Mostly when people think about money, they feel scared; sometimes even feel it’s useless thinking about such things. Some say it is the source of all happiness while others say it is the source of all evil, while I say it’s nothing, it is practically a void. It has no meaning of its own unless we give value to it, or unless there are commodities that can be bought by it.
The thing which I want to share here is that most people end up working for bigshot companies and MNCs for that FAT paycheck to maintain or enhance their lives but what most people don’t get is that without the knowledge of how value is being instilled onto this piece of paper, they don’t know anything. It is the KEY to EVERYTHING.
Man has achieved the most basic survival needs like food, shelter, clothing and because he has achieved all this , he is compelled to look for more, DESIRE more out of life and that’s where all the complications start. People start spending more, they get in debt, and they seek loans and fall even harder into the debt trap…..
Here’s the interesting part most people can relate themselves to, finding ways to get rich quick, get a lottery, working overtime(my dad used to do that a lot, it really leaves you no time for your family), Cutting on expenses, and every other thing claiming to be the savior of our lives, but unfortunately it’s totally useless and time consuming. I mean instead of waiting for money to come to you, you can create it.
Here comes the role of financial literacy, the working of a simple money game that is played by the rich to the middle class and the poor everyday and every second. It rules our lives for eternity only because we let it happen. Most people don’t understand simple financial terms and taking younger generations into consideration, they are practically clueless when it comes to handling their bank accounts, the compound interest that works on credit cards every time they swipe it in a mall, whether it is a foodcourt or a clothing showroom.
Now let’s see something that I once read in a must-have book for everyone who wants to learn about financial intelligence,
The basic difference between the RICH, the MIDDLE-CLASS and the POOR The RICH buy ASSETS The POOR buy LIABILITIES The MIDDLE-CLASS buys LIABILITIES that they think are ASSETS
Some simple definitions proposed by the above said book, An ASSET is something that puts money into your pocket, whereas a LIABILITY is something that takes money out of your pocket, [MAKES SENSE??], of course it’s that simple, anything that costs you is a liability and anything that earns you money is an asset. Now I want to ask you, the readers who have come this far in my boring article (thankyou for reading this much….really appreciate it)
“Do you really think that your Smartphone is an asset?”
Well it is clearly not an investment unless you know how to make money out of it (which can be a hard thing to do for most people). Instead of just spending money on stuff every time you get a paycheck, it’s always better to invest it in something that makes you money, and if you do get to make extra money then for sure you can buy stuff that you want. I’m not saying that you should leave all worldly desires; I’m just saying that the method to acquire them can be changed, that would least affect you financially.
At last I would like to conclude by saying this,
“It’s always a small step at first but that’s how you start RUNNING!!!…..”