Your New Year’s resolutions may be a long forgotten memory. Did you want to improve your finances this year but didn’t know where to start? We’ll count down four easy things you can do right now to improve your bottom line.
4. Avoid Debt
Some people recommend using debt as a way to grow your net worth and that may be a valid option. But for the most part debt, especially consumer debt, costs a fortune. NerdWallet’s credit card expert, Sara Rathner said, “Despite the recent rate drops, credit card debt is still one of the most expensive forms of debt.”
NerdWallet went on to say, “Debt carried over from one month to the next is revolving debt and usually incurs interest charges. The average U.S. household with revolving credit card debt has an estimated balance of $6,849, costing an average of $1,162 in annual interest.”
This chart posted on NerdWallet shows what US households owe, both the total and the average per household along with the type of debt.
An article on MarketWatch noted, “Sometimes I would say debt is OK. Those times include the following:
- To get the right college degree.
- To buy a house, one you can afford, not necessarily your ‘dream house.’
- To invest. Some do this, especially with real estate.”
3. Grow Your Income
To build a strong financial foundation, you’ve got to have an income. And if you can grow that income, more opportunities will open to you. When growing your income, think the higher, the better!
Usually, to grow your income, you want to advance in your career. When you do that, you have the potential to make millions more dollars over the life of your career.
Or, you may find other ways to make money. Some start side hustles, invest in real estate, consult on the side, mentor or coach.
One person outlined how he used cash back offers on credit cards to grow his income. You can read about it here.
2. Control Your Spending
It doesn’t matter how much you earn, you have to control your spending or you will never get ahead financially. For many people, the more they earn, the more they spend.
In a book titled “Stop Acting Rich: …And Start Living Like A Real Millionaire”, author Thomas J. Stanley wrote, “Most people will never earn $10 million in their lifetime, let alone in any single year. In fact, most households (97%) are unlikely to ever earn even $200,000 or more annually. So what if you are unlikely to become rich by generating an extraordinarily high realized income? The only way you will become rich is by being like those millionaires at the other end of the continuum: by living well below your means, by planning, saving, and investing.”
We overspend in two ways: On the little things and the big things. These little things are the small expenses. They leak out of your pockets little by little.
The big things are those major expenses. The location of your house, as well as your cars, boats and vacation homes can have an effect on your finances. Balance your saving and spending. Develop and use a budget.
1. Invest Long-Term With Algorithmic Intelligence
It’s been reported that when Warren Buffett was asked why more people didn’t invest as he has, he replied, “Because nobody wants to get rich slow.”
Long-term investing using Algorithmic Intelligence (AI) is not a get-rich-quick scheme. The AI at iFlip utilizes strategies that have been used and proven for decades. Traders on Wall Street have had AI available for years. Now it’s your turn to have algorithmic trading software work for you.
The mathematical algorithms in the best automated software decrease investing risk and grow your wealth over time. AI analyzes the positions in your portfolio daily. Then, using the best algorithmic trading software, AI manages losses by selling positions before serious crashes, holding cash when the market is uncertain or buying when the market is stable.
You don’t have to know how to invest! AI is also available on iFlip’s day trading app. You get the same proven strategies in the palm of your hand. And it’s commission free! You’ve got to see how easy it is to get started investing long-term with AI at iFlip.