I will never forget the day when I realized that it was possible to achieve financial freedom. It was a feeling of pure joy and excitement. The path to financial freedom is not easy, but it is possible. In this article I will share five secrets that will help you get there faster than ever before.
Find A Money Mentor
One of the key elements of building wealth is to find a mentor. This can be someone you know or a professional who has been in business longer than you.
You want to look for someone that has been in business longer than you, who has seen it all and can offer advice based on what they have learned throughout their career as well as give valuable insight into how they think about financial planning, risk management and asset allocation strategies.
One way AG Morgan Financial Advisors helps clients find mentors is through our annual retreats where we bring together some of the best minds in finance from all over North America (and beyond). Here they discuss current trends affecting money managers today like: artificial intelligence (AI) investing decisions; passive versus active management; cryptocurrency investment opportunities; social media influencing stock prices etc.
Do Not Rely On Only One Income Source
Your financial life should not be dependent on only one source of income. Instead, you should strive for multiple streams of income and diversification in your investments so that you can weather the ups and downs of the market.
Investment guru says that investing is like a poker game: If you keep putting all your money in one or two pots, it’s just a matter of time before those pots dry up, leaving you with nothing but debt and credit card bills to pay off.
The same goes for relying on only one job as an employee—if there is no other source of income coming in but that job, then what happens when there is an economic downturn? Or if something happens at work (a layoff or reduction in hours) and now suddenly all your bills aren’t being paid anymore?
Take Advantage Of Compounding Interest
Compounding interest is the interest that you earn on your interest. It is a powerful tool to help you grow your money because it grows exponentially and can help you become financially free.
Here’s how it works: Let’s say that you have $100,000 in an investment account earning 5% per year (which is pretty good). After one year, the investment will be worth $105,000 since $5,000 of interest was earned on top of the original principal amount. The following year, by earning 5% again on this new balance ($105,000), another $5,050 will be added to bring us up to a total value of $110,050 at the end of our second year! Keep doing this for many years and compounding interest can really add up quickly!!
If you want to achieve financial freedom, these five tips can help. Finding a money mentor and automating your savings and investing are two of the best ways to start getting on track toward your goals.