How can you save more money

Save, save and save!

Once you have a nice income you have to make sure that your savings rate is going up.

Most people begin to spend more money once their income rise. But you are on a different path then ‘most’  people. Because the average person is broke. To get something most people don’t have, you need to do something what most people don’t want to do.

Savings rate is one of the key factors in your beginning of becoming above average. If you tell people that you would like to become an above average person and focus on becoming rich & free, most people will look at you like you are the freaking devil or something. Which I find strange because everybody wants and deserves a positive, great and rich life. But people don’t believe they can have it all.


People believe if you are rich, you are evil and nasty.

People believe that if you focus on having a career that you can’t have a great family life. But wealthy people believe that you can have both.

What I try to tell you is that you need to focus on your own life for advice. If the herd gives you advice and you think about it, letting your mind wander back into negativity, you will get the same results as you had before. You need to learn to follow your own mind and not get distracted by your surroundings. Don’t listen to them, but don’t even try to get into an argument with them, your just wasting your precious time that could be spent building a business.

Why should you focus on saving more?

Because when you save more money, you can invest that money into your ‘asset’ column. The only way to become rich is that you have control over your time. The way you can get control over your time is that you don’t have to work for a paycheck, rather for luxury or if you love the job you are currently doing.

Only assets can bring you this comfort. But before you get comfortable, you will need to become uncomfortable.

Example :

– Living on way less than you make, try to save 10% or more from your income and keep increasing your savings rate as you continue building your savings account.

– Driving an old and cheap car for a long time so you can save more.

– Skipping that nice dream house you and your wife want to build/buy. You can buy it later when you are free from all your stress.

– Not keeping up with your loser friends that want to keep you spending money on beer & other shit.

– Letting that new iPhone stay in stores and keep your old cell phone just a year longer. Once that ‘new’ iPhone ain’t new anymore, buy it on discount. 

These are the key ways for you to save more. Not searching for the cheapest gas station in town, saving money on buying only rice and beans, skipping that morning latte, that’s all bullshit. Do you really think a millionaire cares about $2,50 for a coffee and do you believe that will make him poor? Of course it will save ‘some’ money but it won’t make such a difference that its better not to stress about it.

You don’t need to keep thinking about that little stuff if you want to become abundance.

Saving money is fucking great, but saving on every single thing is going to depress you and it will make you quit saving. Once you keep putting away a few dollars to save on a latte or whatever, you will miss it so much that you will want to go out and spend a lot more money on a car or laptop that you like.

So you are saving pennies and because you get so depressed, you will want to go out and spend dollars.

This is not the correct way to save money.

Focus on what makes you poor.

The reason why most people are poor is that they spend too much on housing, cars and stuff. These are things we think we need to impress people we don’t like. So we have to stop trying to impress everybody with our shit. Its time to make a change for the better and save some cash, stack that paper, create more dollars for yourself.

That $300.000 house can wait and let someone else buy into that $30.000 car, you are off for a different future then the sheep. Even if people learn to save from their parents or society it is always for a car or a vacation. I definitely believe that a vacation is a great way to spend your money. But it’s not going to create an income for you and you should look for ways to put those savings to good use.

Its time to take life by the balls and go your own fucking way.

Its time to save and stack that money so you can invest it. Use it for a down payment on an investment property to create yourself some rental income. Then use that money to save more and invest that money again, so on, so on. Before you know it, you will become rich.

How are you going to save that money? How the hell can I find financing? The answers are everywhere. We have our articles that are concentrated on saving and getting out of debt.

Articles like :

Do you live for your house?

You don’t need a car payment

Are you in debt?

Check these out if you want to go more in detail on how to get out of debt. The number one reason why people can’t seem to find more money to save is because they all give it to their bank.

Investment financing.

How can you find financing? Well go on google and ask, why not turn around the debt position you now hold with your bank and use their money to make yourself an income. Instead of giving all your money to them? Pay off your loans so you’ll achieve a good credit score of paying them back, put down a good down payment of 10 – 50 % and you will have the opportunity to get financing for investing. The problem is in the mindset, if you keep asking such questions like how to this or how to that, you are not going to do anything to improve your situation. It’s just a form of procrastination.

If only keep thinking about problems and not solutions you won’t come up with a creative idea for a solution. Like asking someone you know that can provide for you the correct service or contacts to get you closer to your goal or how much down payment you really need to get $200.000 for an investment property, these are real and useful questions.

But first focus on your thinking, if your thinking is out of balance and still stuck in the poor mentality you won’t get the real success you want. Real succes is only achieved by being grateful what you already have. From that position on you can focus on the value that you provide and not only the money. Because purpose and happiness through growth is the only way to keep going.

Once you achieve your money goal, you can always make it bigger.

So focus on saving your money, achieving gratitude and getting a wealthy mindset.

These 3 things will keep you going and make you way happier then any material possesion you think will make you happy.

Once these 3 things are in position and you have achieved your money goal, you can celibrate with something as fun as a nice car, nice house and dream vacations. Enjoying life.

So first save your money, invest it and then spend your invested money for the nice things you would like out of life.

achievement-bar-business-chart-40140.jpeg


 

Until next time,

Uuldriks Financial.

How to get rich from the internet? It’s not as hard as you think.

How to make money on the internet.

The question of becoming rich is so common and one of the most asked questions in the world. especially getting rich from an internet business.

