How to Grow Your Personal Wealth
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Create and keep a budget that is well below your monthly income. To grow your personal wealth you must learn to live well below your means. Growing a nest egg will not happen overnight. - 2). Think before you spend and learn to spend smart. Learn to look over what you are buying before you get out your money. How many times have you bought something at the store and six months later you wonder why on earth you bought that. Or maybe you got home and decided you already had something that you could have used instead. Avoid making last second purchases by not buying anything you first see without it being on your list. For example if you see a shirt you think you just have to have, put it on you list for next week. If it is in your budget for the next week and you think you still must have it, you may consider it then. Remember growing personal wealth will not come without making personal sacrifices.
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Prioritize Your Spending
Learn the value of your time verses the amount of money you spend on convenience purchases. While it can be a great money saver to clean your own house, cut your own grass, and do your own manicure, remember time is money. Set aside the chores you love doing and do those. Make a list of other things like cleaning and doing yard work that may not be your favorite. Look at the list and determine if the time it takes you to do it yourself is worth it. For example, if it takes you two hours to do the yard work yourself a week determine if you could be making or saving more then that by doing something else. Remember there is only so much time in a day. - 4). Avoid the urge to hide money under your mattress. Keeping enough money in a savings account to cover expenses for at least three to six months is smart. However, as your savings grow larger make your money earn
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Reset budget as needed. If you have major expenses or a loss of income do not wait things out to see if they will get better. Make adjustments in monthly expenditures as soon as possible to avoid major financial problems. - 6). Do not take money out of your emergency fund unless it is an emergency. When you do borrow from yourself, do just that. Write and follow a plan to repay yourself out of your normal extra expenditure funds. While it may not be fun to not go out for a couple weeks or eat chicken instead of steak, you will thank yourself later. To grow your personal wealth you must be able to handle personal money problems without going to a bank.
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