A stable income brings security to compensate for your daily spending, but it does not create wealth for you. Achieving financial independence is not just about saving, learn how to make your money grow by itself is the key to become your own financial manager!
The financial market is a pool of mixed assets, making it difficult to dip in sometimes especially when you are faced with a challenging financial situation and a variety of investment options available. Financial independence is an overall state to be achieved from different levels and to become your own master in finance, you need to know more about saving and more importantly, investing. Now let’s check out a few useful tips to boost your financial journey:
Know Your Money
To learn how to manage your own finance, you have to know where your money comes and goes.
- Record your income every month, and try to analyze your spending habits;
- Categorize your spending and make adjustments when necessary.
Are you spending too much on unnecessary things? Can you adjust your carrier plan to save more? Always give a second thought before spending.
Generate More Income
Active income gives you stable support to get through daily living costs, but it normally doesn’t contribute much to your wealth unlike passive income, which can be achieved by:
- Investing in financial tools such as bonds, stocks, mutual funds, and the like. These products contain a certain level of risks and you can choose what you are most comfortable with, drop some of your cash in and wait for the return.
- Purchasing banking or insurance products. This option actually has a similar outcome as the first one, but the difference is that you hand over the control to the bank or insurance company that you choose. By doing so, you’ll have a higher chance of making gains than losses, but your interest percentage will be lower.
Invest to Grow Your Capital
The best and most wise way to grow your capital is by investing. Just like what’s mentioned in the beginning, it's not easy for beginners to choose the investment products or platforms that best fit their needs.
Crowdfunding is a type of investment designed for those who do not want to risk a large capital at the beginning of their investment journey. And among many other crowdfunding platforms, TFGcrowd offers you a clean interface with multiple investment options to choose from:
With just 1 Euro, you are able to start this 1-month long investment by earning 2% of annual interest by the end of your plan.
Plan term extends to 12 months with 4% of annual interest paid on a monthly basis. The starting amount is only 50 Euro, making it quite affordable for beginning traders.
Higher annual interest of 6% for an investment term of 24 months, and what makes it better is the weekly payment cycle.
The above plans give you the flexibility to match the right investment to your needs, but as the article said at the beginning financial independence is an overall state that takes a long time to achieve and combines many different measures.
Invest wisely and make yourself the master of your finance!