Financial Success - One Simple Principle That Can Give It To You

Author: Alfred Spengly

What do you think the biggest obstacle is for why you do not have financial freedom? Believe it or not, it is not because you do not have a 6 figure income. But the bigger question is not, "Why do you not have a lot of money in the bank." The big question is, if you had the possibility to do it, would you?

It is not hard. And what you need to do to realize your dreams--though it does take some effort--does not have to be painful. And the long-term benefits can be staggering. The reality is, in comparison to what you would have to do, the rewards are outstanding! But it does come with this warning, and you may not like the thought of it at first. And here it is: you need to keep a budget of your money.

Let me tell you, however, a budget is not a restriction of your spending, it is a tool to eliminate wasteful spending. You can continue to purchase the things you need--in fact, it gives you the freedom to purchase not only the things you need, but those things you want. But a good budget will show you how you can keep more money for you, and less money for those who are getting it from you for free.

There are three specific things a budget can do for you:

1. It can help you identify areas where you purchase things that cause you to pay interest. And if you really get down to the nitty-gritty, people are wasting a lot of money on interest. A budget, however, is not intended to remind you of the bad circumstances you are in if you already have the debt. It is to help you identify how to stop paying interest today and begin to have that money return to your account for you to spend.

2. It can show you how your money can earn more money for you. If you keep the right kind of budget, it will show you areas where you can use your money to make more money with the money you already earn. And it can give you a forecast of how much money you can save and when you would save enough to be financially free. And it can come sooner than you think if you use a budget to its fullest potential.

3. If you are doing it right, you can even find that, as you go, it can be exciting to see--not only the progress, but also the great rewards you can attain in the end.

About the Author:

By the way, if you would like to discover the amazing benefits you can gain from your mortgage, click here: get the free ebook.

If you need someone to write or help you write that article or book you want to publish, Alfred Spengly is a Freelance Writer and Editor who provides those services. Simply click here: www.alfredspengly.com to get started.

Article Source: ArticlesBase.com - Financial Success - One Simple Principle That Can Give It To You

How Keeping a Budget Can Become Easy for You

Author: Alfred Spengly

Why do people find it so hard to maintain a budget? One reason is because some people are just not interested in limiting themselves in how they spend their money. Another reason is because they find the tedious work too burdensome to bother. Related to that, some find that keeping a budget just does not seem to reap enough benefits for them to keep going. In this article we will consider each of these setbacks and see how keeping a budget can eve be fun.

Those Who Think a Budget Is a Hindrance to Their enjoyment
As for those who see limiting their spending to be a hindrance to their enjoyment in life--there is no hope, to be honest. Essentially, what they are doing is postponing their discomfort for their retired self. Think about it, if you spend all the money you earn by the time you retire, and your employer does not provide the entirety of your retirement money, you will be in bad shape when you reach that point. That's a fact. The limits you didn't like being imposed on your income today will suddenly be forced upon you when you reach the age of retirement.

Those Who Think a Budget Is Too Much of a Hassle
If you are one of those who find keeping a budget too much of a hassle, consider this: You probably spend more time being aggravated at trying to find something to watch on TV than you ever would be aggravated at keeping a budget. Keeping a budget will most likely take less than five minutes a day. That is not to mention that you walk away from watching the TV with nothing, but when you keep a budget you can see ways to avoid giving away your hard earned money needlessly.

Those Who Think There Is Does Not Provide and Financial Profit
This leads to the third person. This type of person just does not see the benefits of keeping a budget worth the hassle. They think that their financial situation would be just about the same weather they kept a budget or not. If there is a difference, they think, it certainly must not be that much.

That could be no further from the truth. In fact, if you have the right budget, you can not only see the value in it, but you can even be enthused by the magnitude of benefits it provides. Benefits that those who never keep a budget will never experience.

I guarantee that if you had the right budget program working in your situation, you would find it enjoyable and very profitable. And the right budget is one that shows you not only where you are wasting money, but it is one that also shows you the opportunities you have for maximum savings. That is where it becomes enjoyable.

About the Author:

By the way, if you would like to discover the amazing benefits you can gain from your mortgage, click here: get the free ebook.

