Tag: personal finance

Simple Money Management

Posted in finances, Habits, howtogetoutofdebt, Investing, personal finance, Saving

Every good business and rich individual knows how to do one thing very well. Successful people probably don’t touch on this topic a lot, but the route of financial success is simply good money management skills. Managing your money can be difficult at times, but although it’s difficult it can be simple too.

This post is going to be dedicated in showing you simple ways to manage your money, so that you can have the keys for success.

PAY YOURSELF

I know a lot of influencers talk about paying yourself but they don’t particularly share how they pay themselves.

these are the ways I pay myself weekly and sometimes monthly:

• my 401(k) plan

• buying stocks

• other investments.

Essentially I take whatever is left in my savings accounts and use it to do one of these three things. Now since my 401K is already taken out of my paycheck, I really just use my savings for the other two.

SYSTEMS

I know a lot of peoples method or system when it comes to their personal finances, is to simply cash the check and stuff it in a box. Cashing your check is the worst method or system you can use, as Grant Cardone says “cash is trash.”

This is true because it doesn’t pay to have cash, it pays to have assets.

My personal method or system for handling money, is to deposit everything I make into my savings account. All I do is deposit and transfer for bills, that way after paying my bills I’m able to see what’s left for possible investments.

You don’t have to use this method, all I’m saying is that this works for me so you should try it and see if this system works for you. You can create any method or system for yourself as long as your know how you spend money.

These are just a few concepts I use I hope this helps you when it comes to your personal finances. Like I said from the beginning managing money can be difficult but also simple, so I hope these concepts were simple enough for you.

You can let me know if these concepts work by leaving a comment on this page.

Thank you for reading

THE WAY I SAVE

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What is an ETF?

Posted in finances, Investing, Money, passive income, personal finance, Saving

If you are a rather new to investing chances are you probably don’t know what an ETF is and what it can do for you. Well in this post I’m going to breakdown this acronym for you so that you will be able to see if investing in an ETF is right for you.

E – Exchange

ETF’s are a type of security that deals with a number of stocks in a specific index. Investing in an ETF helps diversify your portfolio just like a mutual Fund would. I currently hold an ETF called “JETS” in my portfolio to take advantage of the airlines that dropped during the pandemic. Since I don’t know which airline to purchase specifically, I choose to diversified through this ETF. Its always good to hedge or own each competitor in a struggling sector that has been through difficult times such as the airlines.

T – Traded

If you hold a mutual fund in your 401k you don’t have to pay taxes on it but if you own one outside your 401k or pension plan, you can be paying 15 percent in taxes. A good thing to know about ETF’s, is the fact that ETF’s cost less than Mutual funds because an ETF charges less in brokerage commission than buying individual stocks. Plus as long as you hold on to an ETF, you don’t have to pay a ton of taxes.

F – Fund

the reason an ETF is called an “Exchange Traded Fund” is because ETF’s are traded or exchanged on the stock market, just like any other stock or company.

Some of the biggest ETF’s are known as the NASDAQ, S&P 500, and Dow Jones.

Which are also referred to as index funds. Also, when an news anchor talks about the market he or she is referring to these three index funds or Exchange Traded Funds.

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THE WAY I SAVE