Have you heard of the term ‘Self Concept’? If yes! Do you really know how and what impact it can be on personal beings? For the ones who have never heard, it is nothing but the ideas or goals of the self-building from the beliefs one holds about oneself. One can build the best self by having or building the best habits.
Here take the reference of Aristotle saying: “We are what we repeatedly do. Excellence, then, not an act, But a Habit“. So before getting your focus on how to be successful or finding ways to earn money always try to build your habits that can, in turn, fetch you the best possible positive results.
So this introduction links to how the habits of parents who always have money help them to be successful. And what you must learn and imbibe from them.
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Habits Of Parents Who Always Have Money
Parenting is the most adorable phase of one’s life, Where you can enjoy this phase if you hold the responsibilities in the right way. You can learn many new turns and twists of life with experience. How can you as a parent satisfy yourself and your family as well? This is the most daunted question for all the parents. But the answer is simple, ‘Your Daily Habits‘!
Money! The world always revolves around this, If you have it or not, Both the cases have positive as well as negative consequences. To satisfy or to meet the needs of a family you as a parent must basically hold financial discipline and also must know and find more and more ways to earn more money.
For this to happen you must first build a few habits through which your dream comes true, so is your family. For this you also make your family follow a few habits, Which can help them to build well organized.
1. Expense Marker
If there is something which can never stop even after you don’t have work is your expenses. So you should have complete clarity and awareness on each and every penny you spend. For this, you can use various Software, to make note of expenses. You can either use the age-old tradition of making notes manually. Here, the way is not important but what matters is you must conduct this process without any fault or fail.
Once you lose skipping your expense marking, Consider yourself lacking discipline.
Beware of little unnoticed expense, As we all know ‘A small leak can sink the entire ship‘.
The next important step in noting down your expenses is categorizing the categories. It is evenly essential as noting down, as categories can help you to segregate and avoid unnecessary expenses in the near future. Your categories must go this way Education, Daily needs, Amusement, health, Essentials, Etc. List out your expenses accordingly and analyze how much percentage is moving into respective categories and finally ease out your budget.
Try making necessary modifications to your budget and avoid useless expenses. Always move the remaining amount into a buffer which can yield you great benefits in an emergency.
One more main thing you need to follow is taking care of offering gifts, bribes, or even money to your children. Giving without knowing the real intends behind money, can lead to lavish expenses and can turn to vice. And completely spending with your hand without the involvement of your kids is also a very bad idea. As they fail to gather knowledge in budget management.
Make them learn how to part the given amount, let them learn to save and buy their aspired things. Teach them from budding ages which can be the best way for them to carry with these habits throughout life.
2. Building Bucket List
Always try to create your bucket list, You work not only for your family but we all need a few things for which we thrive. Save for them, Show gratitude for your hard work by gifting yourself with those things. A bucket list must even extend to the things which you are purchasing for family and daily routine too.
If you are planning to buy some toys or education-related stuff, Just join this to the bucket list and make a budget for them. You can even plan occasions as Festivals, Birthdays, and even anniversaries to your list.
Sometimes marking bucket lists can gain you more extra motivation. Here you need to fix targets to attain your purpose. Remember one thing here never ever keep your entire stake on your wishful things, This could lead to the draining of emergency funds.
3. Skill Development
This is the best habit of the people who always have money, They always engage in building their skills. Skill development is very essential as it can build more efficiency and quality of what you possess.
Skill development is the best powerful tool you can use against society to prove your worth. As we are undergoing a trend of regular updates to our mobile applications, By now you must know what is the need of the hour for the human mind, up-gradation.
There is a famous saying by Warren Buffet: ‘The Best Investment You Can Ever Make Is In Yourself‘. We aren’t aware of the consequences or situations, So we should always be prepared for everything.
We should hunt for opportunities and grab them as early as possible with our skills to gain financial freedom to lend stress and tension free life. Always invest in the things which can gain you more returns in the near future.
You must aware of the term ‘Human Capital’. This is the best capital investment you can make as an individual or any entity. This has a high potential of returns than anything.
Your skills must always upgrade in sync with the modifying world. Be the best competitor by fighting the toughest battle with the Bad You to be the Real You.
4. Multiple Streams Of Income
People who always have money never ever depend on a single income source. Always secondary income must compensate for your first to always stay financially independent.
So what can you do to create multiple income sources? Simple! as you already came through the importance of skill development, Build your skills in various interesting fields and start your business.
There are various side hustles where you can turn your secondary income more than your primary income like Blogging, Freelancing, Proofreading, etc.
For example, If you choose to start your career as a side blogger. Select the relative niche where you can show your maximum knowledge to share with your readers. If you aren’t aware of blogging and want to learn and earn more from blogging within 30 days we recommend you to have a glance at Holly Johnson’s tips the person behind earning 6 digits as a part-time from blogging.
