Nothing is more fun than having a lot of money. With money, almost everything can be done. You can buy a luxury car, a nice house, the latest gadgets, smart home system, the latest game consoles, explore the world, be acquainted with many beautiful women, and many more.
This brief article will not talk about how to make money, how to be rich, and so on. We just want to give simple tips how to keep us always have enough money to survive and to keep alive.
1. Making money is not easy and sometimes need a bit of luck
Why? If making money was easy and simple, we are not going to find poor people and poverty in the world. Although financial experts say hard work, get higher education, save money, find a job with a big salary, and so on …. still no definite formula to be able to have a lot of money / wealth. Indeed, logically, if our income is greater than the expenditures, we will be able to save the money. It is right and proper logic. But, no one can predict the future, anything can happen in the future, either 1-2 years, or 10-20 years. So, it is our goal should be to improve income so that we could be in an ideal condition, “greater income than the expenditure.”
It is a good step, the initial goal and the thought is that simple. Our financial condition should be in this state, “greater income than the expenditure.”
2. Cut out unnecessary expenses
Having meal in the restaurant every day is unnecessary wastage. You can cook a good meal at home, with a flavor that is almost same and better portions. Indeed, buying cooked food is a practical choice because it can save your time, and you can have more time for productive activities. But, if you are worried about your financial condition, and to buy food from restaurant every day will make your financial situation becomes unhealthy, you better take action to cook at home. It was a pretty tough choice, but it must be done in order to prevent bankruptcy.
If you do not yet have a home, this is something which is filled with a dilemma. Maybe you’ve thought:
“For what I spend money thousands or millions of dollars just to having a home?”
“Better to rent a cheap house in the suburbs or village, and the rest of the money could be used for business purposes.”
Home, apartment, or place of residence is an actual consumer goods (in my opinion). Because of what? We stay at home so we could continue to live with doing basic human needs such as sleep, shower, eat, cook, play internet, shelter from rain or direct sunlight, shelter from the snow, shelter from wild animals, and so on. And the basic functions of the main residence (either home or apartment) is to conduct basic human needs, and to keep alive. And with that all, could the house be called productive assets? Of course not. You still need a car to shop for basic needs to the supermarket. You still need a modem, a laptop, or computer to access the Internet or play online games. You still need to subscribe to cable television and to be able to watch TV shows or movies. You still need a refrigerator to store food. You still need air conditioning and a mattress to sleep on, and much more. Then, where the prolific nature of a place to stay?
If you think for rent, so you’ll get passive income from it, where would you move? Does it mean you have to move out of your house and rent (or even buy) another house so you can live and continue to live? Unless you are wealthy people who could have more than one house, but we could not call our house (which is only one) as a productive asset. A house is not more than other consumer goods such as car or motor bike. Financially, you still have to spend any more money to pay for other costs such as electricity, water, security fees, internet, cable TV, and so on. Home or place of residence can not make money by itself, you still have to spend money to be able to live in it.
So, what exactly is the function of the house (why should BUY a house)? The simple answer is so that you do not need to pay again to RENT home. That’s it, no more than that. If then you are thinking of selling your home in the future, and the price will go up many times over, let’s just say that as a bonus. We will never know when our home will be sold, because life is always spinning, and there will always be the construction of new houses and probably much better condition than our home. Why do others have to buy our home? If there are some new houses constructed and in development status, it is a good thing, so that consumers can have many options to buy a house. Is it because the land is getting scarce and then there was no more land space to build a house? That’s okay to think like that, but life must go on, and if the land is getting scarce and expensive, what about our children or even grandchild? Where will they stay? It was a simple enough question.
So, the conclusion is, if the economy of a country or city is healthy, there should be no significant rise in house prices. Because it is a basic need, which everyone should be able to have it at a cheap price. The house is a basic need of all people to continue living, should not be used as a speculation for personal gain by selling as high as possible (at a price that does not even make sense).
3. Simple Life
You can’t have everything . What needed is, buy goods that indeed we need. If you have more money, you may buy goods in accordance with the “desire” you have.
4. Conscious before it’s too late
Manage money need precision, you should put the brakes on spending as much as possible, if your income is reduced or there is a problem. Bankruptcy can be prevented (if not due to an accident, natural disaster, or other things beyond our reach). The point is, your income must be greater than the expenditure.
5. Look for new opportunities
We have to seek new business opportunities if we feel the existing businesses can no longer survive. And the Internet offers many business opportunities that very much. But, despite the issued capital is smaller than the offline (conventional) business, an online business requires patience, smart work, thinking, new ideas, creativity, focus, and hard work. One of the differences between online businesses with conventional business is a business over the internet requires more creative ideas and thought. You can open a clothing store or food store in the street that was very crowded, and your brain is not too tired to think. Of course, physical work and more hard work is needed in offline business. Doing online business via the internet, of course we do not need to work as hard as washing dishes, cooking, buy clothes in the jammed traffic, buy the ingredients to be cooked, etc. But, what is needed is the brain. Yes, if you have a bright idea and perhaps a little unique, online business is probably the right choice for you.
We all know, prevention is better than cure. This is true also in finance. When you know that your income is reduced, the first time you have to do is put the brakes on spending. Sometimes, making money is not easy, the world is always turning, and we should be wise in using the money. Indeed, life is not fair, because seek or obtain money is always more difficult than the issuing or spend money. Therefore, we should be able to hold back, we have to know the priority needs, which is a necessity and can not be postponed, and which are wants and still can be delayed.
In fact, human life is determined by money and income owned. If we have a lot of money, whatever feels good and nice, because we can afford it. If our income is great, although we may still not have much money and are still in the stage of saving, life also feels more fun, because there is always new hope. It was all we expected. Believe me, if we are always trying to have money in the truth, there would be a way out, life is full of effort and hard work, as long as we do not stop and give up, there’s always hope!