Financial success is something everyone aims to acquire in Life. But it not so easy. It is not something that happens in overnight. Financial growth happens only after a lot of hard work, planning, taking the right decisions and implementing ideas the right way.
Here are the few best tips for financial growth:
The first step is setting goals. It is not as easy as it seems to be. You should decide what you want and plan accordingly. Having goals is important irrespective of big or small. Setting a proper goal itself is half of the success achieved. Understand how important your goal is to you. It should motivate you. Setting a goal includes planning and stepping forward to execute each step. Don’t focus on the outcome at this point of the time, just focus on the plan execution. Start with a short-term goal and keep extending it, e.g. you may set a goal for a set for 3 months then extend it by 6 months, 1 year, 2 years and so on.
2. Focus on future:
Always look at the future. While making any investments or savings, predict the future rather than the past. Don’t invest by looking at the past details. Most of us invest by looking into the past. If a stock had a good growth the previous year we tend to invest in the same. But not everything lasts for years together. So look into the future, predict and invest accordingly.
3. Watch out expenses:
Know your money flow. This is a very important step. It is always important to make a note of your cash flow i.e make two columns of incoming cash and outgoing (expenses). The aim of including this step is to make you understand your income. This helps in making you think before you spend unnecessarily. You must make sure you spend less and earn more. But it doesn’t mean you don’t spend at all. All you need to do is avoid unnecessary expenses. Most of them spend first and think later. Some wise man said there are two reasons for failure, One is doing things without thinking about them and the other is thinking about things without doing them. So keep in mind you avoid these two points.
4. Make Investments a habit:
As we all know how important an investment anytime. Investing in any good firm helps you a lot at the time of need. But it doesn’t mean you invest all your income in stocks or firms. Try to put 25% of your monthly income into some investments in UAE.
5. Plan for Retirement:
This is one of the most important aspects. It is better to start investing as early as possible. Most of them start planning for retirement either after they are financially settled or after getting married. But it is better to start at an early age. This will lead to a much more comfortable life after retirement.
Financial success is important but it is not the ultimate success. So work accordingly. The tips mentioned are really easy once you concentrate and start working on it. You don’t need to figure about the future or go out on a limb with your cash. Just make a move, and take little steps. You will be amazed how far you’ve come over the years.
About the author
Nikitha is a Senior Analyst at MyMoneySouq.com. She has been writing about personal finance, credit cards, mortgage, and other personal finance products in the UAE. Her work on Mortgage loans has been featured by the GulfNews and other popular Financial Blogs in the UAE.