Be In Command of Money

You must command and control money – you must not permit money to control you.

People seem to fall into one of three groups:

Those who are obsessed with money and permit money and the seeking for wealth to occupy all their thoughts and efforts;

Those who give little thought to money or their finances and are usually living on the edge of poverty or financial failure; and

Those who understand that money and finance are necessary to insure a secure and happy life but are not a substitute for a happy life.

You want to be in the third group. You do not want to be weighed down with unnecessary worry or obsession with finance, but you also do not want to ignore it. As Aesop wisely reminds us, you want to be an industrious ant preparing for winter, and not the lazy grasshopper doomed to starve in the winter.

You must make the decision to earn adequate income, save sufficiently and wisely invest what you save. At the same time you must put this in perspective and remember that money and finance only enable you to have the time and ability to enjoy life – money itself is not the enjoyment of life. You want to have the time and good health to enjoy your family and friends and pursue the interests that make you happy and fulfilled.

Constantly improve yourself through learning new skills and working on your personal development so that you can command greater earnings.

Do your work well and conscientiously so that you maintain your integrity and your good reputation to insure that you continue to earn well.

And always remember to return something to society through charitable giving and good works. You receive many gifts which have helped you get where you are going. You must give back to achieve true fulfillment.

For your finances to be sound there are some fairly simple rules to follow:

1. Stop incurring debt or incur debt only when absolutely necessary.
2. Keep careful track of all your money, where it comes from and where it goes.
3. Plan for the future.
4. Save every day.
5. Do not expect instant miracles – and remember there are no get-rich quick schemes.
6. Seek professional help where you need it.

There are many different approaches to sound finance following these six rules and the exact approach will depend on your age, your income amount, your needs and your wealth to date. However one formula that generally works well for many is the 10-10-80 formula. With this approach you give 10% of your income to charity (giving back); you invest 10% of your income for the future (saving); and you use the remaining 80% for your living expenses. If possible you should increase the savings amount, especially when your income increases.

As with almost every success discipline the success you achieve in finance will be a result of how much you maintain this discipline day in and day out. Every day and every week you must save, give back and invest. You must keep track of your income and your expenses at all times so you know you are in control. Remember that if you do not control your finances others will, especially those who would like to relieve you of your wealth.

These rules are really simple. They are not always easy because they often require some sacrifice. They require the ability to put off immediate gratification and save for the future. They require patience and daily discipline. Those who master this master money. Those who master money are financially successful and better able to enjoy all that life has to offer over and above money.

Wishing you Success and Prosperity,

Daniel R. Murphy

Wishing you well,

Daniel R. Murphy
Educating people for building wealth, adapting to a changing future and personal development.
www.danielrmurphy.com