Smart Money Management: Easy Wealth and Early Retirement

By Kenneth Hambly

You were never taught how to manage money. At some stage of your life you were given the basics on how to make an income and pay bills, but were never taught how to take care of your personal finances. Many people like you want financial stability, but don’t know how to get it.
At least half of these people are living in what they call a state of persistent economic security. In other words, they can't see past their current financial needs because they're living paycheck to paycheck. When a person is in this state it's hard for them to plan for the future.
After the recession, many people found that they were not only living with less income and savings, but they also had poor credit.
This forces people to depend on high-interest credit cards to make ends meet. Others have to resort to short-term, high-interest payday loans to get through an emergency.
Improving finances is not just about making more money or cutting back on expenses. In order to improve a your finances to the point where you are financially stable, there needs to be a shift in the way you think about money.
Even with the help of this book it may take months or years to get your finances completely in order. However most people can see some type of improvement quickly. If you want to get faster results, you can make more sacrifices in your budget. However, with small changes and reductions a person can reach their goal, it just might take a little longer. Good Luck!
 

• Language: English
• Publisher: Kenneth Hambly
• Release date: Sep 22, 2015
• ISBN: 9781513089591

Book preview

INTRODUCTION

A New Relationship with Money

THE CURRENT FINANCIAL SITUATION

Net Worth

Assets

Liabilities

Creating Financial Goals

Future Events

Large Purchases

Credit

Insurance

MAKING A BUDGET

Income

Expenses

Personal Spending Money

Changing Habits

Be Realistic

REDUCE EXPENSES

Reduce Discretionary Expenses

Find Alternatives

The New Frugal Way of Living

Take a Trial Run

MINIMIZE AND SIMPLIFY

The Cost of Stuff

Needs - Necessary Stuff

Wants - Optional

Starting to Reduce

Preparing to Make Changes

INCREASE INCOME

A Second Job

A Side Business

Sell Excess Stuff

Income and Expenses

IMPROVE THE CREDIT SCORE

Get Your Free Credit Report

Monitor Your Credit Score

Check for Inaccuracies

Dispute Invalid or Inaccurate Information

REDUCE DEBT

Pay Down Credit Cards

Create a Payment Schedule

Don't Take On New Credit

DEBT CONSOLIDATION

Refinancing a Mortgage or Home Equity

Debt Consolidation Loan

Consolidating Debt

Debt Counseling

Bankruptcy

START USING CASH

The Problem with Using Credit

The Problem with Using Debit Cards

The Benefit of Carrying Cash

The Cost of Overdrafts and over limit Fees

When A Credit Card Is Needed, Choose the Right One

START SAVING MONEY

Emergency Savings

Large Purchases

Short-Term Goals and Expenses

Long-Term Goals and Expenses

LEARN HOW TO INVEST

Mutual Funds

Brokerage Accounts and Investing

Taking Risks

GET OTHERS ON BOARD

Getting the Family On Board

New Lifestyle Adjustments

Show By Example

CONCLUSION

INTRODUCTION

Many people were never taught how to manage money. They were given the basics on how to make an income and pay bills, but they were not taught how to take care of their personal finances. Many of these people want financial stability, but don’t know how to get it.

According to the Corporation for Enterprise Development, almost half of Americans are living in what they call a state of persistent economic security. In other words, they can't see past their current financial needs because they're living paycheck to paycheck. When a person is in this state it's hard for them to plan for the future.

After the recession, many people found that they were not only living with less income and savings, but they also had poor credit. It is estimated that half of Americans have subprime credit. This forces people to depend on high-interest credit cards to make ends meet. Others have to resort to short-term, high-interest payday loans to get through an emergency.

People get dragged into this cycle of debt. For some people, this debt is the only way for them to make ends meet. For others, however, their debt increases so that they buy the things they want. This cycle can only be broken, when a person decides that they need to improve their finances.

Improving finances is not just about making more money or cutting back on expenses. In order to improve a person's finances to the point where they are financially stable, there needs to be a shift in the way they think about money.

Many people have a negative relationship with money. Their decisions are based on fears and anxieties that come from their past. When a person manages their money based on fear, it can lead to financial ruin.

A New Relationship with Money

In order to make lasting change in a person's financial situation, there needs to be a change in the way they handle money and the things it can buy. This starts by looking at the person's current financial situation.

When