If you need someone to write or help you write that article or book you want to publish, Alfred Spengly is a Freelance Writer and Editor who provides those services. Simply click here: www.alfredspengly.com to get started.

Article Source: ArticlesBase.com - How Keeping a Budget Can Become Easy for You

Financial Challenges In A Tough Economy

Author: Cherryl Hanson-Simpson

“I am really confused about how to make ends meet in these times. The cost of living is at an all time high, my salary can’t pay all my bills, and the returns on my investments are a joke. I really need some practical advice on how to make some more money to survive.”

If you haven’t already figured it out, we are living in tough economic times. The global financial markets are experiencing a frightening meltdown that’s affecting both multinationals and mom-and-pop stores, small savings accounts and large investment portfolios, consumers and retirees. Here in Jamaica, the financial heads have admitted the obvious - we’re all going to be impacted by the international monetary woes in one way or the other.

Under normal conditions, making enough money to meet all our needs can be difficult. In this financial landscape it may seem almost impossible. Let’s look at some of the challenges that are currently impacting the standard ways of making money:

Making money in your job

Many people seek the security of a job to provide the money needed to meet their requirements. Once you are in a salaried position, you expect to get regular pay cheques and benefits that will help to make your life reasonably comfortable. While a job is vital to pay bills and build your foundation for monetary growth, depending on your nine-to-five to provide financial security in these times is actually a risky position.

The reality is that businesses are consistently looking for ways to reduce overheads and become more efficient at providing their products and services. Unfortunately, staff expenses are some of the highest costs, and are therefore subject to constant review to see how they can be reduced. That means businesses will often try to cut back on unnecessary employee perks, and even replace jobs with technology which can do the job better and cheaper.

Another drawback with the job income is that it often is eroded by the effects of inflation. Inflation, the sustained increase in the general level of prices for goods and services, affects you by decreasing your spending power. Jamaica’s average inflation rate at the end of 2007 was 16.8 per cent, which means that you would need 16.8 per cent more money to buy the same amount of goods.

The challenge is that your employers would probably find it difficult to raise your income by the same amount as the inflation rate, because they are also faced with rising costs which negatively impact their operations. You might have felt lucky if you received a salary increase of eight per cent last year, but after the effects of inflation, that raise actually left you nearly nine per cent poorer. That’s why the job income is just not enough for most people anymore.

Making money from your investments

When our earning power from physically working is insufficient, we often try to make our money work for us. It’s a good idea to look out for investments that can supply additional income or create future wealth. The problem is that if you have very little money to start with, there aren’t many investments that will be able to turn over enough cash to make a big difference to your monthly income.

The picture for practicing investors is just as difficult. Although current interest rates on Government of Jamaica securities are trending upwards, the net return is still less than the inflation rate, so your money is actually losing value in these safe investments. Many people flocked to the unregulated investments with the hope of generating attractive returns, but most have been burnt as these entities have been unable to pay back as promised.

As stock markets around the world are being buffeted by the current financial storms, investors are facing heavy losses in portfolio value and new market entrants are staying away. One of the worst effects of these times is the loss of investor trust in previously robust institutions. As the stories evolve, we realise that the present financial crisis could have been averted had there been more prudent investment strategies and stricter regulatory practices in the global financial marketplace.

How can we survive?

With all this doom and gloom in the financial world, is there any hope for our survival? Or should we just accept the expected decline in our standard of living for the next couple of years?

As the saying goes, ‘When the going gets tough, the tough get going.’ The only solution to money shortages is to become disciplined in cutting back on expenses and to get creative in making extra income. Gone are the days of carefree spending as if money was no object - if you continue that lifestyle you’re headed to the poor house!

Next week I’ll outline the steps that you can take to survive in these tough economic times.

About the Author:

I am a financial consultant and coach living in Jamaica, West Indies. I have a passion for empowering people to become financially successful. My company, Financially S.M.A.R.T Services, produces and markets resources to help persons to manage, multiply and maintain their money.
See more of her work at http://www.financiallyfreenetwork.com/
and http://www.financiallysmartonline.com./

Article Source: ArticlesBase.com - Financial Challenges In A Tough Economy