take control of your F (1)

By now you should have had a little understanding or even become amazed when you saw your own finances in writing; that is if you took your assignment seriously.  But if you aren’t going to do your assignment which I advise you to do the opposite, well, it won’t hurt me because it’s your finances anyway.

But, I tell you, if you are a person whose earning income is not enough for a month’s expenses; if you are mired in debt and rising expenses; if you are the previous me who felt insecure of his family’s future because of his financial predicament… Well, my friend, YOU REALLY SHOULD DO THIS ACTIVITY.

Again, if you don’t do this exercise and don’t mind taking a look at your finances right now and CHANGE your MINDSET, it will certainly hurt you in the near future.

The exercise is no more less of budgeting your finances. Wait! I know what’s running through that mind of yours. Perhaps what your mind is saying: ‘if it’s just like budgeting, I’m already doing it regularly whenever I receive my paycheck….” Here’s another one: “I have been doing it but my debt still keep piling up every month, so why bother?”

Hmmmm…. Let me ask you, How do you make your budget? Maybe it’s like this: you look at your money and lists all the expenses that you have to pay and after that, you keep in your pocket/wallet/ATM of what’s left. I know because I used to do that before. That’s why no matter how I budget my money, I always fall short and I have to use my credit card to cover other expenses. Then, something happened and started to write down my monthly budget in a piece of paper to manage whatever I have.

After reading books, and did this prepaid retailing, something struck me. I finally made my expenses into SAVINGS in business people terms, PROFIT!

Yes, profit! Amazing isn’t it? What we are doing, prepaid retailing, because we have our full time job, is already our profit! Isn’t that great? Even you’re doing that PART-TIME, no matter how much you gain is already your PROFIT.

Ha! You’ve just experienced first-hand how the rich turn their expenses into profits!

You see, the rich always look for ways to minimize their expenses, including taxes, and gain more profit. That explains why your boss doesn’t give you a pay raise because they only consider you as expenses!

Another thing that rich people does, is that, they don’t mix their money for business with their money meant for their household! They strictly use their money in business for business and the same goes for their household budget. That’s why the business of the rich continues to grow because they put their profit back into their business.

So, now, are you still going to say that the exercise is nonsense? And, we’re just only talking about the two columns (income and expenses) which tell your living standard today. The Asset and Liabilities, on the other hand, shall determine how you will live tomorrow. And we’ll discuss it later.

Now, grab that pen and fill that paper up. Unless we put into writing our budget, look at it, analyze it, and read it aloud so that we can hear it for our self, our budget will remain to be a mental note which we tend to easily forget. Doing the exercise makes us realize what we have and increase our self-discipline not to spend more in the budget.

I am not telling you to live a miserable life. I am only telling you to strengthen your conviction in implementing your planned budget. With this, you’ve taken control of your F – FINANCES.