Personal Finance Tips – 17 Financial Tips

Personal finance tips can be helpful to you only when you follow them seriously and religiously then only you can see the good results. Before directly jumping to financial tips let’s know some things to know before following any financial advice.

Things to keep in mind before following any financial tips

1. Do your own analysis before following anyone’s financial tip.
2. I had provided some best personal finance tips which will help you but it will take time okay so you have to keep it in mind.

Personal Finance Tips

1. Invest in yourself
2. Emergency fund is important
3. Some Insurance is must
4. Save money but invest that money
5. Only saving can be dangerous
6. Track your income
7. First, save then do expenses
8. Maximize assets and minimize liabilities
9. Investing in fd is not a good decision
10. Invest money where you can defeat inflation
11. Never try to impress others
12. Avoid debt
13. EMI is trap
14. Surround yourself with financially educated people
15. The quick rich scheme is a scam
16. Don’t Invest Blindly
17. Upgrade your personal finance skills

1. Invest in yourself

Invest in yourself this is the first and foremost important point. You can say this is the best financial advice that I can give to anyone. Because investing in yourself can give you infinite returns.

I had said many times and not only I say this the king of investing Warren Buffett himself says that first, you should invest in yourself okay?

You have to understand that you will not get as much amount of a return as you can get in investing in yourself, no other investment option can you this huge return.

2. Emergency fund is important

The emergency fund is very important you yourself will agree with me after this point that in the pandemic many people have short of funds. So if you have an emergency fund you will protect yourself from that kind of crisis which can happen anytime who knows so you have to be prepared for that.

3. Some Insurance is must

I had said some insurance read it again because many people think all insurance is important. This is absolutely wrong man you can’t do that you have to understand that only some insurance is important for you and for your family.

If you consider all types of insurance so you have to take every insurance which will come in the market so that’s useless ok.

4. Save money but invest that money

When you look to save money you should also have a eye on investing that amount of money. Because you want your money to work for you . You don’t want to live your whole life working day and night for money okay that’s why you have to invest that money which will give you a decent amount of return in the future over a longer period of time.

5. Only saving can be dangerous

Only saving can be dangerous and it is true. No matter how much money you had saved over the years but over a period of time due to inflation, your money loses its power that’s why it is not recommended to rely only on saving. You can read this article only because saving is the first step to becoming poor.

6. Track your income

Track your income if you want to live your life happily or want to retire at early age peacefully then you need to track your income.

Because my all-time favorite line if you can’t track it, you can’t manage it too. Simple and easy. So you have to track your income you need to make sure you have a budget and all those stuff.

7. First save then do expenses

Tell me one thing how many times you had done this? Shall I give the answer not a single time I am talking about most of you why I am so confident.

When you follow this rule or apply this rule you will not have to worry about saving because you are already done.

Keep in mind from now onwards

Right Formula :- Income – Saving = Expenses

Wrong Formula :- Income – Expenses = Saving

8. Maximize assets and minimize liabilities

Listen when you look at your net worth you will find out that you have 9 out of 10 things which are liabilities and I am sure.

What you have to do is try to minimize the liability column and increase the assets column okay.

But you will say what is the difference between assets and liabilities? So assets are something that puts money in your pocket and liability is something that takes away money from your pocket easy to understand good.

9. Investing in fd is not a good decision

I know you will not agree with this and this topic is debatable. But tell me one thing what’s the use of getting a 2-3% return after deducting the tax?

If you want to play safe no problem. If you want to work until the 60s no problem. If you want to struggle with money throughout life no problem you can do it.

But if you don’t want all these then trust me guys there are the best alternative of fd that provides good returns.

10. Invest money where you can defeat inflation

Listen we invest money to increase wealth and the second thing is to beat inflation. But most people want at least they beat the inflations so that they can live their life happily.

That’s why I am telling you to invest money where you can at least beat the inflation rate and don’t fall into the trap of investing money in fd or any other investment option which hardly can beat the inflation rate. You are a smart audience I hope you got what I’m trying to say.

11. Never try to impress others

Don’t show off friends. Showing how much money you have to other people is the fastest way to become poor. Read this again and again.

12. Avoid debt

If you seriously want to live your life happily you can’t live your life happily if you are in debt. Avoid debt. Debt is not bad but if you have bad debt that might create serious problems in the long term for you.

13. EMI is a trap

EMI is slowly making you poor. You don’t have an idea how this EMI works? These are built in such a way that common people think that they have to pay only a small amount every month and they can get desired gadgets or accessories anytime. But you don’t know how many times you pay extra money on EMI.

14. Surround yourself with financially educated people

Your network is your net worth. So I highly suggest having a company of good people who help you to upgrade yourself.

Bonus tip want to see magic just follow all these steps for a couple of months or years and you will see the magic. You only have to change your network and you will change your net worth not kidding seriously go and try.

15. Quick rich scheme is a scam

Listen man rich people spend decades or some spend their whole life to become rich and you think that you will become rich in 1 month or 6 months. Stop talking and thinking like a child.

16. Don’t Invest Blindly

Seriously speaking you had done lots of hard work day and night to earn money. Don’t you think that? So how can you invest blindly in anything or anywhere by listening to any people? Where you don’t know anything about that stock or whatever.

17. Upgrade your personal finance skills

In order to upgrade your personal finance skills. Read blogs on personal finance, watch YouTube videos on personal finance, listen to podcasts on personal finance, or read some of the best books on personal finance that are available. This will help to not look for personal finance tips from people who don’t have the right knowledge about it. That will help you to protect your money from unwanted traps.

Conclusion

If you think that you want to retire early or achieve financial freedom you need to follow all these 17 financial tips which I have provided.

I am not saying that I have provided the best personal finance tips I have shared my experience reading lots of books etc that’s it. You can give it a try if you want. I know that it will work if you follow religiously.

FAQ’s

Read More

1. Personal Finance Rules

2. How to become a millionaire by 25

I hope you like the post Personal Finance Tips – 17 financial tips. Thank you for reading. I hope your financial journey goes smoothly.