In the old economy, you could work and invest in mutual funds for 40 years and have a great chance to be financially independent by age 60. Today, the situation is very different. In this article, I will attempt to explain why and what to do about it.
Technology is changing rapidly. Today's entrepreneurs and workers need more technical skills than ever. Technological change will continue rapidly. You can't learn everything, but determine what skills will help you the most. What skills do employers need in your area? What you need to do now is assess where your skills are and get the classes or books that will help you.
If you have the opportunity, consider learning about nanotechnology. Nanotechnology will likely be as devastating to traditional companies as the Internet.
Lots of people are in college these days. But are they really learning to program computers really well? Are they encouraged to start a business while they are in school? Is tuition going to really hurt them financially after they graduate? Are students really being made as competitive in the workplace as they should be?
In the old days, getting business loans or love money for your business was relatively easy. These days, more people are broke and loans are expensive. My suggestion is that you bootstrap your business and improve it as you make sales. If you cannot make any sales, then you don't really have a business.
Knowing the markets and how to invest will help a great deal in raising capital for a business or the account you intend to live off of until your untimely demise. So, spend some of your free time reading investing books, and newsletters. Following the market and a watch list will help you learn too. Being able to trade is important, because, buying and holding mutual funds for the last ten years did not result in major gains, like in the past.
Do the work necessary and learn to invest. Sure, some of the books are expensive and the market opens pretty early. But I urge you to do it. Having others invest for you means to pay considerable fees and you have no control.
What did Napoleon Hill say during the Great Depression? He said, "Don't worry about what THEY say." This statement is still very true. Pursue your dreams and leave the sheeple behind you. Have the masses or the talking heads leaded you to wealth? Probably not, so shut them out and busy yourself with the pursuit of financial independence.
If you are interested, proceed to my site, http://www.renegadeuniversity.net and read more. Don't waste time or make huge mistakes in your finances, visit http://www.renegadeuniversity.net.
Thank you,
David K Drews
Article Source: http://EzineArticles.com/?expert=David_Drews
Article Source: http://EzineArticles.com/6264597
Showing posts with label financial independence article. Show all posts
Showing posts with label financial independence article. Show all posts
Friday, May 13, 2011
Tuesday, November 2, 2010
Some Tips for Achieving Goals About Financial Independence
We know that being financial independent is not merely about being rich, but having freedom to afford the lifestyle a person desires without having to work.
If you are like most of people, who put the goal of being financial independence near the top of your long-term-goals list, you'll have a long way to go. There is a lot of financial advice that you can hear about in your daily life. You can seek advice through the personal financial books, or from your financial planner. It seems that every person can offer the most professional advice, but they will confuse people who only want to accept all of them, because everyone has their own opinion on where to put the money, how to spend it, and how to make their money grow.
However, there are some simple truths that can apply to the advice that you can find. Let's see what they are.
1. Spend less than you earn, i.e. use credit card carefully.
This is basic and pretty obvious but a lot of people don't pay enough attention to it. It is the only way that helps you to get out of debt or make advancement on your savings. You can set up a rate that you will put into the saving account instead of spending all the money you get.
It is more likely that people using credit card can buy things they want in advance, but it is also an easiest way for them to load with debts. Learn to use credit card wisely.
2. Use cash rather than cards.
People will think more when they are using physical cash than a plastic card. If you have set a daily budget that you have $20 to spend on entertainment this week, you are more likely to think twice about spending all of them on movie rentals tonight when you have other plans for the weekend.
But if you use a credit card, you are less aware about how much money you are spending. And it seems an $8 and a $20 product doesn't seem like a look unless you see the total amount in the bill. Those small single purchases can add up to a lot.
3. Nobody will care as much about your money as you do, so do take more control of your money.
There are many people in the market who seem more professional than you because they have training, experience or fancy job titles that make you think they are best for you when it comes to your money. But actually nobody will care that much about your money as you do. So if you want to achieve your goal of being financial independent, even though you can seek help from the fund managers, investors or bankers, you should also be active to take control of your money. Knowing where your money is and being able to make informed decisions.
4. Budget.
Make your budget realistic rather than difficult. A budget allows you to see through the who situation and help you to know where your money is going, and where you can reduce your spending to improve your financial situations.
The budget you make should accurately reflect your spending habits and expenses, otherwise it won't be a useful tool at all, from which you cannot get closer to realize your financial goals.
5. Pay yourself first.
It doesn't mean that you should go shopping and buy something, no matter a new computer, phone, or anything like that, not mention things that will overspend the budget. It means put an amount of money into savings. Many personal financial books will contain this clue. They recommend that you should pay yourself first such as putting some money into the saving account or other investing accounts, instead of credit card bill or other bills, except the due day.
