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Finance budgeting is a critical skill you need to master
if your goal like millions of others is to get to financial
independence.
What exactly is finance budgeting?
The word “Personal Finance” relates to self-managing of your
money and usually covers the topics of saving, investing and
controlling your money and overall wealth.
The word “budget” simply means allocating a certain amount
of money to a particular area in your life that you spend
money in EG’s Food, shelter, transport, clothing etc. Budgets
help people to “control” their finances, and they help you
to get to your financial goals quicker and easier.
Why is it so important?
Without adequate control of your spending habits, you are
likely to spend every penny you earn and some! Personal finance
budgeting is therefore essential if you want to take control
of your financial destiny.
Once you have budgets in place (And you decide what they
are and how much ) you simply stick to those budgets throughout
the year which in turn allows you to invest a certain amount
of money into an excellent growth investment vehicle (Such
as a world class Investment fund) which then in turn will
help you to get to your goal of financial independence.
How do I set a budget when it comes to
my finances?
Easy, you first of all make a list of ALL and I do
mean all the things that you currently spend your money on.
Think in terms of “categories.” Create category headings
such as Food and Drink, Housing, Clothing, Eating out, Charity,
Luxuries (E.g. Cd’s, DVD’s, takeaways etc) – One category
that is essential must be “Investing” and at least 10% of
your income should go straight into this budget before ANYTHING
else is taken out of your income.
As you move on in life and get better at controlling and
growing your wealth, you can increase this 10% to 20%, 30%
or even more.
Find out more about how
to create a budget in The FAST TRACK to Financial Independence.
When is the best time to start finance budgeting?
The quicker you start, the quicker you can get on the fast
track to financial independence.
Claim your FREE
information now and learn how to become a millionaire!
In Chapter 6 of the bestselling book The FAST TRACK to
Financial Independence, you learn how to make a financial
plan that works. Within this plan, you will be setting budgets
in all the areas that you currently spend money.
One of the keys to financial success is to take out of your
income (Your monthly wages /rental property income etc) at
least 10% and then invest that money into a safe but powerful
investment vehicle such as an investment fund that meets the
G.R.I.F.F. criteria.
By investing just 10% of your wages, in as little as 30 year’s
time, you could not only become financially independent, you
could also be sitting on a million pounds liquid or even more
if you get serious.
How does this happen?
The secret lies in compound interest and time. Money doubles
every 5 years if you can grow it at 15%.
£10,000 becomes £20,000 and the £20,000 becomes £40,000 and
the £40,000 becomes £80,000 and so on. This doubling effect
keeps on going as long as you can get your money to grow as
stated at 15%.
Where do you find a vehicle that grows at such powerful
rates?
The answer lies in the stock market.
Get your FREE
information now on how to master the stock market to help
you become financially independent Fast!
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