Making a Successful Budget


God gave us Money us a resource, here is an post to expend on that….

Wouldn’t you love a way to make money, but not have to clock into work at 9am each morning to make that money? Hey I was in the same boat your in not so long ago. In this small book, I’m going to share some tips on what you could do to make extra money to the side.calculator-calculation-insurance-finance-53621.jpeg

 

History Lesson

I started my first job, as a part-time $7.25/hour bathroom cleaning, towel washing, coffee making worker at the age of 18, I showed myself as a trustworthy worker and my boss gave me more hours and showed me how to clean other things, like an swimming pool. He showed me how to use an power washer for the ground and we painted the swimming pool ground area. When I was 19, I had saved just about about $10k in the bank. I also started another position in walmart, I earned an department manager position and got my own apartment and a truck around that time. Believe me or not, within 6 months, I lost everything. When I say Everything, I Mean Everything. Evicted from my apartment, my job was about to fire me, my truck was on the repo list, my credit score when straight from 750 to 300, Everything I earn, I worked so hard for, gone, literally overnight.

 

I tell that story because, I think you might listen to what I have to say in this book, article, small booklet, or whatever you want to call this piece of writing. I want to talk about the important stuff first in this book before we dive deeper into the money topic. See, in order to make money work for you, you have to understand how to stop money from destroying you. See I turn my best friend into my worst enemy and that is exactly how I lost everything. Now today, I have way more then I lost, but it was a slow process that I had to work myself up to. It took time, it took anergy and it took some motivation, but mostly it started with discipline. To be-able to control myself in my spending, that’s called an Budget.

 

What is An Budget?

 

A Budget is your Money Plan, with goals attached to it. Instead of me using fake examples, let’s look at what I do. I make $3k an month, I have to pay for a 2017 chevy cruze, insurance, gas, food, rent, water, electricity, debt. So I would write out all my expenses like this, from Most Important to less Important….

 

List out your expenses and what money you owe

Rent (Don’t Pay Rent, live in my car (Eviction screwed me for 7 years) but most people pay rent        so go ahead and put it what you pay)

-Water (N/A)

-Electricity (N/A)

2017 Chevy Cruze ($375/month)

-Insurance ($175/month)

-Gas ($200/month) (Drive for UBER)

Cell Phone ($50/Month)

Debt (-$20,229)

-Good Debt

-2017 Chevy Cruze ($17,160) (No late Payments)

-Bad Debt

-Eviction ($2,900) (paid $300 of $3,100)

-Lendup Loan ($1046.76)(Paid $100)

-NCA ($500)

 

Once your done, do the math and figure out how much money you spend monthly and how much you owe and figure out the difference…

 

Total Monthly Spending…  $800 + if I pay anything into Debt.

Total Monthly Saving… $800-$3000 (Spending – Monthly Take Home) = $2,200

 

Now that I figured out how much money I’m SPENDING and SAVING, I ask the 2nd question…

 

What do I do with the $2,200 extra?

 

There are a-lot of options, I explore a few, but here are some options I recommend…

401k, IRA, Index, Stocks, Mutual Funds, Bonds, Brokage Accounts, Lender to Lender and there are a-lot more out there. The Lender to Lender one is where you loan your money to other people and you get a interested from it plus your money back, pretty cool, found out about it few months ago.

 

I have an 401k from my past employer, Walmart. This last quarter I made around $700 on it. Fundrise is an way for you to invest into real estate with an start up investment of $500, I have been doing this for a few weeks, with an return of 11 cents a day. Acorns is great to invest into also. I have $150 an account with them and that money is growing little by little each month. Projected to have about $8,000 in 10 years, if I invest $20/month into the account. When you do the math, if I invest $20 for 12 month, I invested $240, now if I keep on investing for the next 10 years, that I have invested $2400, but I would make $8000 from the $2400 investment.That’s what it means by the saying, “Make Money Work For You”. Recently I started investing into small businesses for as little as $100 per business on a platform called Microventures. I invested into 3 different companies on that platform.

 

That’s where I stand financially, I encourage You to start with an Budget. Site down, write out all your expenses, debts, savings amount and see where you stand with your money. And then Start investing. My rule in investing is don’t think SHORT TERM OR Where you want to be in 5 years from now. Think, Where do I want to be in 10 years from now? Why Long term, because Money needs time to grow. It takes years and that’s a lesson I had to learn, because I wanted it to take months, but now I understand, it takes years. So Spread out all your investments. I’m Not investing more than $100 in a small business, my limit $100, because I can use the other money I have to invest in other small businesses.

 

Why is Investing Good?

 

I know, your thinking, why invest into something that I might not see a return on for the next 10 years? 1994, that’s why, That was the year Amazon started. 1962, that was the year walmart started. 1998 Google started. Most recently, Bitcoin made a lot of people millionaires, it started in 2009, only took 9 years. Remember when Facebook went public? It started in 2004. All these companies become successful, it took time though, it took investing money and time. Lot of people never have to work again, because they invested into these companies that people at the time thought was a joke to invest in. I remember looking at bitcoin, thinking how stupid someone is to buy something like that, now i’m looking at myself thinking how stupid I am that I didn’t buy that. Be Open Minded in investing, don’t be stupid, but be willing to think ahead where the world is going and invest in what makes sence. Bitcoin makes since in a technical world.  

 

What investing also does is helps the economy grow. As we invest into companies, they are able to hire more people, open more locations, hire other companies to help them advertise their company. We have to understand, Money makes the world spend, as we invest our money, it’s going towards growth of our future economy and our own pocket. Don’t you hate those companies that have to fire mass amount of people people to keep the doors open? It’s because they don’t have money to pay them anymore, it’s sad, but when we invest, that can make an huge difference.

 

Links You can Check out….

 

Acorns… (Type in this link and get $5) https://acorns.com/invite/8M24ZX  

MicroVentures… (Use this Link to get free investment credit) https://mv1.vc/mv/hg92

Fundrise… (I don’t have an free investment credits link for this one) www.fundrise.com

 

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