These days it seems like everyone is broke living day to day and desperately longing for payday. Then when it comes, the money magically disappears and they’re back to being broke for another 2 weeks.
Many of us live paycheque to paycheque.
A lot of people would end up in trouble if they lost their job and might have to rely on credit cards until they found another.
While others, on the other hand might use credit cards regardless if they had a one or not. A big reason people get into debt is because of their own insecurities.
With the way the economy is these days, and specifically the way inflation has been going – traditional “saving” and “regular” debt repayment will leave you defeated before you even started.
But here instead, we are focusing on improving our financial situations in small ways that have a big impact.
The Financial Trap
Tax season has come and many may have gotten a pretty decent return on their income tax, but too many will miss the opportunity given to them.
One person is going to blow it all. Another person is going to put all of it towards their debt. And the last person might split the money up – spend some here and there, then save the rest.
But everyone who puts all their money towards paying their debt will likely end up right back in the same place months later. I know because I’m just like you and that’s what I’ve done for the past 5 years. Every single time – I’m back in the same place!
For me, paying off debt has only been a temporary solution, until I needed to acquire more debt again.
Truthfully, this is the way the system intended it.
The money most of us make from our “jobs” just isn’t enough, so we are forced to go into debt.
When all our “extra” money is taken to pay debt we leave ourselves no chance of escape.
But we have come a long way. We’ve become more efficient than ever. We’ve learned the best and fastest ways to do produce products. We have factories that mass produce at such a high rate that we’ve been able to reduce the cost per item dramatically.
And in theory this should bring the cost we pay for these items down, due to the Law of Supply and Demand.
However even with this being true the prices of everything have still increased.
So why have costs gone up?
Inflation – The mass increase in money printing has diluted the purchasing power of our money. Our wages haven’t increased enough to match with the rate of inflation either – causing everything to get more expensive.
Government Taxes – Governments have increased taxes to cover costs leaving us with less money to pay for things we need.
Operating Costs – Other costs have increased like the cost of land, energy costs due to global events like wars causing shocks and sudden shortages. And recently, tariffs have caused an increase in price and demand for these resources. As a result prices have to rise to pay for these things.
Profit Maximization – Companies need to show growth year after year to their investors/share holders so they can keep funding, otherwise investors might not want to stick around fearing they’d lose money. So instead of raw innovation to drive profits they raise prices. Sometimes prices rise for no real reason at all other than for pure corporate greed.
Small Steps You Can Take Now to Improve Your Financial Potential:
1. Pay yourself first before spending on anything else.
Treat this like a bill – never skip it. Set up automatic transfers to savings or to investments every payday. Set aside at least 10% of all you earn, then put it into savings, the stock market, real estate, precious metals like gold or silver, Bitcoin, or a business – whatever suits you. Start small, but start early.
2. Don’t confuse your needs with your wants. Live below your means.
Track your expenses for 30 days, then find and cut the waste. Learn to be happy with what you already have, so you aren’t tempted to buy unnecessary things.
3. Invest in yourself, read, and improve your skills and knowledge to increase your earning potential.
Keep learning, read books, attend courses, and build side hustles. The more valuable your skills, the higher your income potential. Wealth isn’t always about luck or high income. It’s about wise habits, consistency, and financial discipline. The world is always changing and growing, so always learn as much as you can to avoid falling behind.
I recommend reading The Richest Man in Babylon by George S. Clason to learn more.
Just Saving Money in the Bank is a Loser’s Bet
The money you save in the bank is not safe anymore. Governments can print as much money as they want and when they do, the value of your money in the bank falls like an avalanche. Imagine you had $1,000 sitting in a savings account then a few years later after they printed all their money, your $1,000 is now only worth $900. Does this still sound like a great idea?
When they don’t have to work like you and I do, they can just print more money, spend it how they want and then we pay for it when the value of our money goes down.
Banks promise you interest returns and tell you they are the safest place to keep your money. But those interest returns don’t stand a chance against the power inflation has. How safe is your money really when it’s value is stolen – that’s no different than someone physically taking your money away from you.
So we need something that will actually grow in value over time or at least hold its value to fight the money printing. But there are so many options which one should you choose?
From my experience the best thing to put your money into is Bitcoin.
I’ve been putting 10% of all my money into Bitcoin for a few years, and it has been the best performing asset I’ve ever put my money on in the long term. It has outperformed inflation and every other asset!
It’s because they can’t just “print” more Bitcoin anytime they want. Whenever it’s used a portion of it is destroyed forever. This method of decreasing it’s supply causes an increase in value. While fiat money is always printed year after year, adding more to the supply causing a decrease in value.
Saving 10% will start to give you a fighting chance when you set it aside for a definite purpose. Invest it into something worth while, then use that money to better yourself again! This will give you the potential for your money to grow and change your life in ways you could never imagine.
Allow your money to grow and multiply giving you the opportunity to get ahead of everyone else who is spending every dollar they make on things they want.
This is what I call 10% to freedom.
Your friend,
Jamie.
Bonus: Another surefire way you can secure a wealthy and comfortable future for yourself is by building a profitable business that makes you money forever!
