4 Methods to Master Personal Finances - 6 Secrets of Financial Success for Beginners
In previous articles, we learned about how to manage our personal finances, then we learned about how to improve them with savings, investment, future financial planning, setting goals and achieving them, but today I am going to share with you some ultimate methods to self master your personal finances to attain nonstop personal financial growth and development in your life. So below are 4 methods to kick start your personal finances and master them in a unique way followed by 6 secrets of financial success for beginners:
Method 1: Understanding the difference between financial success and failure
The definition of financial failure comes down to this – a few mistakes made in financial decisions everyday. On the other hand, the definition of financial success defines itself in – a few financial disciplines practiced everyday without fail, so the difference between financial success and failure is not having the capacity or absence of it, but, success and failure both are choices to make, choose yours, live consciously, attain financial freedom.
Method 2: Start loving your flowers (savings) - kill your weeds (debt)
Your financial garden consists of both flowers and weeds, i.e., savings and investments and debt. For nourishing your garden and maintaining your finances to their optimum level, you have to do both - love and hate, so I recommend you to love your flowers that is to engage in more savings, investments, future planning, etc. and hate your weeds that is start planning to pay off credit card debt that accumulated due to extravagant purchases, avoiding taking personal loan again and again for buying luxury items to show off your status in the society or among your friends who have more money than yourself.
But, only love and hate will not do. You have to step ahead. You have to go beyond love and hate. And that is to invest more time in your flowers (savings) and kill your weeds, i.e., pay off high interest debt first and then try to wipe it off completely from your financial life.
Question can be asked - Is it really necessary to kill the weeds, i.e., debt? Yes, because otherwise your weeds (debt) will kill your flowers (savings and investment) or at first place your debt will never let your savings and investment to come in existence. Until you don't love to hate your weeds and pay off debt, you can only hate to love your flowers, i.e. no investments, no savings, no retirement planning, no funds for kid’s education, typically a life of biggest financial loser.
Method 3: Ask for help. Don’t feel shy of discussing your personal finances in front of others
By saying, “ask for help”, I don’t mean that you have to ask for help financially every time you are in financial burden but I mean something different. According to me, asking for help is a skill. It is a master skill because if you don't ask what you need, the other person will not realize what you want. Tell your trustful friends about your financial problems and situation, might be possible that your friend or relative had gone through this problem in his past life and can help guide you take the best decision. So ask freely. Also, it is impossible to learn everything only from one person. From each person, we can learn something new. And if these learning will help us to grow financially and get better in our financial life, then why won't we ask for help? All through these years, I have realized that asking for help doesn't make you weak rather it will help you to remain strong. Do ask and do help. Yes, together, we can surely make our financial life much better than we have thought of alone.
Method 4: Growing or Decaying Financially
Today, I invite you to consider one question which has the power to revolutionize your financial life. Ask yourself - At this very moment, am I growing or decaying financially? This question actually gives you the clarity to be aware of what you are doing right now and translates your inactivity to action. Life is all about choices. You can choose to grow financially or you can shrink. If you are not growing at this present moment, i.e., not optimizing your personal finances or not engaging in finding different streams of income to pay off debt fast or plan for retirement, then you are fueling your mediocrity. So, choose to be great instead of decaying financially. Choose your best life. You deserve it.
6 Secrets of Financial Success for Beginners
- Keep your personal financial life as simple as it can be. Don't make it complicated, i.e., simplify and plan your budget, savings, and investments by making a simple chart on your notebook.
- Write down every achieved and unachieved goal on your notebook.
- Improve your personal finances on a daily basis. Don’t let them unattended for a single day.
- Try to optimize and maximize your personal finances by making wise financial decisions.
- Know where you stand financially, and give some time to remember about your past achievements which will give you more power, courage, motivation, and confidence to improve your future financial life.
- No matter how successful you are financially, always stay frugal, humble, and economical.
So above were 4 methods to self master personal finances and 6 secrets of financial success for beginners. I hope I was able to properly guide you to help improve your personal finances with the above methods and secrets experienced in my own life. Now I invite you all to share your own financial secrets and methods so that others can derive benefit from them.
How to Organize Personal Finances : How to Make a Personal Financial Budget
More by this Author
I am Rajinder Soni living in Patel Nagar, New Delhi, India. I would like to let the world know about the problems people have when using credit cards. When these credit card companies will offer you a credit card, they...
After publishing an article on “Harassment On Phone By ICICI Bank DSA” which was regarding the credit card problems I was having and how I settled the card, I am receiving questions regarding credit card...
If you are overburdened with your longstanding credit card debt, fed up of receiving harassing phone calls by your credit card issuing bank, want to get rid of debt collectors who threaten you at your home and office on...