80) Investor Challenge #1 - No Money To Invest

80) Investor Challenge #1 - No Money To Invest

This is one of the most common challenge any potential and current investor will raise when advised to invest.

To start having money is to start understand how and where the money flows to.
 
Let's look into ways on how to get the money to start investing with extra money.

Common thinking:
Income - Expenses = Savings

Most people will receive the salary, then pay the bills and buy other items. Whatever is left over is saved. So, the amount saved is not fixed as dependent on what was used to spend. 

Many times there are no savings at all, especially during upcoming festivals. The power of credit card is to make you spend more than you can afford.


New thinking:
Income - Savings = Expenses

To have extra money to invest, you need to discipline yourself to save first, then only spend. You are only allowed to spend on what is available after the saved amount.

a) How to Spend Less 
- reduce unnecessary expenses
- spend less on items, buy less quantity
- prepare expenses budget and stick to budget

b) How to Earn More
- Earn more income, higher salary, higher commission
- Part time work, second job
- Start to own a business

c) Challenge & Solution
- no money because did not plan in the past.
- if no money now, still have no money in future.
- start to save now for the future.

d) Start Saving Habit Now
- need time to start a new habit
- start with easy to save amount. Eg. $1 per day.
- increase slowly and consistently. Eg. $2 per day for week 2.
- Reward yourself with a small celebration treat after some success. Eg. Ice Cream after 1 month of savings.

Manage your money and track the inflows and outflows.

You can only manage money once you start tracking it.

#highlevelrules