The road to financial freedom is not a straightforward path; if you want to achieve this, then you will have to work hard and change your habits and cultivate new ones. The first thing you need to do is to make a list of unhealthy habits and behaviors as the first step and then monitor them on a daily basis. Once you have done that, it’s time to get your on your way to financial freedom by doing the following:
Spend your money on things that grow
Look at people like Steve Jobs and Mark Zuckerberg; they don’t spend money like they’re rich. They spend it on things that make more money, things like real estate and energy-efficient improvements to your home, and even investing in your health can grow or save you money in the long run. Don’t by things that lose value, so especially don’t spend your money on new cars. They lose roughly 60% of their value within five years.
Choose Your Bank Wisely
You need to do the work, read up on who’s offering the best interest rates on savings accounts, who’s offering the most benefits and the ones that will work for you. Read reviews and like these Checkout Green Dot Reviews from people who say that they have discovered the financial freedom that comes from a flexible spending instrument like the Greed Dot card.
Eat Well and Cook
We all know that preparing your own food is cheaper than eating in a restaurant, but the other thing is that eating better food means you will stay fuller for longer, which minimizes snacks and ultimately spending more money.
Track Your Expenses
What use is a budget, if you don’t continue to track your expenses? Tracking your expenses will obviously help you stay within your budget. But, what it will also do is help you catch errors in billing, wasteful expenses, and redundancies. There are plenty of apps that can help you do this now and help you to save you money. If you’re in a couple, then there’s a really good one called HoneyFi, which is a free budgeting app for couples and very very useful.
Get Ready For Emergencies
When an emergency comes along, and you are not prepared, it can cause a real dent in your savings plans. Emergencies can cost you money, put you in debt and really set you back in your financial dreams. Work on having an emergency fund that will act as a cash cushion to help you pay for the things, things that aren’t in your budget. So, for example, if your car breaks down or your boiler conks out, you have some money there ready to get it sorted.
Have At Least Two Sources Of Income
Whether it’s you and a spouse or just you, you need to give two sources of income, and lucky for you, there are more ways than ever to make money. Have your main full-time job and then a part-time job or a side hustle. If there are two of you and you both do this, then even better.