Everybody wants to be rich. Everyone wants to enjoy a great life of no financial stress, having a very nice home, traveling wherever and whenever you want. Stepping into your dream car with your partner and enjoying the freedom you have once finances aren’t an issue.

That’s what money brings.

It brings you value in life to do something ‘your’ way.

Every one wants to live life their own way in whatever form you want.

You most likely want it in a way that you don’t have a boss telling you what time you want to be working and being free to do your own thing. I believe this is what most people are searching for. Not the million dollar yachts, airplanes, buggatis or mansions.

People want to have freedom of choice, without the constrains like lack of funds. The problem with society today is that people are bombarded with a shit load of advertising. Advertising on the radio, on the tv, on the street and the most profitable marketing today is the internet.

And this brings the most unique opportunity the world has ever seen regarding business.

It is the internet.

Every one is on the internet. Even in low income country’s you can see people with their smartphone walking around checking out Google or Facebook.

It’s unbelievable to think people put a smartphone first and food second. Its crazy, but its the truth. Most people even get highly addicted to the internet and social media. You know those people who want to make a selfy every single time.

On https://www.technologyreview.com/ its reported that the average American spends around 24 hours per week on the internet. I even believe that’s a false count, when I take a look wherever I go. Work, friends, family or just outside, every one is on their smartphone almost every single minute of the day.

Once people do nothing, what do they do? Check their phone.

Are you bored? We’ll just gotta check my whatsapp ‘incase’ somebody send a message to me.

Just gotta wait on the bus or train? Hmm, let’s fill up that time with some news searching or scrolling through Facebook for the 177e time.

Knowing this can bring the correct people the way to win. The people who are the go getters, the doers and the winners. These people can profit from the internet addiction.

Normal people look on the internet for information and entertainment. Something you as a winner can provide. Normal people don’t think this way because they learned to ‘work’ for money.

 

You can bring internet value!

What can you think off that brings people value in form of entertainment or information? The sites that you watch can give you that information. Most people who create sites have an idea behind it. The idea to make money, enjoy what they do and share it to other people. This sharing is what is called bringing value.

But there are also different kind of ways to make money on the internet. Take YouTube for example. Take a look at a PewDiePie or whatever the man is called, I don’t give a shit. But we can all learn from what he brings to the table. This guy earns a lot, laughing all his way to the bank while most people who watch him are broke as a joke.

And what does he do?

Making YouTube video’s about gaming and creates his own ‘image’ in these video’s’. That’s just what he does, being himself and creating an image/reputation around it. But don’t think it its very ‘easy’ what he does. There is a lot of editing to be done, filming that goes wrong and it take a lot of time to do it. Where most people leave their job at 5 – 6 o clock. These guys work like 12 hours a day. Still, the entire idea is very simple.

Guys like PewDiePie love their work, unlike most people and he gets paid sincerely for it. That’s why they keep going and working 12 hours a day. These guys get their reward later on. Around 1 million/month this guy makes and most importantly in his own time. Can you begin building 1 – 3 year something and not getting paid, until later? So you are hating on him making money? Well what did you make this year?

So you can definitely learn something about it. You can’t hate on somebody else making money, because you will attract the same mombo jombo that you wish on to others.

The problem with this is that most people don’t believe they can do it. Normal people have been conditioned by society, parents, school and the environment that you need to get a good job to pay the bills.

Of course if you want to pay some bills, you can find a job to do that.

You want to live your life in freedom and not only bills? You need a different direction for that and you should not follow the herd.

Don’t listen to what the average bozo has to say and go your own fucking way. This way you can stand out of the crowd. Stand above the corn field. Create something that lasts you forever.

A job is fine but it won’t bring you a full filling legacy and everlasting happiness. Because the problem with a job is that it limits you to your boss and he’s mood. If you have a very good boss then its a very nice job. But most people don’t have the luxury that includes a good boss. Going your own way is the next best move.

First you have to get rid of those nasty bills that keep you at your job. Meaning kill your huge housing payment, get rid your car payment for your Mercedes that costs you $50.000 and stop spending all that money on useless junk. This way you save your money for an opportunity to do your own business, investing in something useful or go to school for a better job.

The last thing is to get a ‘better’ job because eventually that job is going to suck too. But if it creates more money for you and it is more fun, then you can do it. Use that better job to create a better future, to save your ‘extra’ income that you get from that new job. Maybe you got more free ‘vacation’ days? Use that time for your own business to grow it.

But I wouldn’t recommend going back to school, the average college degree is going to cost a lot of time. Time you could have invested in your business.

After you have saved some money and got rid of your bills, find a way to provide people value on the web. I am of the believe that everybody has something they can provide to people.

How can you get yourself an internet based business and enjoy freedom?

  • What do you do that can help somebody? Maybe you are very technical and are very good in electrical work.
  • Since you have found the thing you would like to do, its time to set it up.
  • Get a LLC from the government and start your own business that provides the electrical work.
  • Go and network around, chances are you already know people who you have helped regarding that work and they can be your recurring customers.
  • Let them network around and do your best to advertise your company to different clients and other people outside of your current client network.
  • Get a website so people can contact you, give ‘basic’ value and information in forms like video’s, how-to’s and pictures of your work. This way you create more advertising for yourself and give people a foundation on where to get in touch with you.
  • Grow your business by hiring other ‘experts’ in your field and start selling tutorials on how people can repair their own stuff, so they can save some money and you can earn from teaching people. This way you can create a forgoing cash flow without you going from place to place.
  • After that you can start counting your cash and enjoying your freedom.