The money you put into saving can be a very small amount but that's ok. At least you have started. But I think at the beginning, you can only put a fixed proportion of your income into the saving account. Then when you can, increase the amount you are saving to 10%, 15%, or more of your income.
6. Separate needs from wants.
Actually there are very few things we really need. A person who earns $300,000 a year doesn't necessarily live better life than a person who earns $50,000 a year. That's because the person who earns less has put much more attention to things he needs. He may do the purchases that really work for him, and try his best to improve his quality of life without spending too much money.
So every time when you want to buy something, you can ask yourself some questions like this.
Is it a need or a want?
Can I delay this purchase to see if it's really what I want?
Can I get this cheaper or somewhere else rather than buying a whole new one?
So, if you want to accomplish your financial goals, the first step is that you should get out of debt, which means you may have to reexamine your way of spending and see what you can do to speed up our financial goals.
Coach outlet store online provides discount coach bags. Those coach handbags sell well among women who love chasing fashion styles. Finding the latest fashion accessories in the coach outlets are what most women like to do.
Article Source: http://EzineArticles.com/?expert=Sharon_Clara
If you are like most of people, who put the goal of being financial independence near the top of your long-term-goals list, you'll have a long way to go. There is a lot of financial advice that you can hear about in your daily life. You can seek advice through the personal financial books, or from your financial planner. It seems that every person can offer the most professional advice, but they will confuse people who only want to accept all of them, because everyone has their own opinion on where to put the money, how to spend it, and how to make their money grow.
However, there are some simple truths that can apply to the advice that you can find. Let's see what they are.
1. Spend less than you earn, i.e. use credit card carefully.
This is basic and pretty obvious but a lot of people don't pay enough attention to it. It is the only way that helps you to get out of debt or make advancement on your savings. You can set up a rate that you will put into the saving account instead of spending all the money you get.
It is more likely that people using credit card can buy things they want in advance, but it is also an easiest way for them to load with debts. Learn to use credit card wisely.
2. Use cash rather than cards.
People will think more when they are using physical cash than a plastic card. If you have set a daily budget that you have $20 to spend on entertainment this week, you are more likely to think twice about spending all of them on movie rentals tonight when you have other plans for the weekend.
But if you use a credit card, you are less aware about how much money you are spending. And it seems an $8 and a $20 product doesn't seem like a look unless you see the total amount in the bill. Those small single purchases can add up to a lot.
3. Nobody will care as much about your money as you do, so do take more control of your money.
There are many people in the market who seem more professional than you because they have training, experience or fancy job titles that make you think they are best for you when it comes to your money. But actually nobody will care that much about your money as you do. So if you want to achieve your goal of being financial independent, even though you can seek help from the fund managers, investors or bankers, you should also be active to take control of your money. Knowing where your money is and being able to make informed decisions.
4. Budget.
Make your budget realistic rather than difficult. A budget allows you to see through the who situation and help you to know where your money is going, and where you can reduce your spending to improve your financial situations.
The budget you make should accurately reflect your spending habits and expenses, otherwise it won't be a useful tool at all, from which you cannot get closer to realize your financial goals.
5. Pay yourself first.
It doesn't mean that you should go shopping and buy something, no matter a new computer, phone, or anything like that, not mention things that will overspend the budget. It means put an amount of money into savings. Many personal financial books will contain this clue. They recommend that you should pay yourself first such as putting some money into the saving account or other investing accounts, instead of credit card bill or other bills, except the due day.
The money you put into saving can be a very small amount but that's ok. At least you have started. But I think at the beginning, you can only put a fixed proportion of your income into the saving account. Then when you can, increase the amount you are saving to 10%, 15%, or more of your income.
6. Separate needs from wants.
Actually there are very few things we really need. A person who earns $300,000 a year doesn't necessarily live better life than a person who earns $50,000 a year. That's because the person who earns less has put much more attention to things he needs. He may do the purchases that really work for him, and try his best to improve his quality of life without spending too much money.
So every time when you want to buy something, you can ask yourself some questions like this.
Is it a need or a want?
Can I delay this purchase to see if it's really what I want?
Can I get this cheaper or somewhere else rather than buying a whole new one?
So, if you want to accomplish your financial goals, the first step is that you should get out of debt, which means you may have to reexamine your way of spending and see what you can do to speed up our financial goals.
Coach outlet store online provides discount coach bags. Those coach handbags sell well among women who love chasing fashion styles. Finding the latest fashion accessories in the coach outlets are what most women like to do.
Article Source: http://EzineArticles.com/?expert=Sharon_Clara
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