Instead of working harder, make your money work harder. Choose to live below your means and use the money that’s left over to make MORE money. Here are some tips.
- Make another monthly payment—to yourself. With all the bills you have, it’s tough to start saving. So think of saving as another monthly bill. Choose an amount you can afford—maybe 10% of your income—and get your bank to automatically transfer that amount into your savings account every month.
- Avoid consumer debt. If you don’t have the money for a new TV or vacation, wait till next year. Use some of your savings from #1 to pay off credit card debt.
- Multiply your savings. Put your savings into a high interest account or mutual fund. With compound interest, you can double or triple what you contributed over time.
- Pay down your mortgage. Use your savings to make lump sum payments. Not only will you save thousands of dollars in interest, you’ll build up equity faster that can be used to make other investments.
Save for a down payment on a revenue property. Once your savings or equity have grown enough, you can invest in a revenue property that will yield both monthly rent and capital appreciation. To see if this strategy is right for you, talk to me today!