The fact remains that in this life some people are constantly working for their money, while others have learned to put their money to work. Some people come off at the end of every month, saying; “I really don’t know what I did with that money,” or, “I can’t account for all the money I’ve received.” If you find yourself saying that, you can be sure you’re not in charge of your money; your money is in charge of you. It is determining what you do, where you do it, and how you do it. And you really don’t want that if you’re going to be putting that money to work for you.
There are a few pointers to knowing if your money is working for you or not, or if you’re getting any return on your investments;
- Do you spend within a budget? – Every amount you earn should be assigned to a task, and accounted for. You should have your budget before the receipt of this money because cash is easier to spend when you have no plan beforehand. You should also have a scale of preference within your budget so you spend on those things most important first. A lot of the time savings is more important than some of our frivolous spending, so your savings should be somewhere close to the top of the scale.