If you choose to become a freelancer, You should have good writing skills. Even though you don’t have those skills. Freelance writing skills are never a problem now. All they need is your dedication and patience.
When you looking for work from home jobs as your side gig, These 22 legit work from home business jobs can help your way out to join and start earning.
5. Buffer Stock
Situations and circumstances are never in our hands. They can change from time to time, All you need to do is to keep yourself optimistic. Keeping buffer food can be considered the best possible solution to tackle the situations of famines or emergencies.
But you should know the amount of buffer and its preserve time to let it expire and get you more penny burden. Never ever shop for groceries when you are with an empty stomach. Your appetite can drag you to buy more unnecessary things, which eventually can cost you high than you expect.
Stick to your list always. You must prepare the list of items that you going to purchase before a day. Check the old stock, Never go for repetitive purchases. You need to even take care of what you hold in your freezer. Do not pile up with more unrealistic foods for the only reason that freezer can hold them long.
Keeping buffer sometimes can help you to tackle the price volatility, Make sure you purchase for the best price. Check the offers regularly and grab the best deal.
6. Check on Food Expenses
This is the region where we spend more without our knowledge. All we convince ourselves with this overspending is by saying, All we are living is to have a portion of good food. Yes! This is right, But to what extent? Till the point, it affects your health. Definitely a big No!
Make sure of what you intake, Always choose to prefer home foods than the outside. This can not only save your penny but can also act as a health booster.
This is the digital era, Everything is away from a finger touch. You can choose various digital platforms to know the preparation process and can try them on your own. Trust me this is the real fun inducer.
Keep always a check on food expenses this can cross your budget without prior notice. If you are really engaged in a hurry burry life at least try to spend time on this at weekends.
7. Health Regimes
‘Health is wealth‘, We all know this fact. Always choose to keep your health in good condition. Having ill health can cost you a high and long time process to gain the real momentum back.
Add regular exercise and healthy foods to your habit list. Intake of healthy foods with regular exercise can not only keep you fit but can also save your pocket.
More than 5% of the world’s population is spending 50% of their income on health expenses, this shows how important health care is to stay debt-free. Grab the best health insurance deal to compensate for your health expenses.
Make your children know the importance of health from an earlier age and always make them intake good food, Junk is always junk this is the known fact.
8. Financial Knowledge
Sometimes even after marking your plans, they fail. This can push you to the debt burden. Be prepared for these dire situations even though you are financially well planned. Debt is the region where you must never enter, Try all the best alternatives to avoid debt.
Engage in knowing the business news to know the market volatilities prior to the drop in your financial resources. There are different mediums like newspapers, the Internet, etc build your knowledge.
Sometimes it is not the wrong thing to hire a financial planner to get you out of the debt cycle. As we already discussed planning is all we can do to avoid being penniless.
9. 50-20-30 Finance/Budget Rule:
This rule is proposed by Senator Elizabeth Warren. This was written in one of her books which has become more famous and can help the people who are in need of financial discipline.
Here 100 percent of your income must be ramified into 3 important sections and should allot in a respective manner: 50 percent must go into regular needs which you cannot skip. The second portion from 50 percent is to split 30 percent to your wants which are evenly important to have the real pulse of life. And the final proportion of 20 percent should go into your savings.
Here needs or repayments which you cannot skip, By skipping they can be an additional loss with the additional burden. The main part is to keep a check on wants expenditure. This is the area you tend to spend more. Savings should never be touched unless it is an emergency situation.
Follow this rule, You will encounter a significant change in your financial structure and financial discipline as well. For more details, you can refer to her book.
Recommended: 10 Best Ways to Live Rich on a Small Income.
We, humans, have actions and these actions have one or more important causes like Chance, Nature, Habit, Compulsion, Reason, Desire, and Passion. Every cause among the list has its own medium of reactions and well being.
The choice always stays with us to organize our life to live happily. One wrong move we may out of the happy game and we must suffer for all the remaining right moves as we are already out of moves.
Build your habits wisely, Try to keep them in streak never miss your streak. Continue it for 90 days, This 90 days habit streak can blend into your lifestyle and there is no look back. Add your name to the list of parents who always have money and write back us with your experience.
We are waiting for your response, Suggestions are very much welcome. Thanks for reading!
Siva Mahesh is a full-time blogger and personal finance expert featured on US News, Yahoo Finance, Legal Zoom, The Simple Dollar, Databox, Business.com, Business News Daily, and more. He is the owner/founder of Dreamshala, a go-to place for 100,000+ monthly readers to find legit work from home jobs and make money online ideas.