1. Don't go into debt
Being debt free means you will have more capital and liquid cash to use for money making investments that would not have been possible with your money tied up somewhere else.
Billionaire Mark Cuban said, “The money I save on interest, by not having debt, is better than any return I could possibly get by investing that money in the stock market.”
Besides you can never plan for the unexpected costs in life when you're hugely in debt. Medical expenses, car trouble, best friend just got engaged, or you're getting divorced. Being in debt will limit your ability to pay for them.
2. Stop Waiting For Your Sugar Daddy/Mommy To Walk Through The Door
A times we see stories of the "fortunate" person who marries a wealthy spouse, but it is time to understand that the best way to have a luxury lifestyle is to be rich yourself. Don't plan your life around getting a rich person. That is just icky. Don't marry rich. Be rich.
Some who "married rich" are now finding themselves divorced or terribly unhappy because they concentrated on the wrong values. A nasty divorce (even with a payout at the end) leaves you emotionally drained and physically looking stressed and exhausted.
3. Stop Buying Dumb Sh*t
Be responsible with your cash. Spend it on things that are necessary like experiences and time with family and friends. Forget trendy fad styles. To reach your long-term goal, you'll need to budget how you spend.
The best way to begin this process is to review your fixed monthly costs and work from there. Fixed costs are things like rent, car payments, gym membership, insurance, child costs, and utilities.
Next, look at your savings (retirement and others), and emergency fund. This is your piggy bank. The only one you ever contemplate withdrawing money from is your emergency fund in the event of an emergency.
Lastly, plan for expenses you look forward to at certain times of the year. For instance, holiday gifts, school tuition, taxes, weddings, etc.
Once you have those 3 things summed up, then subtract it from your monthly salary and you have got your party fund. This can be anything from daily food budget, hobby money, new clothes, or the craft beer budget!
4. Act Your Age and Dream of Thailand
According to a research by LearnVest, 30-something-year-olds feel significantly less confident about their finances than 20-something-year-olds.
63 percent of those 30 somethings earn $70,000-$100,000 yearly. That is a good amount of cash, and yet, they are still unhappy.
As you grow older, you need to turn your financial insecurity into a strength by setting obtainable goals. Once you have a goal, put it down in writing. Tell your friends and family and make them hold you to it. By the time you're in your late 30s, you should be contributing around 15 percent of your annual take home for your retirement fund, not your beer fund.
5. Jump on the Nerdy Bandwagon
Most people do not know how much they earn each month and how much is going out. Staying organized with your finances is essential.
By checking your numbers like net worth, household income, and credit score regularly, you will find that it is fun to see your money in the bank go up!
6. Invest in Your Body
Taking care of your body and mind cannot be over stressed. Your body ages differently from your mind. You might feel young and spry, but your body has already started aging from all those stress and late nights.
Slow this process down by keeping in shape with healthy diets, long walks, gym routine, or by training for that marathon you've been talking about. Anything to keep you active and healthy.