This is just 1 example you can do, there are so many things where you can provide value in. Just like this website. I have created it to provide value in the finance area and to give you an other mindset in how you can make money other than a job. To get you out of the daily rut of living for somebody else.

The features of getting an internet based business:

  • You create your own content, only you, no boss, no constrains.
  • Your income level has no limit, your job is mostly limited by hours and your boss.
  • Freedom to work wherever you are, on a beach in Thailand, in New york city while traveling or in your own house with your family.
  • You can choose whenever you want to work, no 9 – 5, not limited by vacation days or sick days.
  • Income keeps coming in even when you sleep, sick or don’t want to work. Can you do that with your current job? Let that sink in.

So what are you going to do?

Watch 6 hours of tv after work?

Or work your ass off 6 hours a day after work so you can enjoy this :

 

Start enjoying your life now!

Until next time,

Uuldriks Financial.

Why living frugal can bring you ever lasting wealth

Can being frugal give you the way to riches and wealth?

The way you can achieve being a wealthy person or family is that you create value for this world in forms of services or products to the people. But to keep your wealth or income is to become frugal.

Once you have created this value and you receive your harvest, then you should save a portion of this harvest. Once you save a portion of your harvest you can plant the seeds to grow more harvest in time. This is called compound interest.

The harvest is the income you receive for providing value to the Marketplace. Your boss, your company or clients that you serve through your own business.

With that harvest you have to pay for your expenses that you occur like things you have to pay to provide a ‘good’ life for yourself and your family. If you have a business then a portion of the harvest goes to the business expenses to further provide and expand you empire to a greater degree.

After paying all the necessary bills you have with the harvest. You have the option to spend money on things you would like to buy. The problem with most people is that they go way overboard on the spending part of the harvest. They don’t focus or even thinking about planting seeds for the future.

Planting seeds is highly important for building a wealthy future. If you don’t plant seeds you will have nothing in the future. If all you do spend, spend and spend you will destroy the opportunity to reward yourself with freedom that you deserve.

Grow that money tree!

Money tree

So what is the plan?

The way to get a better grip on your future is to become more frugal.

So

DON’T WASTE YOUR MONEY.

A lot of people think being frugal is something of the past, something from an era where there was not a lot of food and work was impossible to find. A situation like the great depression in 1929.

But being frugal has nothing to do with that, sure a lot of old people still have the same mindset because their parents or themselves have experienced major poverty in their life time and that is completely understandable. But the issue with having a ‘broke’ mindset is that it will control your entire life.

I personally believe that thinking the frugal way is that you want the most out of something. That things you buy with your money will last forever so you don’t have to keep investing money in such things.

If you search a coffee maker, find one that is reliable and brings a lot of value for the money you put into that thing. In that way it is worth the money you buy it for. You don’t want to be buying a coffee maker every single month because of a shitty design. Wasting your time and your money away.

You should always search good items if you want to buy something and keep in mind that you need to keep it untill it dies. Once you decide what you want to buy and you want to keep it forever. Then your mindset will be different. You wont just buy something because you will see it. You will wait before buying and researching different kind of items for which one is the best fit for you.

The best bang for the buck.

The problem is that you can go overboard with the idea that more expensive is always better. You can buy yourself a $150.000 BMW but it will get a flat tire the same way a BMW for $5.000 would have. So don’t use that excuse to buy something very expensive. I have personal experience with this guy at work, he has this crazy expensive car to show off and has a lot of problems, it’s always in the shop. The car I own is way cheaper and my time is more on the road then in the freaking garage paying shit for a shit car, wasting money away.

Don’t go into a new car dealer and buy yourself a new car just because you had some maintenance with your older car. You will never be cheaper with a new car. For the money a new car depreciate, you can rebuild your entire car and have some money left over to give to people and have some new friends.

You want to find the perfect time where something has depreciated to a point that you can buy it on a cheap price and the product has a lot of years left in it.

An example.

Say you are looking for a new car. You want a nice and reliable one. The reason you want to upgrade is because first off you have the money set aside from your emergency fund and paid off your debt.

Second reason is you car is old, rusty, not very comfortable and breaking down on about every corner right now.

My suggestion would be to look for a car that has had the biggest depreciation hit, that means looking for a car 3 – 5 years old with low miles. Take in consideration that the higher the cost of the vehicle, the more it will depreciate.

A Kia rio from 2018 new is around : €19.995.

A year later with around 10.000 miles its worth : €15.000.

If you take a look for a Kia Rio that is 3 – 4 years old it will take a big step from that Original price of €19.995.

When we take one from 2013 with around 40.000 miles you have to pay : €8.900 for the same car that is 5 years older.

Thats a depreciation hit of -€11.095, that spread over 5 years is -€2.219 each year. A lot of people don’t even have that money in the bank. How retarded are you if you accept to let that money flush down the toilet. And this car doesn’t even depreciate that fast.

Let alone if you buy that Mercedes or beamer.

ONLY BUY IT IF YOU CAN REALLY AFFORD IT!

—————————————————————————-

How to determine what you can afford?

So how can you determine how you can afford something? Like a car, a house or just a new couch?

How much to spend on a house?

