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  Pay Yourself First…. How?? Well, there is actually a simple way to overcome the problem of not being able to save money. The simplest, most effective, and in fact, the best way to overcome this problem is to adopt the “pay yourself first” strategy. But how? What you must do is treat yourself as a bill that must be paid, just like any of the other bills such as housing loans, car loans, phone bills, electricity bills, credit card bills, etc. If you take the time and trouble to set aside money every month to pay those bills, then you should also set aside money to pay yourself as well. And before you come running and throwing all the brickbats, saying it’s not possible, think about it: Which one is more important? Are the banks more important than yourself? Is the phone company, electricity board, or credit card company more important than yourself? The answer is an obvious NO. You are more important than any of those corporations even if they are huge corporations worth billions o...

  Man’s Greatest Weakness… Greed, and more greed, are one of man’s greatest weaknesses. Once greed comes into the picture, all common sense goes out of the window. Once you are trapped by greed, it will suck you in like quicksand. And just like heroin, greed empties the brain of all logic and sense. To relate an example of how greed at work, let me take you a few years back, in my area. That’s the time when the get-rich-quick scheme was all the rage, everyone wants to have a piece of the action. A couple of my relatives were trying to convince me to “invest” in the scheme, for confidentiality, let’s call the scheme ZZ Invest. For every dollar invested, the organizer of the scheme will pay you 10 percent every month! So, if you invest $1,000, you’ll get it all back within a 10-month period. And you will continue to receive the $100 every month for as long as the $1,000 remains invested. Why? Because this is better than owning shares in Microsoft, Apple, or Tesla. While any sensible ...

  Winning A Lottery Is The Beginning Of Your Problems…….?? Studies have shown that the vast majority of people who win large lottery prizes end up broke or nearly so within a few years of receiving their millions. Why? Could it be that the same reason most ordinary working people fail to achieve financial independence is the same reason so many lottery winners end up broke after becoming instant millionaires? Okay, let’s assume that Johnny, an ordinary guy, had struck a winning ticket of $1 million. The money will certainly drive him up to the moon and back several times. He thinks that now, all his problems will go away. What is most likely to happen is that Johnny would buy himself a brand new BMW or an SUV as a reward. Fair enough. And then renovate his house to make it more spacious and comfortable. And of course, Johnny will be paying all these in cold hard cash. That will certainly win him some respect from the shocked salesman and contractor. Then, he will take some of the m...

  Avoid Making Major Financial Mistakes But Don’t Be Obsessed With It After all, who goes into an investment with the intention of making mistake, what more, a major mistake? No one. Not even a fool would do it. In other words, people make mistakes because they do not realize that they are making the mistakes. Until it’s too late. Worse, mistakes are often disguised as solid investments.  Mistakes often come looking like Sharon Stone. Like buying child education insurance, like time-sharing deals, like becoming a guarantor for your colleague because he is a nice guy. But at the same time, being obsessed with avoiding mistakes in finance is also just as bad, if not more so. It’s like wanting to get to heaven but not wanting to die. It cannot happen. Because it does not work that way. Investments by their nature involve two factors — risk and return.  Two sides of the same coin. One does not exist without the other. So just about the only way you can avoid risk and not lose...

Importance Of Watching Where Your Money Goes… Until you start tracking where your money goes, you’ll find it difficult to stay on course to become financially independent. If you are serious about building wealth, you have to make a lifelong commitment to understanding where your money goes. The key to wealth building is not the amount of money you make, but being aware of what you can buy and when you can buy it. We all have seen people who make high salaries file for bankruptcy because they spent more than they made. But the most interesting thing is, that studies have shown that  most ordinary people pay enough in interest over the course of their lifetime to become millionaires.  Why? They don’t have a plan, but they have an “I want it now” mentality, and this leads them to buy things before they can afford them. As a result, they finance the purchases and pay exorbitant amounts of their hard-earned income in finance charges. This will help you get a head start on financia...