Tag Archives: personal finance

Do the money come to you at the speed of the turtle and go with the speed of the rabbit?


If you feel the money are coming to you very rarely or hard and going very fast, you should do something different than what you have done so far, that’s clear!

What can you do differently?

Here are some suggestions:

1. Manage your finances. This would be the first step to see where the money comes from and where they go. It is also the oldest advice you have received from grandparents, right?

Perhaps too simple, but once you start managing your money you will become more aware of the decisions you have to take and act smarter.

2. Change your mentality. If you grew up in a family where money is not being discussed, or if you feel that you are not earning the money you deserve, you probably have a poor man mentality.

You may think that everyone is “busy”, that you can not develop a lucrative “honest business” or that “you are not ready enough to get a good job”. If you think so, I advise you to talk to people who are business owners or friends who have financially worthwhile financial situations.

3. Change your financial behavior. It can not change overnight, but right now you can change the way you spend your money.

4. Answer the question: “Why do money come to me with the speed of the turtle and go with the speed of the rabbit?” Try to answer this question, I’m sure you know the Solution! … and with perseverance I am convinced that you can improve your financial situation.

Personal finances and other aspects of life

All people want MONEY – as much money as they can!!! Taking this into account, the theme “PERSONAL FINANCES” is one of the most important aspects of people’s lives!

Along with FINANCES, other important aspects of life are: Health, Relationships / Friends, Family / Love, Personal Growth, Free Time / Fun, Career / Business!

To achieve or maintain a balance in life, anyone should be concerned about all these areas!

If you care for your own health (you have a healthy diet, you do 30 minutes of sports daily, consume 2 liters of water a day), you will avoid throwing money on medicines and treatments!

If you have quality relationships (participate in networking meetings, maintain your existing relationships and friendships), it will be much easier for you to find a friend or specialist to help you solve a problem!

If you are well on the family / sentimental level (you have a beautiful and united family, the desired couple relationship) you will always find the necessary motivation and the support to succeed in everything you propose!

If you are focused on growth, personal education (go to classes and seminars, read books, listen to audiobooks) you will be motivated and you will acquire specialized knowledge that will broaden your horizons!

If you have free time and do what you like (traveling, practicing a sport, volunteering), you will reduce your risk of suffering the most common illness, simply called stress!

If you are developing a successful business / career (planning your career, attending seminars or business schools, consulting consultants), you increase your chances to generate more value and, implicitly, “higher income”.

If you take the time to educate yourself financially (financial management, concepts, financial products), you will increase your financial intelligence!

Conversely, if you DO NOT focus on all of these possible areas:

… to have a successful career but to be disastrous about love / family!

… to have money but not to have health!

… to have a profitable business but not to have free time!

Savings can help you in the world full of risks we live in

We all live in a world full of uncertainties. Everything that surrounds us – nature, people, things – is in constant transformation, and the result is beyond the limits of our knowledge.
But our economies could be a solution (at least partial) to this problem.
Why? The answer is simple: in situations where we are confronted with many unknowns, over which we have no control, a good idea would be to act in the directions in which we can really do something.
For example, in terms of personal finances. Because money is a mean by which we have been taught that we can interact with the world around us.
So many of the things we need, or the problems we face daily, can be attained or even partially resolved with a certain amount of money, so we might be tempted to believe that ALL our problems would instantly disappear if we had enough money.
A totally wrong perception, for the most important aspects of life really have nothing to do with the notion of money.
But many other things really are related, which is why we are in danger of generalizing …

How can we increase our savings?

By definition, savings are the difference between what we get and what we spend. So, first of all, we could try to act on revenues. We all know that it’s not easy to increase our income, but at least we have the certainty that we know it. I mean, to a certain extent, we can rely on it.
Then, secondly, we can act on spendings. Of course it is not easy, but at least here it depends on us to a greater extent. And if we correctly correlate earnings and revenues, we’ll start to see how savings are gathered.

How can our savings help?

