Do you have Money to Invest?

Hi,

This week you probably have read this headline several times in your newspaper : DOW Hits Another High!

The stock market has been very active in the past few days. The Dow market marked its 12th all-time closing high in 17 sessions. You may already have cashed out your profit and now enjoying the fruit of your smart investment. This is the beauty of Passive Income, in this case you earned it through just a phone call to your broker or a few mouse clicks if you are trading on line.

Or, you have missed the boat? What have preventing you for investing? I am not just talking about stock but
referring to all kind of investments that will provide us with a consistent stream of Passive Income [please read my post on Chasing Daylight : the importance of having Passive Income].

Some of us get on with our live without much saving and when a good money opportunity knocking our door we find ourselves do not have the resources to take advantage of it. Saving of money is so important without it we can't create Passive Income streams for us to be financially free. Certainly, saving without investing is equally bad.

So how exactly could we manage our money?

In his book Secrets of the Millionaire Mind: Mastering the Inner Game of Wealth, Harv suggested the following:

(1) Put 10% of money into a separate bank account designated your Financial Freedom A/C.
This money is used for investment or creating Passive Income streams. The money in this Financial Freedom A/C is never spent-only invested.

(2)Put 10% of money into "play" account. This account is primarily used to nurture yourself. It is for the special things that you enjoy doing like going for a holiday, renting a boat for the day. Or go to a posh restaurant. The rule of this account is that it must be spent every month.

(3)Put 10% into your Long-Term Savings for Spending Account

(4)Put 10% into your Education Account. This is to equip yourself with the necessary skill and knowledge to be financially free. Or, to increase your financial literacy.

(5)Put 50% into your Necessities Account

(6)Put 10% into your Give Account. There is a Universal Law that says the more you give, the more you get. I strongly believe it!

Whatever money you have , begin managing it now. Do not wait another day. Even if you only have a dollar. Manage that dollar and you well be on the road to Financial Freedom.

To your success and happiness.