For a house it is very easy but hard to adjust. I would suggest 20 – 30% of your ‘net’ pay. Because people are way to easy to buy a house that is very high in monthly payments. People are manipulated in thinking paying a lot for your house is a safe investment and that you need to buy as much housing as you can. Because that way you can live very nice and have something for the future.

But most people are ‘broke’ and don’t have money left over for things they really want to do in their lives. If you really love to have a nice house, want to spend a majority of you income on it then maximize your spending to 40% your net pay. This way you can buy your dream house, but don’t expect to do a lot of traveling and buying nice cars because it’s a choice you have made.

So if you make $3.000 / month, spend $1.200 / month on housing. What I personally think is fucking crazy. I make around that money a month and spend like $400 on housing. I would rather suggest you pay no more than 25% off your net income on housing. Putting the limit on $750 / month.

It’s all about priorities. My priority is freedom and positive cash flow brings that freedom.

What is your priority?

Being frugal or a house?

What about a car?

We’ll most people get a car payment, its understandable if you don’t have any money in the bank. The average person doesn’t even have $1.000 for an emergency, so how the hell can you come up with an extra $20.000 for a new car?

You cant and that’s why you get a car payment.

How much is the max you pay on a car?

We’ll we described above that a car depreciate like crazy and if you want to build up some money you have to really think drastically about a car purchase.

Do you love cars and you don’t bother to pay a lot for it? Sure you can splurge a little bit once you have your other priorities at place like some savings for when shit hits the fan.

I really love cars but I would suggest that you wont pay for a car that is more then 25% of your net pay.

Lets say you make $25.000 / year that means the maximum car you can afford is $6.250.

Making $50.000 / year? Means you’re not going to the beamer dealer for a brand new 5 series, you are going to be content with a used 3 series for $12.500.

$100.000 / year ? Well now you are going into the nicer cars area, used Mercedes or a new car. Putting the purchase price at around $25.000.

This way you can enjoy nice cars, be frugal in your ways and still have some money left over for other parts in your life.

Why do I suggest no more than 25% of your net income? Because the car is going hill fast value wise and if you splurge $40.000 on a car, your money that you worked for is going to be worth nothing in a couple of years.

Using a % of your income is a great way to focus on creating more income, you want a nicer car? Well find a way to grow your income so you ‘may’ afford that dream car.

What is my cars value regarding to my income?

More like 7% because the car I own at the moment depreciated very fast. The reason for this was extra ‘diesel’ hate created by our governments. Thanks for that!

So best thing to do is to keep driving this hunk of junk until it destroys itself.

The only thing you have to remember after getting that nice car is to drive it untill the wheels fall off. if your out buying such a car every single year, you’re gonna be fucking broke.

And remember pay cash.

What is your priority?

Being frugal or a car?

What about stuff like furniture?

Some people really like having a nice interior in their house and I can understand that you love a nice couch. Nothing wrong with that.

But having too much and spending too much on ‘stuff’ is a great way to be forever broke. You can always buy a new and nicer thing, that’s the entire problem with consumerism.

Sure you can like it but the enjoyment of that item can wear off quite quickly. If you want something, you need to wait at least a month before buying. This way you can save more and really think about if you ‘really’ want it. If this is the case you may buy it, because you will keep the item that much longer.

If you buy on impulse your excitement wears of in like a week.

Delayed gratification gives you more contentment from the item you want to buy, because you will always know how long you waited for that particular item.

So how much should you spend on that?

I would suggest that you put 10% off your net income a side and save it to buy something you like. Spend that 10% however you like, its something you reward yourself with after saving month after month for a long time. Lets say you make $3.000 / month and that item is $600?

Put that 10% Aka $300 / month for 2 months . Once those 2 months are over you got your money and 2 months thinking if you still want the item. That’s real delayed gratification.

And remember pay cash.

What is your priority?

Being frugal or stuff?

What about just plain fun money?

I put a personal spending limit for 10% of my net income. You make $3.000 / month? We’ll spend no more then $300 a month on fun stuff. Going out to drink with friends, taking a day off for the beach or going out for diner with your girl.

You can spend money very quickly eating out or drinking. That’s why I recommend getting that $300 out of the bank and put in a box in your house.  Every week you take out some of that money, like $75 and you can use it however you see fit. Is the $75 gone that week? Gotta wait until next week until you can go out again.

This way you can enjoy your money, learn to grow your income more for more fun money and not spend crazy on just dumb shit like 66 beers every month.

And remember pay cash.

What is your priority?

Being frugal or beers?

How this effects your frugality.

So how is this going to effect your thoughts and frugality?

We’ll once you’re in the mindset that you set up yourself budget wise in what you really want and you save on the rest, you’re frugal. You are focussing yourself on what you love to spend on and things you don’t care about have no need for spending.

If you want to drink & go out a lot and you spend only 20% off your income on housing, then you can do that.

Once you really think about where you want to spend your money and you save the rest, invest those in seeds and make it grow, you can achieve being a wealthy person.

It’s very simple :

Live below your means!

See you later,

Uuldriks Financial.

 

Is saving the way to wealth?

Saving your money and putting it in a sock or letting it grow in your bank account, is that really a way to find wealth and freedom?

We’ll lets find out.

What is saving?

Saving money is conserving a percentage of money or ‘income’ for a date in the future. You don’t spend it now, so you can use it at a later time.

The most common reason why people save money is to spend on something like a car or a house. Maybe a vacation or 2. And that’s fine.