First of all, savings will bring a sense of control into our lives.
Beyond the countless things we CAN NOT influence in any way, the fact that we can act on our personal finances is a positive thing. And when this money control even produces results and we see savings as it accumulates, then we make clear progress towards increasing our safety.
But not only that, our economies influence our lives more directly.
A study made in the US showed that in the years of the last economic recession, 46% of those actively saving said that they were comfortable with their financial situation. Unlike them, 37% of those who did not save said they had to reduce much of their spendings to make it. Clearly, some people manage their money more efficiently than others.
The fact that you have some money set aside and, in fact, in order to live, you need a lower income than you have, it gives you the opportunity to keep your lifestyle even in unfavorable economic conditions. Due to the fact that the option not to put money aside for a certain period (or even to spend from existing economies) does not exist for those who are not accustomed to constantly saving, they will be more affected by any negative changes may occur at some point.
Those who make savings will be less concerned about unforeseen events and will have the ability to make it easier. What is even more important is that they know this, and that gives them a sense of security that no matter what may appear, they can do it.
Also, those who make savings set goals that they want to achieve. They know it’s more financially advantageous to raise money to go on vacation, for example, than to make a loan for that.
For them, savings are an integral part of their life, and the moment they reach their goal is a positive stimulus.
Unlike them, those who are not preoccupied with their economies, even if they get to put something apart, will do so because the fear of unpredictability, not because they are accustomed to do so.
Especially during recessions, economies help foreseeable people to be better prepared and less affected than others. And due to the fact that there will probably be other recessions in the future, maybe it would be a good time to think about your savings.

Also, as inflation is already becoming more and more clearly felt, maybe it would be a good idea to inform yourself about ways to invest your savings so that in the long run you can get profits that go beyond at least the rate at which your purchasing power decreases.

5 pitfalls for your prosperity: here’s how to avoid them

No one knows what tomorrow can bring. So it is possible that some of the decisions you make today have positive outcomes and others do not. We have all made mistakes with our money at some point and have fallen into different traps.
If we go back to that moment, we realize that there were indications that things might not work well, but we ignored them.
So the next time you make a decision about your money, think about whether you’re about to make a mistake and fall into one of the big traps of personal finances.

Here are 5 big pitfalls that you have to avoid in order to have a more prosperous future:

1. You get influenced by someone who does not know what is all about:

Often people do not make the wrong decisions just “on their own”. They are influenced by someone close: husband / wife, parent, friend or colleague. It may happen to ask for an opinion and get a total misconception. Or get the advice without asking for one. It’s one of the big traps where you can fall even if you do not realize it.

Just because someone close to you is making a certain investment does not necessarily mean it’s a good decision. Or, more than that, it does not mean that you should do exactly the same thing. Sure, it does not even mean that the advice of those around you is totally wrong only because they are not finance specialists. But it is important to think about who is the one who tells you what to do with your money and what confidence you can have in his opinion.

2. You are not informing yourself

If you do not take into consideration what can happen if things DO NOT go the way you think, then you are about to fall into one of the big pitfalls.

People would have much to gain by improving their financial education. A study conducted in the US in 2014 shows that 41% of those surveyed believe the correct score for their knowledge of personal finances is the maximum mark of 7. Moreover, 69% of Americans aged 18-34 have never done a course or seminar on money management.

In other words, many people have major deficiencies in knowing about money and how they “work”. “Some spend more time looking for a new barbecue than informing about what type of mortgage they should do for the home they want to buy,” says Randy Kurtz, the manager of a Chicago financial advisory firm.

3. Buy things without practical justification

You have to realize the great difference that exists between what you “want” and what you really need. Regardless of the nature of the object we are talking about, whether it’s a refrigerator, a CD player, a mobile phone or a car, the temptations you’re undergoing are big traps and it’s not always easy to resist them.

However, you must keep in mind the reason why you need that object, that is its practical utility. Do you really need all the features and facilities that it offers you, or do you just like it because it’s the hottest? Because, if so, you are about to fall into one of the great pitfalls for your prosperity.

