8 top tips for achieving financial independence
To grow your wealth, you need to invest part of your income in high-return investments. Recording your income and expenses constantly achieves financial independence (Getty) 19/9/2020 achieving financial independence is a goal for all people, who dream of achieving it because it not only
provides them with abundant money but also power and freedom.
In a report published by the Spanish website Pseco Activa, writer Espalia Farias says that achieving financial independence makes a person free in his or her actions, away from the interventions of others, and gives him full freedom to make his or her decisions.
But the question is how to achieve this financial independence, so the site initially points out that the writer Nelson Enrique Rodríguez, in a study published entitled "Money, Management and the Search for Financial Freedom", warned that many confuse wealth with financial independence on the other, a mistake not only for heads of households but even for businessmen.
Those who manage their savings and dispose of their money can achieve this goal, especially after following a set of financial advice and rules.
1- Control your money
Avoid spending on unnecessary purchases, as much of what you bring home, may end up in the basement without using it, so you just have to buy the things you need, avoid irrational shopping behavior, especially during discount periods such as Black Friday, as well as the need to record and calculate all income and expenses and control them.
2- Caution in the use of the credit card
The bank card should be used consciously, and pay attention to the amounts disbursed through it, especially since sometimes we do not feel the value of the money when we do not pay it in cash out of pocket.
Credit Card (Strastoke) It is necessary to pay attention to the amounts disbursed through bank cards (Strastock)
3- Record your expenses
It is very important to hold personal accounts and record all income and expenses, to monitor and follow where your money goes, which will make it easier for you to manage, and today many smartphone applications can facilitate this.
4-Improving the career path
The site advises adventure, breaking into new professional areas, or changing jobs, if you believe that your current career is not promising and does not bring you the financial prosperity you aspire to, in our time, many have succeeded in relaunching their careers and breaking into new areas, by developing their way of thinking and skills and keeping pace with the modern changes in the world.
5-Long-term planning
Beware of crazy behavior and quick spending, especially for those who act like there isn't tomorrow, and they often have the problem of compulsive spending when shopping.
No one can expect what can happen in the future, every human being is vulnerable to many unpleasant accidents and surprises, and financial conditions can be turned upside down day and night, so part of the income must be saved for Black Day.
Part of the income must be saved and allocated for crisis time (Getty)
6- Work-based on realistic objectives
You may not be able to buy the car you want this year or even next year, but you can achieve this goal by making simple and steady strides by raising money gradually, a much better way than falling into the loan trap and spiraling debt that will deprive you of sleep.
7-Diversification of sources of income
You may have a lot of talent and abilities, which you can activate and make a source of money by taking on a second activity alongside your job.
It is also recommended to diversify investments and divide them into diverse opportunities and areas, to avoid losing everything once in the event of a crisis.
8-Some money has been allocated for training
The site advises every ambitious person to invest in improving their professional qualifications and gaining new knowledge and skills that give you more opportunities, which is the best investment to make more money in the future.
In conclusion, the site warned that a person should reward himself from time to time if these tips are adhered to, as austerity and excessive and persistent discipline may have negative effects, so part of the money must be allocated for entertainment and free disposal, and to carry out enjoyable individual or family activities.