12 FINANCIAL HABITS OF SUCCESSFUL PEOPLE
- 16 November 2020
- Posted by: Shlok Bang
- Category: Finance
There are a lot of people out there who do not have a habit of saving their earnings, and rather waste it out in parties and stuff. But a person who wishes to be successful in life would rather save those earnings and invest it for the future. Being successful does not only mean to be a millionaire or a billionaire, it means to be happy and keep their families safe & happy by seeking less help from external sources(basically taking loans and advances).
There was once a married couple who started a small scale business. They did not have any family but the business helped them make an extended family with the employees. One of their colleagues always used to save a lot of money rather than spending it and being a single mother, she had to look after her daughter. Later it was found that she had cancer and she was at the last stage of it.
The lady always looked after her daughter before herself and that’s what helped her daughter to live a better life even after she died. She had left a lot of money for her daughter as she never used to buy anything for herself. This made her a successful human being and a successful mother, as she always thought of her daughter before her. This is where the savings and less spending work even if you are there or not.
We would like to share some ways that can be financially fruitful towards being successful:
1. Organizing Your Day:
One of the most important habits is to organize the day. Some people organize their day one night before so that they can complete their tasks as organized without having much trouble thinking the whole day about it.
2. Action Speaks Louder Than Words:
The tasks that are mentioned by you while organizing your day should be completed on a respective day. You should not be lazy in completing your work, as the time you have decided won’t come back. Experts say that getting up on time without snoozing the alarm is the first step towards success.
3. Reading Habit:
Young minds should be inculcated with the habit of reading. Some people think that only reading successful books will make them successful, but reading failure books will help them to overcome failures and also not to make the same mistakes repeatedly. It is important to note that successful people do read books and newspapers on finances. This gives them knowledge on- How to invest money? How to cut down expenses? And many more. In order to be successful in any field of life, reading is a must and one should at least read 1 book a month. A well read man is worth a 100 people. Also you can search on the best personal finance books for beginners.
4. Track Your Spending:
One should look after everyday spending so that they have clear knowledge of how much they save after having a fixed income. A budget should always be made to create control over spending. This is a good habit as you can invest the same money at a better place so that you can have a passive stream of income.
5. Start Saying No To Yourself:
If you think you are spending an excess amount of money on stuff which are not going to help you in the future, you should develop a habit of saying no to yourself to be in control of purchasing useless things.
6. Use Of 72 Hours Rule:
If you are planning to buy an online product, you can add it to the cart for 3 days. After these 3 days, you will get a good feeling on whether to purchase the product or not.
7. Starting A Retirement Savings Plan:
If you don’t have a retirement plan, what are you waiting for? The moment you start earning, you should start saving some of your income for your retirement. You should not wait until you start contributing more, you should start it as early as possible.
8. Having An Emergency Fund Ready:
One should look after his/her emergency funds once a year. After looking at the funds, it should be determined if the funds are sufficient to cover at least 3-6 months of your living expense. It is hard to be financially stable if you don’t have a well-balanced emergency fund.
9. Think Before Investing:
One should always inculcate a habit of thinking before doing. Thinking always gives you better ideas and it will also help you to search more to get better results. eg. Investing in a place where the investment fees are less compared to other investment commodities, will give you better results. This will not only help to increase your investment but also it will help you to think of much better investment plans for the future.
10. Personal Saving Should Mandatory:
Personal saving goals/ Self-funding means to pay cash for the kind of things that other people borrow money for. Self-funding is very helpful if you have a specific goal. In order to reach that goal, you will start raising money and will definitely spend less eg. If you want to buy a car five years later, you will start saving today so that you don’t have to borrow money.
11. Pay Your Bills Before Time:
The first job to do after getting your salary is to pay the bills. This will help you to calculate your spending for that month and how much you need to save. You will also get knowledge of where you spend more and you can cut things out to save more.
12. Generate Additional Revenue:
Experts say that having a fixed income can be dangerous because if you work in a company, there can be a risk as you get your income from one single place. Instead having some good investments will always help you to generate additional revenue so that you will be on a safer side.
Summing up, if these steps are followed in our day-to-day life, we can easily have a successful life.