Sooner or later, there comes a time when we make more money. Whether it is because we got a raise or because we found an additional income stream, it is something everyone will experience. Most of us start spending more money when these events happen because we feel that we can afford the extra expenses. However, if we want to achieve financial freedom, I suggest doing the following instead.
401k and IRAs - We should increase our 401k contributions and IRAs! Since we just got a raise, we wouldn’t feel much of a difference since we can probably increase our contribution rate and still get a higher take home pay!
Savings and Investments - Exactly the same as above. If you get a raise of 5%, why not put most of it into savings and investments? You won’t feel a difference and you will be much happier down the road. Save more, keep more and get to retire earlier.
Spend Some, But Delay It – When we increase our income, we should save the money and start spending it in a year. That way, you give your money time to accumulate and start earning interest. If you stick to this plan, you might be able to just live off the extra interest that you are earning!
Of course we should celebrate when we get an increase in income, but we should do it responsibly! Work hard, spend with discipline and live happily!!
Promote or Save This Article
If you like this article, please consider bookmarking or helping us promote it!
Print Post | Email Post | Del.icio.us | Stumble it! | Reddit |
Related Posts
- Wealth – The Two Things That Matter
- 2007 Retirement Account Tax Changes
- Why Aren’t We Taking Advantage of Free Offers?
- Increase Your 401k Contribution Rate During the Beginning of the Year!
- US Airways helps me focus on savings
Subscribe! (and Get a Mini-Course with Free Registration)
Follow me on twitter! In addition, subscribe to grab free amazing content or take advantage of the newsletter to have content delivered to you. For starters, a 7-part mini course to help you spend less and be happy will be delivered to you when you subscribe!(Don't worry about spam, because we hate it as much as you do!)
Twitter
Facebook
Subscribe
{ 9 comments… read them below or add one }
I really like the idea of delaying spending for one year I had never thought of it that way. thanks!
Not long ago I got a raise in pay so I immediately joined my company’s 401k with it. I’ve only been working there about 1.5 years and until now, every dime really has been needed for bills and just living. But the raise gave me the chance to invest in my own future without affecting my regular budget.
That’s a very good idea. Quite often people start spending any extra money they make and in some cases spend even more.
I’m a person of simple needs and frugal habits. I can tighten the belt pretty far over!
Investing can make a big difference. Although at first one really has to tighten his belt for the budget. But in the long run you will gain the fruits of your hard earned money.
I have already started my investments on mutual funds. Its a great way to increase your income. Another thing attracting me is the real estates
How to make a plan to Achieve Financial Freedom.Our Achieve Financial Freedom website is fully dedicated to help you Make Money Online And Achieve Financial Freedom.
Cheers,
Achieve financial freedom | Money making opportunities | Wealth education
w9×8mY pnkjuvzyzrit, [url=http://qmkshrmskdwz.com/]qmkshrmskdwz[/url], [link=http://ckhrrjzfwbna.com/]ckhrrjzfwbna[/link], http://kigwvtzthkkp.com/
notice; imdur; trimox; imodium online; phosphatidylserine; order prograf online; order cheap xeloda; purchase tretinoin cream online; female viagra online; arava; prometrium; atrovent; buy relafen online; inderal; zelnorm; cheap coral calcium; alpha lipoic acid online; chloroquine; purchase cheap wellbutrin sr; buy cheap mevacor; order imdur online; avalide; buy generic nizoral; buy motilium; buy generic levlen; omnicef; diamox; elavil online; buy generic motilium; triamterene; cheap nolvadex; buy atrovent;