Money advice

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Avatar for Collinsnice15
4 years ago

You've probably heard the advice to live below your means. This is a good place to start, but it's not enough if you want to grow real wealth.

If you earn $5,000 per month and spend $4,999 of it, technically, you are living below your means. You're not overspending in the sense that you're not spending more than you earn. As a result, you're probably not racking up debt and you're doing okay.

But "doing okay" and "being wealthy" are two very, very different things. If you're after the latter, then you need to live as far below your means as possible.

The bigger you can make the gap between what you earn and what you spend — meaning, your actual spending is far below the amount of money you take home each month — the faster you'll reach your financial goals (if you save and invest the surplus from your cash flow).

Which leads me to my next piece of advice that you should act on if you want to reach financial success.

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Comments

U are right.... One shouldn't be spending more he or she earn. At least there should be saving. You don't spend all you earn, a time will come which an opportunity might come or something will happen that you will need money.

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4 years ago

Very insightful

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4 years ago

Gain more, spend less

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4 years ago

Very correct doing okay and being wealthy are two very different things.

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4 years ago

You are very right, i agree

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4 years ago

You are very right, i agree

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4 years ago

Very nice.. Hey subscribed u bro, sub back plz..

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4 years ago

This is a very touching story bro, keep the Good work up.

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4 years ago

Really inspiring bro.

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4 years ago

We really shouldn't spend more than we earn, we should always find a way to keep the balance.

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4 years ago

If you earn $5,000 per month and spend $4,999 of it, technically, you are living below your means. You're not overspending in the sense that you're not spending more than you earn. As a result, you're probably not racking up debt and you're doing okay. Please I need more explanation here

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4 years ago

That very nice, you shouldn't spend above your earnings

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4 years ago

Yes this is really helpful

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4 years ago

Nice one.

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4 years ago

Nice that's so educative

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4 years ago

Great and lovely

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4 years ago

Thanks for bringing out this hidden knowledge

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4 years ago

This is a very nice advice bro

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4 years ago

Good job brother, and keep it up

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4 years ago

Really Good

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4 years ago

It's Good to spend wisely

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4 years ago

Thanks for that bro

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4 years ago

Nice advice bro..

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4 years ago

So true keep up the good work

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4 years ago

It would be nice if we all know how to spend our money well. Subscribe back 😊🤙🏻

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4 years ago