Smarter Investing & Saving for Financial Independence
2022 is fast approaching us and I have a challenge for all of you.
1) Pick any amount that you are willing (and can afford) to set aside at frequent intervals (weekly, monthly, etc) for the medium-to-long term;
2) Find legitimate and sensible ways to reduce expenses and/or boost your income. If you’re interested in the former, consider:
– How many takeaway coffees and meals you’re consuming;
– How often you to go eateries and restaurants, forking out over $80+ pp for a three-course meal;
– All of the drinks and snacks you’re buying on the go (especially $2 for bottled water most of us can get from home for almost nothing);
– Your clothing expenditure per month, quarter, etc. How much do you spend to impress other people, and why is it so important for you spend x amount to do this?
– Running a flashy and/or oversized car that you don’t need;
– Seeking good discounts for groceries and other items/plans;
– Looking after your health (don’t forget this folks);
– All of those under-utilised subscriptions…and so on.
Factor in these points, and I would say most of us could readily save at least $80-$100 per month, without working extra hours and drastically impacting your quality of life.
Imagine assigning that money to a reputable cryptocurrency or even a stock that you have thinking about for a while. Even if it meant paying down high-interest debts, think about the stress you’re alleviating by nipping it in the bud?
If you were to proceed with step 1, frequently investing in something, irrespective of an asset’s price, you would be essentially doing what is called ‘dollar-cost averaging’.
Many people obtain financial independence through varying degrees of sacrifice and taking risks in different forms, notably with solid medium-to-long term investments. Of course, many succeed (and fail) with high-volatile investments in the short term as well, but it tends to be more gratifying when done over longer periods.
Start small, think big, be patient and persistent. Do your own (sufficient) research from multiple trustworthy and unbiased sources, and do not let emotions get the better of you. You will see how you can change your family tree, particularly if you use some of the above-mentioned principles to become financially-savvy and let money work for you.
Disclaimer: None of this is financial advice and I am not a financial advisor.
If you would like to stay up-to-date with related content, particularly in relation to cryptocurrency, subscribe to my Minds and YouTube channels. I will be producing another DCA analysis for Bitcoin and Ethereum in the coming weeks. I also made similar videos about this topic back in both January 2020 and 2021. These are available via my regular Minds channel for all to access.