Wealth Creation
- Thread starter amitrandive
- Start date
Best pieces of financial advice
http://www.businessinsider.com/best-money-advice-farnoosh-torabi-2015-10?IR=T
1)You don’t get what you deserve. You get what you negotiate.
At the time, I was earning around $45,000 at my TV news job as a producer and sometimes-on-camera reporter. And, crazy as it sounds, I asked to more than double my salary with the new gig. I asked for $100,000.
My manager offered $85,000 (which would have been an incredible raise!). But I replied, "How about we agree to $90,000 right now and I don't bother you in six months?" Next thing I heard? "We've got a deal. Welcome to TheStreet!"
2)Nobody cares more about your money than you.
Not your financial planner. Not even your family. And it’s not because the world is against you. It’s not because they’re out to get you. It’s for the simple fact that money is personal. The depth of pain and excitement around your money is yours and yours only. The difference between making money and losing it is in your hands, which is pretty empowering.
This is a major financial philosophy of mine. It encourages me to speak up, ask questions, negotiate, and take responsible steps to protect and grow my hard-earned money.
3)Ask questions. Even the dumb ones.
I learned from life and business strategist Tony Robbins a vital key to success: staying curious. Embrace the fact that you don’t know everything and always seek answers, he told me.
Even as I surround myself with talented, smarter individuals who help me with decisions related to my investments, taxes, and real estate, I never trust they have all the right answers. In fact, their ability to give me sound advice depends on me constantly asking “Why is this like that?” “How come we can’t do this?” and “Can we save more money somehow?”
4)Take care of the boring stuff first.
My husband and I make sure that with every paycheck we address our basic obligations first. That stuff isn’t really fun or sexy, but without covering those bases we couldn’t go on to spend on or wants freely.
In fact, by taking care of our retirement, rainy day savings, college fund, insurance and bills at the top of the month, we know that whatever money is left in our accounts afterwards is more or less our “fun” money and we are free — with peace of mind — to spend it accordingly!
5)Do what matters to you. Outsource the rest.
“It is almost impossible to find anyone who has made millions of dollars who doesn’t delegate at least a handful of time-consuming things.”
In order to be financially successful you must stay focused and spend both time and money meaningfully. I dedicate a whole chapter to outsourcing in my latest book, "When She Makes More" because, crazy as it sounds, higher earning women do more housework than women earning as much or less than their spouses.
6)There’s no such thing as job security.
… says the girl who got laid off in 2009. The best job security is working for yourself. But it’s not to say that it’s easier to succeed as an entrepreneur than an employee. Because you’re only accountable to yourself, it’s easy to get complacent. You need to remain curious and motivated as your own boss.
That’s how I somehow wrote multiple books, hosted TV shows, started a podcast, and most recently launched a private coaching business. I’m always looking for ways to grow. And when things start to get too easy, that’s when I know you need to start experimenting again, get uncomfortable and take new risks. It’s the best way to ensure you stay gainfully employed.
7)You don’t need to be wealthy to invest, but you need to invest to be wealthy.
Compound interest is mathematical magic. Albert Einstein called it the eight wonder of the world for good reason. Use it or lose it.
Investing is something my guests on So Money often tell me they wish they’d known more about growing up. They wish they’d started investing sooner and didn’t buy into the mentality that you need lots of money to invest. You can start small. Even with the volatile swings in the market, investing when you’re young and for the long haul is more fruitful than letting it sit in a plain vanilla savings account.
8)If you build it, they will come.
Nobody wanted to produce my little show about interviewing famous and accomplished people about money. So, I bought a microphone, signed up for Skype, and launched So Money from my Brooklyn apartment.
And most recently I’ve partnered with AdLarge, the fastest-growing independent audio ad sales rep in the country for network radio, digital, and mobile content providers. The show is finally on its way to being profitable.
http://www.businessinsider.com/best-money-advice-farnoosh-torabi-2015-10?IR=T
1)You don’t get what you deserve. You get what you negotiate.
At the time, I was earning around $45,000 at my TV news job as a producer and sometimes-on-camera reporter. And, crazy as it sounds, I asked to more than double my salary with the new gig. I asked for $100,000.
My manager offered $85,000 (which would have been an incredible raise!). But I replied, "How about we agree to $90,000 right now and I don't bother you in six months?" Next thing I heard? "We've got a deal. Welcome to TheStreet!"
2)Nobody cares more about your money than you.
