Spending Less To Invest As Opposed To Just Saving
Financial Management

Spending Less To Invest As Opposed To Just Saving

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It seems like a popular topic this year has been the idea that money budgeting is not the way to obtain financial freedom or a debt free lifestyle. Instead you just have to focus in earning a lot more than you actually lose. It sounds almost like the same thing but fundamentally there is a difference I suppose. One example that I kind of agree with is the idea where if you are being frugal and saving a ton of money just to keep it in the savings it’s probably better to find ways to use that money to earn more. That could be from starting a side business or investing it in something for a return.

That doesn’t mean you should never have any money in the savings as you just never know when something will come up. For example, many times to be a frugal shopper you have to buy the deals when they are at a great price which means you have to have funds available to do so. But generally speaking you should always be looking for ways to use what you have to proactively create a stream of income that will always be more than you need.

That’s a challenge in itself. For example, can you shift your mindset where if you have a $100 then you will see that as a what can you invest that into as opposed to what can you splurge on today? At the same time we are used to the idea of we have to save up to be able to buy something we want. How about to invest in a little project to make more money instead? For many people we have to get accustomed to that first. I find a great way to do this is reading all the stories of people creating something from nothing. If they can do it why can’t you?

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