nothing and be deeply fulfilled. It’s all about the priorities
Remove the Invaluable Stuff
Now that you know what you want, let’s observe what you have — and don’t want. Let’s see what you spend your money on.
Observe your spendings in the upcoming month. Track everything, no matter how small the amount is.
At the end of the month, compare it with the list of your priorities. Is everything aligned? I’m pretty sure it isn’t.
Observe the item. Does it make you fulfilled? Yes, nice; keep it there. Is it essential? Yes? Great; keep it.
Everything else is unnecessary. You spend the money, but don’t get anything in return.
In the most extreme cases, the amount of unnecessary stuff can be more than 70% of our income.
Pay Yourself First
You’ve successfully reduced your spendings. Now, you have something to play with.
At the end of the day — it doesn’t matter how much you earn — rather how much you save and invest.
The ideal amount for the start would be 20% of your income. Can’t do that much? Doesn’t matter; 10%, 5%, or even 3% is acceptable. You just need to get into the habit.
Can do more than 20%? Amazing, go for it. That’s the amount that values; the amount that can make you a fortune.
You should use this money to create more money. If you don’t have any investing ideas, just save.
Besides that, find an interesting topic and start investigating. Watch great videos; read amazing articles and books. Learn about it, and start investing when the time is right.
If you don’t have any knowledge, you’ll end up gambling with your money — it’s not something we want.
There’s so much stuff around you which can make you money — focus on anything you find interesting.
London based Frontend Engineer. Always questioning the obvious.