But what a lot of people forget is that the money we currently or used to have are all currency’s used to trade for something you want.

Before we had money we used the barter system to trade things with Each other, but its proven that this way was way harder than accepting 1 currency that we all can use to trade things with. So a smart person, Lydia’s king Alyattes minted the first coins and later the chinese people created paper money. Because they started using ‘currency’ and left the barter system behind, trading began to easily grow around their country’s.

The problem with currency is that the value it contains is created by the trust it has given by the people. Example: If everybody trades their dollars for Yen because China takes over the entire world, your dollars will lose all their value. Bye Bye to your pile of cash under your matres. You saved your entire life for that money and now its all useless, That’s a fucked up situation.

So the reason we save our money is to exchange it for something, specifically something that ‘grows’ in value or provides an income.

They call them Assets. Meaning Stocks, Real estate, flipping cars, buying old cars and keeping them to increase the value. Other assets are businesses or royalties from creating books & video’s.

A huge Asset is your time and the value you bring with your time for other people. You can get paid sincerely for it.

If you don’t invest your money it will get worthless like the example above. There is a silent destroyer of your hard earned money and that is ‘Inflation’. Inflation is the rising costs of goods and services that you buy because the value your money is going down. Take a look at your monthly bills every year, there will be a steady increase because the companies that offer their services want to keep their profits at a good rate. The inflation Rate means how much inflation increases in percentage per year.

Most times your boss ain’t as nice for your salary to increase at the correct inflation rate and you are than getting behind on everything. Keep building up inflation over 50 years and most people who didn’t focus on this problem will begin to lack funds to even buy cheap things in life. People will complain about gas for their car, driving to other ‘states’ or here in Europe to different country’s because it’s just a few cents cheaper there. This is a shit show on wheels man, be carefull about inflation.

You don’t want to be worrying about gas becoming $10 cents more expensive next year.

The average inflation rate for the United States from 1913 untill 2018 is 3.15 % per year. So this means that the average savings balance  $33,766,49 is losing $1.063,64 of value every year. Poef, just gone. You could spend it on something nice right? Sure you do.

Well lets say you get that money that’s stashed under your matres and put it safely in a bank savings account. One of the best interest rates we can find is the Ally bank savings account wich provides 1,85% annually. This interest rate would give you $624,68 year, meaning with that kind of inflation rate you are netting -$438,96.

Inflation rate from 1910 untill 2010: (Source wikimedia).

1200px-US_Historical_Inflation.svg

That’s not a great way to grow your money. You will never get rich saving your way to a million bucks. Banks are in the business of making money and not losing it, so the interest rate you will receive will never exceed the rate your bank will ‘loan’ you money.

You will have to find an other way to grow your money to the status of wealth.

Should you have some money in your bank and in your wallet? Sure, you always need some money incase shit hits the fan. Your car could break down or you can experience a layoff or 2 in the future and you will need to be prepared for these nasty situations.

I would say to at least save 6 months of your monthly expenses and if you’re a 1 income family or you can’t find a job easily increase that amount to 12 months of savings.

If you spend $2.000 a month on your ‘recurring’ expenses, things like food and housing that would be like $12.000 – $24.000 in your savings account. Maybe you can save some money on things like car gas and spending in the personal area if you are out of a job, meaning you can use your saved money for a longer time.

Once you have reached your savings goal to de-stressing your family’s financial situation you can focus on the bigger goal and that means creating financial independence for yourself. Meaning you can do whatever the fuck you want and never having to stress about finances again.

Be sure to pay any ‘bad’ debt off before you start your journey to saving 6 – 12 months of expenses, because you sure ain’t gonna get more of a return then your credit card rate of 18%. Pay that shit off before you start anything else.

You want to save and pay off debt? That’s useless man, when you pay off a credit card and an emergency comes your way without a savings account, you can still get money from your credit card to pay for the emergency. The chance that it will happen is also very slim. Paying off car payments or personal loans is in a different category as these loans usually don’t let you take money from it if you need the money. So be sure to at least get $1.000 in your bank account for nasty situations like a flat tire on your car.

Once you pay off your bad debt and achieved your savings goal. You can focus the rest of the money on investing to grow that money.

Most people invest in :

  • The stock market, be it 1 stock or multiple stocks like an index fund. The index fund is one of the best and safest ways to grow your money over a long time. Long term vision is required for this. You won’t get rich fast this way. The index fund will follow the DOW or S&P500 and give you an average 9,7% rate per year. Beating inflation easily. These returns will vary every year. From -5% to 13% a year.
  • The real estate market, investing in a single family home or multiple appartement building. The most common way is putting a down payment of 20% and borrowing the rest from a bank. Using that money to buy a home and renting it out for more than the costs of the mortgage and maintenance per month. Netting you a profit and a cashflow. Cash flow is one of the best things you can get from investing. The average profits a year are around the 10%.
  • Building a business, investing in a business or building your own from scratch. Takes a lot of balls, patience and time for you to build a succesful business. So it’s not for everybody but you can make a lot of money once you achieve success. But you can also fail, if you quit…. If you are a hard worker and have good ideas why not go your own way? Working at a job is not rewarding for a person that works hard, you will never get richly rewarded for your actions. Because the boss man will always need to earn more than you to profit, remember that.

