How to stay safe in this 21st century especially in the coming years of financial trouble? How to get rid of debts, how to keep as much money in your pocket, how to stay wealthy if you are aleady RICh and how to get financial freedom? These are questions that can hardly be answered. Wanted the answer? We found this for you.
Financial is one the complicated topic in the world. You do not to know it and neither do I. We all run away from it. However, we did not know that having ignore this financial issue is the major problem that flood us financial crisis. The more we do not know about financial topic, the higher risk of stay in big debts. What should we do then? Should we continue to ignore it?
No we should not. We should stay close to it and learn about it as much as we can. Instead of against it by harsh mean, we should cooperate with it and make use of it. Look! Those who know how to make use of it rahter become rich and stay wealthy longer. This is one big mistake for each person in this planet, especially this 21st century. Now we come to agree that learning about financial issue is the only best choice to stay out of debt and increase money in our pocket.
But our next question is how should we learn and who should we learn it. It is simple. It is highly recommended to learning from successful people. Warren Buffett, for example, is one of the successful business person in America and the world. There are many lessons can be learned from his. Warren Buffett is the only successful investor and his business tactics is hugely important for all of us. What are his advice to stay away from debt?
In fact, Warren Buffett’s tips are so simple and very straightfoward. These are some priceless advice Buffett ever made to resecure himself from financial disaster.
1. Borrow Wisely: Warren Buffett allows us to borrow money to invest more in our business. However, simply borrowing is not enough. We need to be very wise in borrowing. Do borrow only when we are sure that we can return back. If not, forget it. Borrowing will rather destroy our already worse business.
2. Pay Yourself First:After earning and calculating of the costs, we need to pay ourself first. Save some money in our saving account. Know how much to save is the best tactic. We need to measure how much should be left for the next spending and how much should we keep for longer investment.
3. Do not Underestimate Our Money Habits: Most people do not know that they had produced such a habit in saving and spending money. Most often people do not care about money until they are in trouble. It is very recommendation to create a good habit of saving and spending money. We must know when to spend and when to save. Fail to have good money habit is the key to put people in big debts. How to change our habit when we found out it was bad? First and very foremost is by changing our mindset. When mind is changed, our action will change, then good habit will come automatically.
4. Break the Paycheck to Paycheck Cycle: Living under financial crisis is the worse of all. Of course, it is hard to break its cycle. However, Warren Buffett did it already. He succeeded it and return it into Paycheck Cycle. The task here in this point is that one must commit to have a clear cut commitment that she or he will not let financial crisis happen again. They have to give an end to this financial crisis. The ability to end this game will give honor to ourselves and when we encounter next trouble we will be able to manange it.
5. Invest in Long-Term: We must have visionary eyes if we wish to live financial free live. Knowing the future is very important because it can lead us to invest for it. The idea in this point is that do less for the present time but very be careful for next 10 or 20 years outcome. When we can see that big picture, it will be very easy for us to go for it. As such we have to be ready the future including challenges and opportunity. Know this game will help us survive longer.
6. Last of all Money is not Everything: Money has two side-effects – help us living a rich life, on the other hand, it can also sink us to the deep bottom of debts. Be wisely alerted about money. We need to balance between money and life. Money can buy many thing but not everything. Money can’t buy value; money can’t buy trustworthy, money can’t buy morality, money can’t buy respect and money can’t buy honesty. All of these are characteristic of successful business and life. To get this, money is useless rather our warm heart can. Sometimes use our heart to win the business, not always money.