A Personal Finance Blog for Malaysian: Wise Money Management to get rid of debt burden- Don’t Work For Money, Let Your Money Work For You

Monday, April 11, 2011

Wise Money Management to get rid of debt burden- Don’t Work For Money, Let Your Money Work For You

[A Guest Post By Emily Jones]

You might be bewildered to know that average working men maintain the same routine almost everyday. They wake up, get ready for work, drive to the office, go home, sleep, and wake up on the next day. These are the daily tasks that we all follow five times a week, 22 times a month, 259 times in a year. Exception occurs only 12 times a year on your paydays, when you reach office with a smile on your face and receive your salary. 

Statistics says average men spend 90% of their paycheck for that particular month and exhaust their income before the next pay check arrives. On the flip side some go one step ahead and spend 110% of their total earnings every month. As an invariable result eventually they land up in trouble and incur overwhelming debt need financial advisor. 10% of the world's population is found to use their little grey cells and invest their hard earned money to generate more income. In turn they receive more disposable income to clear off their debts down the line.

Record says 90% of the world's population is working for money but 10% knows how to deal with their finances and let their money work for them. If you want to be one amongst this 10% you better be a little more proactive and diligent. Once you receive your paycheck, you know how to get out of a payday loan, and use the remaining cash to create an extra source of income. If you continue this every month, at the end of the year you would be left with 12 sources of income along with your paycheck. Generating multiple streams of income like savings account, investment account, real estate investment, e bay source or home business can have a major impact on your finances. Just Imagine if all your income sources can generate at least $50 every month you’ll be left with an extra $600 every year which can be further used to pay off your due bills, or to create a stronger source of future income. 

If you continue to work for money, you will be staying with 90% of the world's population, sharing 10% of the wealth. Better let your money work for you, and bring some drastic changes in your financial life. Accumulate wealth to reduce your debt burden and to secure future financial freedom not only for you but also for your family and the forthcoming generations of your family. 

To conclude, you are no way instructed cease working, rather you have been motivated to create extra sources of income using the money that you have worked for. Stop working for money, and this time let your money do the work for you. Remember average people die leaving thousands of dollars in debt to their families. Be an exception and learn the intricacies of money management to leave your family with thousands of dollars in savings.