 

These are some great ways to grow your money, but you will first need to learn to save your money. That’s the first step to financial greatness. If you are still living paycheck to paycheck or deeply in debt you will first need to get out of that mindset and situation. The current savings rate for the US is a meager 4% a month. That’s just to little, no wonder the average person can’t get ahead. it will take you more than 45 years to just save 1 year of living expenses. By the time you will retire, you can be really proud of yourself that you finally achieved your savings goal of 12 months expenses. And now you can live 1 year from savings in retirement and then you will have to get a new job.

That’s a no go, don’t you agree?

My personal savings rate is currently 20 – 40% depending on how much I earn each month. But I used to save 0% like everybody else and it is very stressing that you ain’t got no money to pay bills once you are in a dire situation. What I did is cut all the unnecessary bullshit like a big house, car payments and useless junk. Sold it all and got my expenses as low as I could. Housing payment under 20%, no car payments and no new iPhones.

It’s all about priority. Some people want the latest stuff and if you still do then get rid of that shit, because it’s costing you a lot of money and your future. Do you really want to be stressing about every financial decision and eating dog food in your 70s? Not me, I rather live a time without and enjoy 10x more later, than living like trash later on.

When you can save a lot of money monthly you can also use it for different things. Like buying a nice car to enjoy and driving it for a long time. Taking your family on a vacation without worrying about the cost. Saving for a nice house and paying for it in cash.

Be sure to remember this:

”Cash flow that brings you money right into your bank, without being constrained by monthly expenses, is what brings inner peace and financial enjoyment”

Once you have money that is free from recurring expenses like car payments or other debt payments you can feel freedom.

Freedom from working untill you die because you can’t retire.

Freedom from stressing about how to pay your bills every month.

Freedom to do whatever the fuck you want.

How would you feel if you don’t have to pay your housing payment anymore? Taking the average payment of around $1.033 a month, you will have an extra $1.033 every month for yourself to spend or to invest.

This is the difference between the poor mindset and the wealthy mindset. Focus on creating ‘net’ cashflow right into you bank account. So you can create more cash flow, untill you have enough to live off, then you can live life wealthy and free. No more Job, No more stress and no more working for the ‘man’.

So is saving the way to wealth?

Sure, in a way it is.

Savings rate is very linked to having wealth in the long term.  If you don’t save your money, you will always be poor. Once you saved your money, invest it like the rich or get killed by inflation. Be sure to out perform inflation rate, keep your eyes on it every year so you can decide what goals you need to create in your investing strategy. The most common way is the stock market, netting you ‘after’ inflation, around 4 – 6 %.

This is the way to wealth, by saving and investing.

Be sure to check out the book: The Richest Man In Babylon, writing by George S.  Clason. Where the most idea’s for building wealth come from and this book will teach you how to make money, keep your money and investing it to grow a wealthy future everybody desires.

Keep stacking that paper, watering it and letting it grow until your nice money tree arrives.

Until later,

Uuldriks Financial.

 

 

 

Are you in debt?

Are you in debt ?

A lot of people today are in debt, around 80% of people are in debt to somebody.

A big percentage of that debt is of course mortgage debt.

Mortgage debt is one of the debts I can understand, if you take a small mortgage and don’t spend more than 20% of your gross pay on housing than you got yourself some reasonable housing. Other than most people who are drowning in housing debt.

Our own housing payment is currently under the 20% I recommend, more like 11%, you can believe me when I say I have no stress regarding housing.

I once had a rental that cost around 30% of my monthly NET income, and even then I was stressedI just don’t like giving other people my fucking money.

Our article on housing debt Do you live for your house?

The rest of debt is student loans, credit cards, car payments and medical debt which I believe is one of the worst. People get sick and get debt to pay those bills, but every month you have to repay those bills you get a reminder of that terrible time again, again and again. Then you go to work to pay those medical bills, while there is a great chance the work itself created the sickness or accident.

Thats a nasty situation you got yourself in.

Debt is never good and you should get out as quickly, debt will hold any man stuck in his situation. I know the feeling myself.

Been there, Done that.

I thought it was so easy to get a ‘new’ car and got myself a beautiful thing called a Car payment. And what a mistake that was. Check out the idiocy that are Car payments

The feeling of having debt is the feeling of walking around with an iron ball stuck on your foot, you know what kind of one…. they also use it at work camps to keep you from escaping. Well that says enough.

The debt that nice banker got for you looks like a nice present to give. So you can easily afford everything, looks like they know how to sell it at a great rate, ‘you don’t have to pay 5.000 now, just 66,45 every month for 88 years’ .

Once you write down at the dotted line, you sold your soul to the devil, the ‘Slave master’ and now you are his Slave. And work 50 years for that shit called debt.

Well fuck that, doesn’t really sound like a great deal after all right?

Being a slave is the biggest misery some one can have, because it is sneaking into your life. The problem with debt today the day is that it is accepted in our culture. You keep paying it every month and you are thinking to yourself where the hell is all my money going.

You are making some banker rich. Because you keep paying those suckers, well I must say, if you keep yourself in debt… then you are the sucker. The banker is laughing all the way to his bank account, counting the 19% return he gets every month from your credit card. The average credit card debt is now $9.333 , that’s gonna be $147,77 every month of interest. That money is just gone man, gone forever out of your pocket.

And you keep slaving away your time away at some shit job. Just because you can pay them every, single, month.

