You only need one powerful habit to become financially free and that powerful habit is investing.
Investing doesn’t start with stocks, bonds, and real estate — it begins with investing in yourself and changing your financial habits.
When you can consistenctly spend less than you earn, there is nothing stopping you from becoming financially free. A budget is the key to spending less than you earn.
Learn to pay yourself first. The next time you get a paycheck, the first thing you need to do is set aside 10%. This becomes your investment money, and you need to live on the remaining 90%.
Invest 10% of each paycheck into your savings account every month. Your goal is to save up for three months’ worth of expenses.
Your new job is to take 10% of every paycheck, and make that money grow. Essentially, you want to buy things that will make your money grow, such as investing in real estate, stocks, or a small business. Eventually your money will grow so much that your investments can support your lifestyle.