4. Get into panic and do something under pressure

You’re never compelled to react for the moment. You can be stressed and still make good decisions. But if you feel that your heart is crazy and your mind can not focus on anything, you should probably delay the decision you need to take and remember that “the night is a good counselor.”

Whether there is a negative or a positive event (both can put tremendous pressure on you), try not to make a financial decision on the spot. It is good to distance yourself a little bit, see things in perspective, and find out what people you trust are thinking. Emotions can distort your perception, and it’s easy to fall into traps you could otherwise have avoided.

5. The instinct tells you “no”

Just think a little: why does your instinct tell you that spending money in this way is a mistake? Is not that one of those traps you should avoid? It might be so … So do not ignore it and think again if what you are going to do is really a good idea.

5 helpful tips on how to get rid of debt

There are no more stressful things than debts, worries about monthly spending and insistence of creditors. Did you think maybe you just do not know how to get rid of these debts? Well, you’re not the only one! Fortunately, there are experts who can show you some practical ways that can help you pay your debts in time.

First, there are periods when debt is inevitable. For example, you can buy a house, a car, pay for medical fees or school for your child. If you do not have the money to make a full purchase, then taking a loan can often be a move even indicated.

However, there are situations where you borrow more money than you can afford and you are unable to repay them. This is the time when problems arise. However, it is important not to panic. You can always find solutions to help you get rid of debt.

Here are some practical tips that will help you better manage your debt:

1. Perform a financial reassessment

It begins by always looking at both the mistakes and the financial successes of the previous year. What can you learn from this? What did you do well? What could you do better? Draw up a budget for the next year, using what you learned from the previous year and use it to guide your spending in the future.

2. Plan and buy smartly

Make a list of the items you need to buy before shopping. Knowing just in advance what you need and limiting only to purchasing these items will allow you to fit into the budget. Try to establish with your family and friends and buy together what you need in larger quantities. This can help save you in the long run.

If, for example, you tend to exaggerate with Christmas gifts, and this is important for you, prepare yourself early. Consider budgeting and buying gifts throughout the year to avoid last-minute spending and debt.

3. Take a part-time job

One of the best ways to get rid of debt is choosing a part-time job. The extra money you will earn is an excellent way to pay your bills. Normally, if the time permits you and your current job is not very demanding.

4. Sell what is no longer useful

Another recommended way to get some extra money to pay your debts is by selling items that you no longer need or you no longer use.

5. Consider the advice of a specialist

If you realize that you simply can not manage your own budget and personal expenses, then you can call on a financial specialist. It does not have to be a professional you need to pay. Instead, he can be a friend with money management experience that can provide you with financial education, guidance and counseling.

6 Things To Know Before You Invest In Real Estate

When we think about starting a business or making a financial investment, the ultimate goal is usually the same: getting enough money to allow us to live the lifestyle we want.

And when you think about the amount of money you have to raise to allow yourself to do that, do not forget to consider inflation + taxes that have to be paid and that will automatically have to be deducted from the total amount of money you have.

And when it comes to investments, having a property or several real estate is always a good idea; even in periods of financial crisis.

Think so: land is a finite resource. People will always need spaces specially designed to live, work and have fun. So, just like in other areas of business, so is in the real estate: everything is just a game between demand and supply.

What is good to understand is that: real estate properties will continue to experience an increase in their value as time passes, despite slowing down periodically as a result of more subtle or larger economic crises.

Real estate is the field that brought most people from simple people to millionaires. And in spite of what you might think … no, you do not have to be a genius to succeed!

So, if you’re thinking about investing in real estate, to gain your financial independence, here’s what you need to know:

1. Set your financial goals

What are your goals from a financial point of view?
What are you expecting from buying a real estate?
What you achieve by acquiring that property will bring you closer to achieving your financial goals?
As you well know, developing a business requires time and money. Investing in real estate is no exception to this rule.
So, if you have an already tight amount of money that you want to invest in this direction, make sure you take all the time to identify a property that matches your budget and not just so … a property which, once purchased, will serve your interests better and will make it easier and faster for you to accomplish your goals.

