Learning is the first step to becoming financially free in your life. The second is putting it into action. The action of learning is the same as in music as it is in investing. You must practice the guitar in order to be good at it just as you must practice being discipline with your money in order to have it grow for you.
Everyone learns differently which is why in this article we will break down some major principles for you to learn more about becoming financially savvy with links to videos, articles, and books.
Pay Yourself First
Save 10-20% of all that you earn. Regardless of how much it is before or after taxes. If you earn $100, save 10-20% of that then use the rest to take care of bills etc. This is one of the most important disciplines to have in life. The first and most important step is to be able to do this while still affording your cost of living. Make it happen regardless because the more you pay yourself first over and over again the better off you will be in the long run for yourself and your family.
Do not save what is left after spending, but spend what is left after saving
- Warren Buffett
Book:
Arguably the greatest book of all time on money
Video:
Robert Kiyosaki pay yourself first Oprah Winfrey interview
Make Money While You Sleep
In order to become financially free in life you have to find a way to make money while you sleep. Earned income does not cut it by itself when it comes to becoming a wealthy individual. You must find a way to leverage your earned income (income you exchange your time for) to create ways to make money that does not require your time. We can't emphasize this enough. Your time is the most valuable asset that you poses as a person. The sooner you realize that your time is more valuable than the money you have, the better off you will be. How you can start today is by investing your money into portfolios like the one that we set up for our users (https://www.marinationmusic.com/portfolio) so that your money will grow without you having to give up your time.
Link:
Some great ways to generate money while you sleep. There are a couple that do require your time but can be leveraged like the information above.
Video:
Check out this video on some thoughts around the subject.
Conclusion
Theses are the most important two principles that you will find on becoming financially free in your life. If you master both of these principles you will set yourself up for a peaceful life when it comes to finances. Take it one small step at a time. You can start paying yourself first today and build your passive income step by step. Continue to take action with staying focused and patient.