Action - Just Do It

How do you start on your journey to financial happiness? The answer is: NOW! Of course it would be better if we had started it yesterday. Or 10 years ago. Or when we were still babies (for those with financially-savvy parents who "loaned" us some money).

What is the first step? As simple as it sounds, we must decide what we want. Put a figure to our "happiness" objective. To have $100,000 in 10 years? To have $1,000,000 in cash when we retire in 20 years time?

Our mind is like a heat-seeking guided missile. It must be given a specific target. Otherwise it will get confused. It may even not take off. Worse, if it takes off wothout a specific target, it may self-destruct.

Once the target is given, then the missile knows where to go. The direction. The speed. All these will automatically be calculated. Similarly for your $1,000,000 target in 20 years.

What is the second step? It is to make sure that you PAY YOURSELF FIRST. Any income that you get, pay your self first. Simple to understand, ain't it? But for some people (that does not include you, I presume) it is difficult to DO! This is the first FINANCIAL HABIT that we need to nurture.

For a start, how much should you pay yourself first? Ideally, a minimum 10%, to be put into a savings account. If you are really, really challenged, then anything would be better than nothing (i.e. not starting). A journey of a thousand kilometres begins with a single step. Just do it!

The secret to doing this is to automate the process. How? Give a standing instruction to your bank to transfer your salary to a particular savings account. You are cheating yourself if you use an ATM (Automated Teller Machine) card to withdraw it later. So do not get an ATM card for that savings account.

What's the third step? NEVER BUY ON CREDIT. If you cannot afford it (i.e. you have no cash!), don't buy it. You are not trying to look rich; you want to be rich! If you use a credit card, make sure you have the money to fully pay the credit card balance in FULL at the end of the month. Buying on credit makes the bank or the merchant rich and happy, not you! (Though you may look good!)

If you can just carry out the above 3 simple steps, do you think you will be changing for the better? Would it be a good start? If yes, do it now!

The moral of the story? We can only achieve our financial objective, if we do it NOW through the right financial habits!

I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!