2. Do not spend a fortune on books and courses

You do not have to misunderstand. You need to have some knowledge about real estate because, from this adventure you start, you get to be a winner. But what you must know is that all the information you need should get maximum a shelf on your library as a volume.
So bend over the books and study carefully. Search on Google and make a habit of reading real estate sites.
But do not overwhelm yourself with the existing information around you. When you notice that you read, read, and the things you already know continue to repeat, with 1-2 relatively new elements in addition, it means you have learned about everything you need to know.
It is very easy to let go of the thought that you still have not found the trick you need to quickly get rich out of real estate and continue to document, collect books and courses in the hope that you will find that secret information that will open the gate of wealth in real estate for you.

So, when you notice that the information you read is still repeating, it means that it is the perfect time to stop reading and return to real life. It’s time to move to point 3.

3. Visit several real estate properties

Life beats the movie. And what else can make you feel the pulse of real estate in your area, than … some direct visits on the field.
But great attention! Do not buy the first property you see.
Here are two mistakes that many real estate investors do:
Buy a property for the simple fact that they like what it looks like

Buy the property because they are not willing to make the effort to inspect other properties existing on the market at that time
Remember: you must look at that property from the perspective of return on investment. You will not live there. You do not have to like it. Instead, it must be profitable when you decide to sell or rent it.
Once you’ve visited enough real estates, take a moment to think and put on paper the most tempting real estates you’ve visited. Write along with them your financial goals. Then try to reduce the number of listed properties from the perspective of the goals you want to achieve.
This exercise will help you make the most beneficial choice for you.

4. Do not expect the miracle offer

By viewing real estates again and again, you can fall into the other side: to postpone the decision to purchase. And as you may well guess … this action will have negative repercussions.
Not buying a real estate under the pretext that you have not found the “winning offer”, you might lose more than if you found an offer not as tempting as you would like, but you have bought it to put it to work, to produce money for you.
To conclude: as soon as you find the real estate offer that meets most of your criteria, stop thinking and buy it. Continuing to wait for the “irresistible offer” you dream of is a dangerous game … this offer may never be, and the offers that pass next to you may not come any more soon.

5. Make a thorough financial analysis

Let the figures speak. Look at all like a game of numbers. Just so, the conclusion you get will be realistic.
If you think about the whole transaction from the financial perspective and leave your feelings aside, it will be easier for you to refuse a property when the terms and conditions of the transaction do not meet your profitability criteria.
In this sense, take the time to make a complete analysis of the property based on its history. Also, inform yourself about the distance to the city’s main points of interest.
See how much you can rent or sell the property according to the potential of the area.
Take into account the taxes that must be paid and the interest you have to pay to the bank, if you make a loan to that effect.
And finally, draw the line, and see how profitable your real estate investment will be.

6. Find sellers anxious to close the deal

How can you do that? When you find a real estate that you like, be interested in it’s history. Since when is it put up for sale? How has it’s price changed since it’s on sale to date?
If the price of the apartment or house in question is unchanged although the property in question is on sale for more than a year, you can see that its owner has it’s price and is not willing to give it less than what he ask for; in other words: negotiating with him will not end with far greater benefits for you.
But if you find a property whose price has continued to decline over the last year, it means that its owner is anxious to get rid of it. As a result, that person will be more flexible in negotiating with you, and you are likely to have the chance to win and get the price and conditions you want.


Owning one or more real estate properties can provide you with the financial stability you want. It can also be packed with those passive income that everybody wants, if you rent it.

It’s all about staying calm, not making hasty decisions, and logically judging, based on figures. Real estate businesses are long-term businesses. Also, it’s important to realize that buying the desired property is just the first step you take to reach your financial goals and not the end of the road. Success!

