Expenses And Investment | How To Balance Your Personal Life
"With peer pressure comes great expenses" unless you are actually a very disciplined person. With the pressure to wear the latest designers, drive the latest cars, our savings and investment is usually on the receiving end. Due to changing trends, a lot of these luxuries eventually get outdated by the latest and we find ourselves somewhere in between. A typical example is the the iPhone 11 in all its mightiness, a lot of people spent their money including investments to join the trend. Unfortunately, the money pumping empire releases another version the iPhone 13 making it automatically loose its value in the market.
Being able to balance our expenses including luxuries with investment is really a huge deal and very important as a person. Especially if you want to remain afloat for a very long time and not go bankrupt.
One of such ways is self discipline and I believe its actually the umbrella under which balancing comes. Just like the phrase "you can't eat your cake and have it", learning to close our eyes to trends is a key to balancing. Just like the iPhone saga, learning not to get lost in trends will keep one from unnecessary spending and money wasting. It is really not a must or a law to have the latest gadget on hand. As long as your gadgets can perform all the necessary functions you need it to one is good to go. The aim of most of these companies is to create the pressure in people to buy these products, sadly the new version is usually only a slight different from the last yet it would be more expensive. Even if one was to sell the old version you still won't be able to sell it high enough to buy the latest ones. Aslong as your investments are not affected, a little luxury is fine otherwise self discipline and being far sighted is important and needs to be applied.
Another way of balancing is learning to cut down on unnecessary expenses. An example is buying things one doesn't need on a daily basis. A lot of people can't resist getting things which they might not eventually need like bags, shoes, clothes bags, cars and so on. Unless you are making millions of dollars its really wasteful to get these things because not only will they take more space which you have to pay for they cost a lot to clean and maintain increasing ones expenses. Learning to stick to basic needs is very important in balancing expenses and investment.
Making sure to invest as soon as your account is in the green will also curb the habit of spending beyond ones limit and ultimately balance things up. You can have your bank forward your investments for you or even open separate accounts for expenses and investment so as to curb this habit and make money for investment unavailable for you to spend.
Ultimately, self discipline is really the pathway to balancing expenses and investment as an individual.