You need to get rid of that shit man, you need yourself some freedom to do whatever you like. You gotta be going your own way. And your debt is getting in the way to make that even possible. Every time you want to make a decision for yourself or your family, you will always be thinking about that debt. And that’s why its holding you back like a prisoner in a jail cell.

Want to go on a cruise? No, daddy gotta work because them bills ain’t paying themselves.

Want to chill out and spend more hours with your family? Nope, you gotta make them hours count with your nice people at work because the boss need them hours too you know.

Just want to sit on a bench and sleep al day? No can do, because you are a damn debt fool.

PrisonersOfDebt_Logo

Anyway, the debt game is what the current system is all about. Civilization, The machine, The matrix, The empire or whatever the fuck you call it. They are making the system like this so you get stuck into it.

Once you start going to school they get you with credit card and student loans, because you need to be as hip as the other kids. You want that new flashy Phone, go out of state, live in your own place without ever going to work after school. But you know what? Those bills are stacking upon each other and once you get to work you start with a negative net worth.

Costing 1 – 3 years of your life, depending on how much debt you have. Don’t even get me started if you have more then $100.000 debt and your annual income is under $50.000. Then take out half a decade just to pay school back. Holy shit you really want that?

Once you get out of school, you still need to impress other people right? So you want a nice car and house, bringing your monthly expenses up to or over your income. Then you’re in a situation that stops you from paying back debt, working untill you are death.

If you keep going further in that situation you will become Bankrupt, you don’t want that, that will be going after you your entire life and sets you back at least 10 years of you life if it ain’t more.

Now that you know in what kind of situation you are, how are you gonna get out of that hole?

Fill it up with cold hard cash.

 

How to get out of debt

 

  • First: check what kind of debt you have and to whom you own it, then write it all on a paper. No, not on the computer you are watching this with, write it with Pen and Paper. There is something about pen and paper that gets you more going, like you are feeling that pain going off on that paper. So DO IT.
  • Second: write Lowest amount up and go down as the amount of money grows. Don’t mind the interest rate, just the amount of $.
  • Third: start looking where you can save some money, Gas & Electric, Groceries, Biking more, Sell your stupid house and move closer to work, in a cheaper house. Sell your expensive car and get a cheap, good gas mileage car (Beater Toyota or Nissan).  Everytime you save money use it to pay off that debt.
  • Fourth: once you saved as much as possible, start working more on your job if that is possible. Aint it possible or are you working 60 hours a week? Then try to start a side business, create an idea where you can make some money without a huge investment cause you ain’t got no dough to go.
  • Fifth: you are making more money then your expenses and using that cashflow to repay debt. Your now getting out of the ‘hole’ great, congrats on your first steps to a bright future.
  • Six: Once you pay 1 debt off, you use that money that you pay on the next debt. This is the snowballing way of paying off debt. Also known as the Ramsey way, he is a real hero regarding getting out of debt. Check out his site Dave Ramsey

 

After doing these 6 things you are on your way to getting out of debt. You’re a real hero that you are going to change your family’s future. Stay believing in yourself and you will get there, whatever you think with action added, you will attract.

Getting out of debt is mostly psychological, its biting you and you we’ll be thinking that all the money you use to pay of the debt is going nowhere, it’s just gone. And that is what is making it hard. But remember that the money you use to pay off debt, is saving you money. Saving you from paying ‘bills’ every month and not to forget all that interest you are saving.

Once you are out of debt, you can use your income to create a big legacy for yourself. You have the freedom to do whatever you want.

Start a business ?

Go on holiday a few times a year?

Save for your dream house?

Save for your dream car?

You can all do that ,

Once you are out of Debt.

 

Until next time,

Uuldriks Financial.

 

Why we work

You don’t want to work ?

Why not?

The reason most people go to work is that they need to provide and pay for stuff every month. Which is a shit reason to work, I tell you that.

I can completely understand that you need to work to provide for yourself and your family. Those are things you need to keep up and if you like your job then you will enjoy that.

But wouldn’t it be better if you can build something for yourself and not stuck to a 9 – 5. At least build something next to your job so you can have ‘more’ control over your life.

When you control more in life, you have more choices and you can provide a way better life for your family. Once you got have that, you can do what you want.

A lot of people get payed good money but they waste it on dumb shit. So the first choice you have to make is to get out of that sticky situation. You maybe got $2.500 a month coming in your bank account and wasting $3.000 a month… Wtf are you doing?

First get insight how much is coming in and where the hell you are spending that $3.000. Spending most of it on your Housing or your Car? Check this out:

When you got that figured out, find a way to sell those things and find a cheaper alternative. You have to live like nobody else does, once you get out of that negative situation, you can live life like nobody can.

And don’t even get me talking about credit card debt.

Get out of that situation now… you are making somebody else very rich, giving them 17% every time you pay your bill. Its insane.

Mostly its bullshit crap you could have payed cash for if you just delayed getting that new iphone, iPad or tv for a few months. That ‘new‘ thingy is by the way not ‘new‘ in like 2 months. After those 2 months Apple is already busy thinking about the new marketing strategy, so you can swipe your bondage card once again. Swiping yourself to work another 50 hours this week for that fucking phone….

Get rid of it.

Then save all of that money you don’t spend anymore. Once you have some money you can buy yourself the freedom of choice. To choose a better job or no job and focus that 50 hour a week on your own business. If you have $30.000 in the bank and little to no expenses you can go your own way.

You can also choose not to work for sometime and experience free time for traveling or experiences.