Learn how to invest in real estate

Real estate investments are safe and have the best chances of becoming profitable in the medium and long term. The situation has changed over the last years, the crisis has been overcome and the real estate market has balanced, and a real estate investment can be, very easily, driven to success. Any real estate investment process is required to undergo a valuation and analysis procedure to make the investment profitable.

Stages you have to go through to make the actual investment:

1. Analyze your financial situation. Set your budget clearly. In particular, evaluate your assets and incomes, analyze your expenses. Thus, you will be able to have a clear picture of the capital you would have available to invest in real estate. If you intend to make a loan for this initiative, your savings will be very important in paying advances and reducing the monthly financial rate.

2. Consult a bank. Depending on your budget, if you think you still need money to go into the investment, consult a bank and get a credit pre-contract. Thus, you will find the amount you will have to make a first investment in real estate. You will also know the monthly rate you will have to pay in the case of a credit.

3. Make an investment plan. For starters, try to determine what properties you would be willing to invest in. For example, if you live in an area with intense economic activity, a profitable investment would be in an office space. This type of property can bring you a substantial income and can support the rate if you have a bank loan.

4. Verify your competition. Analyze the offer on the local real estate market, especially if you are targeting an investment in your city or area where you live. Depending on the information obtained from the market analysis, you can determine that your investment in real estate will bring extra gain. The market for apartments, commercial spaces, land is a competitive one, so it is mandatory to differentiate your property through a value element to raise the interest of potential buyers or tenants.

Only invest in areas where that you know. Take these steps before you make a first investment in real estate, leave a comment and tell us your opinion.

Financial freedom – one of the keys to happiness?

Obtaining financial freedom is one of the most important responsibilities in our lives, not just for personal well-being and for family, but also for getting rid of any health or inter-human problem that could be generated by the lack of money.

In a world marked by profound changes, which are succeeding at an alert rithm, and in which it becomes increasingly obvious that we are the only ones responsible for our future, setting as the goal of obtaining financial freedom is an important component of personal success.

Money can offer this freedom. The more money we have, the more freedom we have and the more options we can choose from. Achieving a sound financial education is only the first step in achieving material wellbeing, but it is indispensable in its preservation and the subsequent attainment of financial freedom, that particular state in which the winning of money no longer preoccupies us.

Financial freedom is a deeply individual state. No one can decide in our place how much money is enough to consider us financially free. This state can be achieved by anyone who engages firmly and persevering in achieving this goal, and the starting point is how to manage your personal finances.

7 mental mistakes that prevent you from getting rich

The first step to gaining wealth is to get rid of preconceived ideas and bad mental habits that pull you down.

Which are these?

1. You’re just focusing on the near future

Do you know what people’s greatest regrets? The fact that they did not start saving earlier. Saving and investing money for 30 years is often overlooked in favor of spending money for an immediate need. Whether we are talking about a phone, a car or a house, it will always be something that seems more important than saving.
We place too much emphasis on what happens in the next few days and weeks and little emphasis on what will happen over a year … or, not to say, over 10 years.

2. You hate moments when you lose money

Studies show that the so-called ‘pain’ caused by losing money is more than twice as much as the pleasure we feel when we earn money.
This mental blockage often makes you make the wrong investment decisions and stop taking risks that would be worthwhile.
For example, a bet on throwing the coint, which would bring a $ 00 loss if the guesse is wrong.  Although a $100 gain (chances 50-50) would make this bet a fair one, most people would only accept the bet if the win would be $200 or more.

3. You are overconfident

Often trust is the key to success, but there is a limit. The point is that not all of us can be better than the average.
When it comes to investing money, too much self-confidence makes people take risks that they later regret; makes us believe that we can “beat” the market and that we can invest large amounts of money in one thing, without diversifying it.

4. Try to rationalize the wrong decisions

Throughout your life you will make a series of financial mistakes. It’s a sure thing. What matters is how you will come back after these.
Instead of recognizing and correcting these mistakes, we will often try to invent reasons that make our mistakes decisions that seem rational.
Sometimes, the notion that “we’ve made a bad financial decision” might hit the idea of “I’m good at managing the money.” Instead of pretending it is not a big problem, it would be best to correct this and move on.

