What I love about personal finance is that everyone’s situation is unique. Yet, the more the details are different, the more the solutions stay the same.
What’s more interesting is that even though the majority of us struggle to achieve financial freedom, the methods are simple and for the most part, we already know them.
- We already know that the key is to earn more than we spend. Yet, we struggle with controlling our expenses.
- We already know not to buy high and sell low. Yet, we unknowingly fall into the trap of buying the latest hot investments.
- We already know that saving for the future is important, but we put off thinking about retirement anyway.
So Why is it Difficult?
Perhaps the personal in personal finance refers not just to our unique circumstances but more importantly, that it’s up to us to make a difference. We probably know we need to make more and spend less and we may even know how to get this done. The problem is that we just don’t know how to get ourselves motivated to act.
I know, luck plays an important factor in all this and it’s easy to blame the hand we are dealt. And let’s face it, some people are just luckier than others. Your friends may have joined a start up company early on which then struck it big, or someone you know could have bought a high flying stock long ago and made their initial investment 100 times over. But whatever happens to others have nothing to do with your situation. Personal finance is personal. Stop complaining and start doing something about your own situation.
The Good News
The good news is that it’s easy to succeed even though you may end up being the minority. You just need to:
- Pay Attention – You may hate budgeting since no one really ever pushes you to keep track, but find a way to pay attention to your expenses and your surroundings. Studying the details will help you find ways to increase your income, and being alert will only help your pursuit to control your spending.
- Develop a Laser Focus – Not only are a focused person productive, he/she is also determined to never give up. The road to financial freedom is long and you will encounter road blocks. Have the tenacity to pick yourself back up every time you fall by focusing on the prize.
- TAKE ACTION – The more people I meet, the more I believe in taking action. Everybody fails at one point or another. EVERYBODY. The ones that succeed just try again. Learn to succeed by failing fast.
You already know all this but you may just need someone to beat it into your head again and again. You may or may not like the way I do it, but you can be sure that I will try. Not that I like repeating myself of course, but helping you have been rewarding, not to mention that writing to you helps remind me of these principles as well.
Sometimes people forget, but I’m pursuing the same thing as you too.