But.

A big but,

there is a double-edged sword with ‘not’ working.

If you think drinking pin a colada all day on the beach is something to live for, your living a very shallow life. You don’t want to die away that way, you need a purpose in your life and the best way is creating something. Once you build something ‘Great’, you can use that to inspire others and give back, like Arnold Schwarzenegger always said.

And this is true, I’m not some old grey guy that is giving you this advice. But once I helped somebody with something, I always feel great. Especially if you can find somebody that takes it at the correct way.

When you see this person thanking you for whatever you meant for them, you get the greatest feeling ever.

And this is the ‘purpose’ of good work.

No matter in what way you achieve this, through a ‘job’ or at your own ‘business’ .

Personally I believe your own business is way better, because there is no BOSS holding you off on your decisions.

in ‘Your’ business, you are the one making the shots. Not some jerk that can hold you back just because you wasn’t on that team building day, kissing his ass.

You know that feeling right? Your girlfriend, boyfriend, son or daughter comes to you, because they want some quality time with you. Your really love to go and cuddle or whatever you are into. Spending just time right? We’ll aint gonna happen because you need to be going or else your gonna late for work. Come on, that’s no life!

Enjoy your work, if you don’t, find an other way. Don’t give up, because you have your entire life the time to find out. Ain’t nobody too young or too old to start something.

The thing that you need to start is in your ‘gut’. You don’t know what you need to do? Well you already know every time you ask that question. What is the biggest thing you like and love doing? The thing that everybody comes to you for. You are the expert at that ‘thing’.

Selling furniture, fixing cars or cutting grass. Whatever you can think off, you can monetize on that.

So, get out of debt, be a minimalist, find a way to become good at something and give back!

That’s the correct reason to go to ‘WORK’.

Stay busy and creating,

Until later,

Uuldriks Financial.

You don’t need a car payment

The average car payment in America is now $500 a month.

Man, what can you do with so much money every month instead of giving it to the bank.

Start a business? Invest in stocks? Invest in fucking Bitcoin? Sure, you can do whatever the fuck you want and buy yourself some freedom.

You keep whining about how sucky your job is, but you still insist on driving your $650 dollar Mercedes, $500 dollar ford or $300 dollar Volkswagen to the office.

Why?

Because you think your coworkers or your boss is amazed that you drive that big Merc? Yeah, sure for like 10 minutes, then they forget about your beautiful car and they are back to their own life and worrying about their own car that is coming due every month for $500+ dollars.

I understand that you want a nice or new car and this blog is about nice cars, but don’t go into debt for a can on 4 wheels man. I really know why you do it, I did it myself a year ago. I drove a BMW 316i from 2001 and I thought to myself, you know what? I got a good job and its time to upgrade this piece of old shit, so I went to the Lexus dealer and got myself a IS250 from 2012 .

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It was a very enjoying car and it was very cool that everybody (coworkers) told me that the car was very nice. But after a week I kept thinking about this shitty car payment every month. It was around $300 a month, I could easily afford the car but the guilt feeling that I owned this money to the bank and needed to pay it EVERY month. I just couldn’t get over it, so 2 months later I returned the car to the Lexus dealer and got my money back. ( got very Lucky with that one) after that I bought myself a cheaper diesel car for traveling and work. No depreciating item, but stacking money time.

If you do this and save some money every month because you are not sending it to your slave master. You can stack that cash and buy yourself a nice used car for like $10.000, for that kind of money you can get a nice used luxury car and enjoy the same benefits as the new $30.000 car.

If you buy a new car and you drive it off the lot, the worth of the car is going down like the stock market in 2008. After that tragedy you find yourself losing 25% net worth in a few minutes.

$30.000 > $22.500, Damn that’s quite the investment you got going there.

Use that $30.000 to make some more money and buy yourself that supercar later on, delayed gratification it’s called, sucker.

Once you got patience, you can get rich. Trust me, after you get rich, you can buy whatever the fuck you want. If you are rich, you also don’t need to be going to that Job to work for your car. What are you going to do with your new car. once your boss says its time to go because the company got problems?

Then your stress levels will definitely hit records high like the NASDAQ at the .com bubble. Your big ass car payment of $500 and your $1.030 housing payment is going to crush your average savings that won’t even hold your head above water for a month.

Bills-to-Pay

And then what? Your going to need to sell your car and your house with a huge loss because you ain’t got no options anymore. So free yourself from this bondage that is called car finance and even shittier, private lease.

The only way I can see you leasing a car is that you build yourself an empire called your own ‘Business’ wich makes you big money so you can afford to put the car as a business expense. You should at least have enough money. I would suggest if you can’t pay the car 3 times you ain’t got enough cash for such a money drain.

You want to lease on your business? Have 3 times the worth of the car in cash in the bank. Then you can do it and you won’t have problems with cashflow once your business has downwards moment.

In my opinion you should never finance and never lease, just buy the damn car and be done with it.

If you don’t subscribe to BMW finance and you stack that $500 every month in your bank account for 12 months, you can buy yourself a nice $6.000 car. Keep saving and upgrading untill you have your dream car!

After that you can use that $500 monthly payment for yourself and build yourself a great life.

So whatever you do, don’t finance a depreciating item. If you finance something, use it to make more money, called Leverage. After that buy your BMW or whatever you like.

Anyway, stack that money.

Until later,

Uuldriks Financial.