Whenever you go broke before your next paycheck, that should be a time you should sit and analyze critically what is going on in your finances. Being broke isn’t magic; it is the little careless financial actions that have drained your finances. What are they and how can you solve them?
Several times we believe that being broke is natural, but that isn’t financial freedom. If you can live the life of your dream with or without a paycheck, then something is definitely wrong.
There is something called the rat race, which 89% of Nigerians have found themselves. That is the simple reason why people work for 10 years in an establishment, and once the salary stops coming in; they are back to where they started from.
Is it supposed to be so?
Hell No! In the last post, I listed out the several ways working class and unemployed people can either create a side hustle or full-time hustle to support their existing source of income.
The reason for this is to help create other sources of income that will complement the main source of income.
Let’s not digress further.
Now there are several financial mistakes that people make, and these same mistakes keep costing them several thousands of Naira. But can we find a way to block these loopholes?
There is only one solution to being broke, and that is to increase your revenue.
“Don’t cut down on your cost, increase your revenue” – Robert Kiyosaki.
What are the Financial Mistakes we keep making?
Saving to buy something
A colleague of mine took a loan just to buy the iPhone 7 when it was newly launched. I called him “the genius of financial stupidity”. I didn’t know the reason for that but trust me that it was one stupid financial mistake that most of us make.
We take loans to buy cars, houses, clothes, shoes, etc. Then we now work hard all the days of our lives to pay back those loans. The issue of credit card loans isn’t common in Nigeria like in America, but it is gradually creeping into the minds of people.
I bought my first car after 1 and a half year of setting up my business. I made so much profit that I had to congratulate myself by purchasing the car. Instead of saving, why not set up a business, then you buy the car from your excess revenue.
One of the best financial decisions I took was to attend a seminar on affiliate marketing (cost me 5k) plus an electronic material I purchased for 4k. It gave me the blueprint I needed to become an expert today.
I could have used the money to buy a new phone and all, and then I come on social media to blame the Govt and lament.
Purchasing liabilities with limited funds is something common among youths today. A guy/girl would be comfortable spending 10k on a hangout but can invest just 3k to set up a business that will generate more than $400 on a monthly basis.
It is called financial foolishness.
Depending on One Source of Income
If the world’s richest people are diversifying
If your Employer has several sources of income
Do you then think you can become rich by earning 300k Naira monthly? No!
Your expenses will shoot up as a result of your earnings, and you will struggle to meet up demands from the monthly salary. This leads to the dreaded rat race.
Spend before Save
I hate saving my money in a bank; but for some others, this is their own easy way of accumulating wealth – good for them.
If you intend to accumulate money slowly, then you should do it the correct way. A certain part of your money should be saved before you spend.
But why save money when you can invest it into profitable ventures?
Investing in HYIP programs
In case you have no idea what the HYIP program means, it means High Yield Investment Programs. We have so many of them that have come and gone, but the memorable one was the MMM program. It made thousands of people rich and rendered millions broke.
Another still in existence is the FOREX scheme. These HYIP programs can make you rich in a matter of minutes, and still make you poor the very next second.
If you intend to create a nice business model, then you should ask me for several profitable online businesses you should do and make money.
I spend $25 monthly paying for seminars by professionals on how to increase my earnings on the online business I run. Every time I update my guide to give you insiders tips on how to make money from an online business like Affiliate Marketing – which is the best. So you can join me and let’s make money together and secure financial freedom.
Are you ready to join the financial freedom movement?