5. You get financial decisions based on emotions

While managing our money, we need to be aware that our goal is strictly a practical one – making money. In reality, however, we often make decisions for emotional reasons, and so we get into the situation where financial goals are affected by other things from our everyday life.
The conclusion? If you want to get rich, you have to make objective financial decisions, or at least avoid doing something about your money when you know that you are not in a very good emotional state.

6. You rely on what seems to be good

We often base our decisions on the information that comes out more clearly in our minds. For example, unlike a car crash, the crash of a plane is always a news story, so we are automatically more fearful of flying, even though they produce much less deaths than land-based accidents.
The same must be done in the case of our finances. We often read news about business people who have been enriched by successful investments, or people who have won the lottery. For this reason, it seems to us that winning the lottery or that succeeding to become successful business people is much easier than in reality.
Build your financial decisions on statistics and research, not on news or spectacular information.

7. You lack self-control

With so many opportunities to spend money, saving seems to be the last thing you want to do. However, it is necessary to start saving and investing as early as possible if you want to have at least a chance of enriching yourself.
A little financial discipline will help you a lot in the long run, and after all, you are the only one responsible for your own personal finances.

The 12 “tricks” to make savings

When it comes to money, saving is not my favorite subject. I prefer revenue growth!
However, saving is extremely profitable, because every money you save in a project is pure profit.
Revenues are taxed. Cost reduction, no.
Consequently, it is worth talking about ways we can make savings. We have selected 12 such ways for you.
This is my favorite list of “tips and tricks” when it comes to saving money:

1. Make short-term savings goals: for example, 20 EUR a week or something of this kind.
You will be more successful with such goals than with long-term ones (6 months or one year).

2. Get used to picking up the small pocket every time you change your home clothes and put it in the same place (jerky jar, etc.)

3. When you want to buy something, do not just think about how much it costs, but how much you have to work to pay for that object.
This will help you to see things more clearly.

4. Go shopping with the list and keep up the list.
There is not much to say here. Just do this a few times and draw conclusions. ?

5. Walk.
It’s healthy.
However, it would be desirable to do at least 10,000 steps a day, and if you sit in the office, you make between 2000 and 40000 steps.
If the journey to the office takes less than an hour (6-8000 steps), it would be interesting to reduce your transportation costs while increasing your health benefits.

6. Are you sure you need all the space you live in?
You may be in favor of this …
It is possible that a better arrangement of your home will save you 100 euros per month (for example).
In 10 years, that means 12,000 euros, without taking into account any interest.
With an intelligent investment strategy, it could easily be 20,000 euros.
Could you get that money in 10 years?

7. If you have a property do a calculation in terms of investment in thermal comfort for 10 or 20 years.
You may find that investing in thermal insulation or a smart heating solution can save you thousands of euros in the long run.

8. Buy clothes on two criteria: price and durability, not just price. A shirt that is ruined after two wears is a bad deal, no matter how much it cost.

9. Renegotiates the price paid for telecommunications (telephone, internet).
As technology progresses, costs in this area are going down. As a result, most people pay extra money because they do not renegotiate their contracts.
Do not miss this opportunity!

10. Be careful to look before you have fun!
You can find excellent prices when it goes to trips. If you plan ahead and compare multiple offers, you can find incredibly convenient prices.

11. Plan your gifts!
On the same idea as in point 10, gift planning can relieve you of unnecessary expenses. The most beautiful gifts are the right ones, not the expensive ones.
But, to fit a gift with the recipient, you need to think about it a long time ago.

12. Learn how to save – that is, studying the money!
A single idea like the above, that you learn and apply, can save you tens of thousands of euros over the years.

The most beautiful part?
Any of these ideas can be transformed into life-habits – which means they become automatism and, as a result, they no longer consume energy, but they bring you money.


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