I’m always telling my family and friends they need to put part of each paycheck into trading accounts and 401k plans, or some kind of market account where they’ll earn more interest than a savings account.
They stare at me blankly.
So I tell them a joke: “The quickest way to a man’s heart is with Chuck Norris’ fist.”
Most people I know burn through their money faster than they get it. I’m sure part of the problem is lack of financial education especially on the part of the middle class. We’re taught how to be great consumers, but not how to save and plan our financial future. We also have to constantly pay off debts such as mortgages, credit cards, and that new 15mpg SUV.
It’s hard to save money when next month’s paycheck is paying off last month’s bills.
I think the rich get richer because they know how to get rich. By saving money. By investing in stocks, bonds, currencies, and real estate. By learning the financial game.
It may be easier to make money once you have money, but we all need to take the first financial step to building our empire: learning basic finance and starting to save money.
“Life is full of uncertainties. Future investment earnings and interest and inflation rates are not known to anybody. However, I can guarantee you one thing.. those who put an investment program in place will have a lot more money when they come to retire than those who never get around to it.” – Noel Whittaker, regarding long term investing.
props on the chucknorris. i wish i knew how to save money.
We have a 401k and had to roll it over when we changed banks but now it is starting to vecome larger. I love putting money in the bank and watching the interest build on it. I also play the market a little with Tyson stocks. I have made some money off selling a few stocks and buying back when stock is low.
Hi angel,
Glad to hear you’re saving money, too. It can be hard sometimes, but we all can succeed.. slowly but surely.
Really the only way you make money with stocks is when you sell. Buying back when the price falls is a good strategy. It has worked for me many times. I’ve also seen a lot of other people make good profits from selling towards the top and buying towards the bottom.
The real work is finding out if you’re close to the bottom, or if the stock is still falling. Need to read as many news articles you can on the stock as well as the financial statements like balance sheet. A company that’s gaining contracts and new deals is one I would buy at the lows, but a company that’s losing a lot of money each quarter and not gaining many new clientele is one I try to avoid.
Good luck saving!
Best Regards,
Nick