I thought that diversifying a bit could be interesting. After all, there are tons of rich women too!
“What you choose to do with your money shows whether you are truly powerful or powerless.” –Suze Orman
Money is a tool, not an end.
I was talking with a friend yesterday who was asking me how it was possible to save as much as I do. He said that I must do something illegal of some sort as he can’t manage to save 1000$ in a year while he makes 110,000$ per year…
The guy makes more than me. Yet, he always end his years with more debts or owing money to the tax man.
I told him “buddy… I’m going to give you my secret. It’s no big deal. S-P-E-N-D L-E-S-S!!! You’re throwing your money by the windows and then you yell that it’s impossible to save.”
He was mad… I attacked his ego.
“I don’t throw my money by the windows, he yelled”
“Yep you do! You always buy expensive cars, the most expensive ones with all the unecessary options, you throw at least half or your groceries every week, you bought 3 times the same Dewalt 20 volt Ion drill (it’s an amazing one by the way), 5 times the same hammer because you forgot it home when you came to help etc etc etc… You throw your money away!”
“You throw it away too. You eat out at the restaurant pretty often. You’re changing your flooring while it is still okay even though it’s ugly…”
Now he’s attacking me.
The conversation went like that for at least half an hour until we were both mad.
People don’t realize the power they have to change their life. I know because I’ve been there too. Yes I still throw some money by the windows. I’m not yet a purist of the early retirement extreme model and changing bad habits is no easy task but most of my capital goes toward refunding my mortgage in 7 years vs 30 years and building a freedom fund that will generate at least 15,000$ per year at my 45th birthday! The rest, I spend it as I wish. Sacrifices are made!
One year and a half ago I didn’t have passive income. Now I get 1500$ in dividends per year and most probably I’ll get a 1000$ from my online ventures. That’s 2500$ or 200$ per month. That’s not a lot but it can help make ends meet at the end of the month. All of this will compound.
And, as David Bailey said
“To get rich, you have to be making money while you’re asleep.”– David Bailey