2018 03 14 14 35 55

 

Ever heard the term keep up with the Joneses?  When broken down this really means trying to keep up with everyone around you.You see someone you know driving a nice car, wearing nice clothes, traveling, or even fine dining. You see they look happy on the outside. But, have no idea how life really is on the inside. So, you see this life and want to embrace this yourself. What do you tend to do?  Well, most of Americans try to keep up with that person as they look like they have it all. However, all you are doing is wasting time, money, and effort on nothing. You are literally spending money for no reason at all to keep up with a pretend lifestyle that may not even make you happy.  I used to be guilty of this in my early 20’s when I was in fact broke but put on the front of how happy I was and how much money I had. However, I was basically living paycheck to paycheck. I had a good job that paid well.  But, I never saved and invested well. I was more worried about what people thought of me on the outside and spent every penny I had to embrace that appearance.  It took me until I was 27 to realize I needed to change my entire process on what success really meant and what success really was.  That is when I picked up some great books and learned about Warren Buffett. Warren is a simple man that lives a normal lifestyle. Although he is a billionaire he keeps embracing his normal spend behavior. He lives in a normal house where you would find a middle-class family and drives a basic car for transportation. His entire life is based on saving every penny because a penny is worth investing and compounding that penny will give you a return into a quarter one day.

 

Bottom line:

I suggest you leverage your total income potential in several streams.

I suggest you live on 30% of your income or you will never have money to save.

I suggest you invest your 70% balance for long-term growth potential.

I suggest you get addicted to saving and watching your returns grow.

And mostly I suggest you learn about compounding interest.

 

P.S. Having money in the bank is much cooler than the Joneses! Let them spend all the money and you can laugh under your breath.