But not EASY. Just like being physically healthy is simple but not easy. I’m not saying you have to save 50% of everything you earn, but you could probably save 5%; maybe even 10%. Most of us can find a way to save a nickel or a dime out of every dollar we earn. Haven’t people determined WHY they should work to get and stay financially healthy?
We may all have 100 reasons why we can’t save, and they are all good and rational reasons. But they are short term reasons that are counterproductive to your long term goals and ambitions. Your why for being financially healthy may be remarkably similar to your why for being physically healthy; to be able to watch and enjoy all the things your family is going to do and achieve and accomplish. You want to be financially healthy enough to enjoy your physical health, and you want to be physically healthy enough to enjoy your financial health.
And the way to financial health is very similar to the way to physical health. Do the right things, do them consistently, and do them for sustained periods of time measured in years. We should go over the wonderful effect of compound interest on finances, but the key to compounding is TIME. The earlier you start, the more consistent you are, the better it works. Just like being physically healthy, the benefits compound over time. The longer you do it, the more consistent you are, the better your results.
Save and invest, Save and invest.
We would love to talk with you about your financial aspirations and needs. At Muhlenkamp making your money grow is our top priority.