The purpose of the 7 Daily Nuggets is to teach us what we need to know to live a prosperous life; the things that we may not have learned or are not currently learning in church, school, home or at work. Let’s apply what we learn here and share these nuggets with others. We make a living by what we get; we make a life by what we give. Be a giver in a world of takers.
It is not important how much money you make, what matters is what you do with the money you keep.
Are you financially fit?
How many years can you live without your job, your pension, and your social security? Will your money outlive you?
Here are a few basics about money:
1. Defense. Spend less than you make. Simple, yet most people break this simple rule. Delay gratification. If you cannot afford to buy with cash you have not earned it yet.
2. Offense. Make more than you spend. Simple, yet most people are content trading their precious time for little money.
3. Debt. There is nothing good about debt. Debt can grow like cancer. Get rid of it.
4. Interest. Have interest work for you and not against you. Compound interest is the 8th wonder of the world.
5. Savings. Have an emergency fund for several months of living expenses. Pay yourself first. You can sleep better when you have a nest full of eggs with protection around them.
6. Inflation. Inflation hurts everyone except those that generate it, the orchestrators. And you know who they are, the banks and our own government.
7. Assets and liabilities. An asset puts money in your pocket and a liability takes money away from your pocket. Acquire assets not liabilities. A car and a house are liabilities, not assets. Invest and insure assets not liabilities.
Money is not everything but in order of importance it comes just below oxygen. Have you tried to live without money for six months?
Invest time and money instead of spending them.
Comments? Ask me how I can help you be financially fit by mastering money instead of having your money to be your master.
Be blessed and be a blessing to others.
Carlos Fontana, President of Phalanx
Co-author of the book Follow to Lead (The 7 Principles to Being a Great Follower)
Author of the book PRICELESS (Sixty-Six Simple Stories of Reflection, Love, and Legacy)