Insights Into Effective Personal Financial Attitude and Behavior

Insights Into Effective Personal Financial Attitude and Behavior

1.?Rich people count money and always know where it is spent and where it comes from.

? Financial accounting develops discipline and allows to effectively manage your money.

2.?In accumulation and growth of capital, the most valuable resource is time, not money.

? The earlier you start investing, the more often and more regularly you invest, the faster the capital will begin to generate sufficient passive income to live on and further increase.

3.?Long-term financial planning horizon.

? Setting financial goals, choosing methods and calculating the required return help assess the feasibility of your plans, as well as select relevant financial instruments to meet your goals.

4.?Implementation and regular progress monitoring.

? Being rich requires strong discipline and regularity, and the duration of investment is more important than the size of the initial capital.

Limiting Personal Financial Attitudes and Behavior

1.?Loans are for the poor and those who cannot afford to buy with their own money!

? Loans are one of the main investment instruments of the rich

2.?Wealth is cars, houses, apartments, expensive clothes, etc.

??The poor buy things, and the rich purchase the assets?that generate income from the sale of things to the poor. "Poor" = share of spending on expensive purchases and spending more than 10% of their income.

3.?I'll start investing when I'm rich!

? You will get rich when you start investing, but it will take time.

The sooner you start and for longer, the more regularly and more you invest – the faster you will get rich!

4.?Not everyone can be an entrepreneur. Anyone can be an investor.

? Investing is making money on someone else's success story (always the entrepreneur and his business), which can be active and passive, unlike entrepreneurship.