Not your financial planner. Not even your family. And it’s not because the world is against you. It’s not because they’re out to get you. It’s for the simple fact that money is personal. The depth of pain and excitement around your money is yours and yours only. The difference between making money and losing it is in your hands, which is pretty empowering.
This is a major financial philosophy of mine. It encourages me to speak up, ask questions, negotiate, and take responsible steps to protect and grow my hard-earned money.
3)Ask questions. Even the dumb ones.
I learned from life and business strategist Tony Robbins a vital key to success: staying curious. Embrace the fact that you don’t know everything and always seek answers, he told me.
Even as I surround myself with talented, smarter individuals who help me with decisions related to my investments, taxes, and real estate, I never trust they have all the right answers. In fact, their ability to give me sound advice depends on me constantly asking “Why is this like that?” “How come we can’t do this?” and “Can we save more money somehow?”
4)Take care of the boring stuff first.
My husband and I make sure that with every paycheck we address our basic obligations first. That stuff isn’t really fun or sexy, but without covering those bases we couldn’t go on to spend on or wants freely.
In fact, by taking care of our retirement, rainy day savings, college fund, insurance and bills at the top of the month, we know that whatever money is left in our accounts afterwards is more or less our “fun” money and we are free — with peace of mind — to spend it accordingly!
5)Do what matters to you. Outsource the rest.
“It is almost impossible to find anyone who has made millions of dollars who doesn’t delegate at least a handful of time-consuming things.”
In order to be financially successful you must stay focused and spend both time and money meaningfully. I dedicate a whole chapter to outsourcing in my latest book, "When She Makes More" because, crazy as it sounds, higher earning women do more housework than women earning as much or less than their spouses.
6)There’s no such thing as job security.
… says the girl who got laid off in 2009. The best job security is working for yourself. But it’s not to say that it’s easier to succeed as an entrepreneur than an employee. Because you’re only accountable to yourself, it’s easy to get complacent. You need to remain curious and motivated as your own boss.
That’s how I somehow wrote multiple books, hosted TV shows, started a podcast, and most recently launched a private coaching business. I’m always looking for ways to grow. And when things start to get too easy, that’s when I know you need to start experimenting again, get uncomfortable and take new risks. It’s the best way to ensure you stay gainfully employed.
7)You don’t need to be wealthy to invest, but you need to invest to be wealthy.
Compound interest is mathematical magic. Albert Einstein called it the eight wonder of the world for good reason. Use it or lose it.
Investing is something my guests on So Money often tell me they wish they’d known more about growing up. They wish they’d started investing sooner and didn’t buy into the mentality that you need lots of money to invest. You can start small. Even with the volatile swings in the market, investing when you’re young and for the long haul is more fruitful than letting it sit in a plain vanilla savings account.
8)If you build it, they will come.
Nobody wanted to produce my little show about interviewing famous and accomplished people about money. So, I bought a microphone, signed up for Skype, and launched So Money from my Brooklyn apartment.
And most recently I’ve partnered with AdLarge, the fastest-growing independent audio ad sales rep in the country for network radio, digital, and mobile content providers. The show is finally on its way to being profitable.
10 best pieces of advice about Money Banking
http://www.businessinsider.com/best-advice-i-can-give-you-about-money-banker-2015-9?IR=T
1. Beware of direct mail.
To win in direct mail, banks don't need to have the best product in the market. Instead, banks just need to have the best product in your mailbox on that day.
Whenever you receive an offer in the mail, go online and shop around to ensure you have really been offered the best deal.
2. The best offers are for new customers.
Banking is a constant battle for customers. To win, big sign-on bonuses — like 40,000 bonus miles — are offered. If you are looking for the best deals, you will have to switch to a new product. Those lucrative offers are rarely made available to existing customers.
There is a simple reason. Most banks have acquisition teams that are paid based upon the number of accounts booked, and they are ready to spend.
And then there are "existing customer" teams looking to generate as much profit as possible, and they are less generous.
3. Be honest with yourself and focus on long-term value.
Statistically, most people will stay with their new product for a long time because it isn't fun to switch financial products every year. Some people travel the world switching from bonus offer to bonus offer. which is known as travel hacking.
But most of us do not, and the data shows it. Credit-card companies are also getting better at identifying and rejecting these "gamers."
Whenever I do the math on a financial product, I choose a product based upon long-term value rather than short-term bonus offers. Sign-on bonuses are nice, but they are not the main reason I take out a product.
4. Avoid add-on insurance products.
Finance companies continue to make a lot of money selling insurance products with loans and credit cards. I have seen lending businesses generate 30% or more of their profit by selling credit insurance that covers you in case of death, unemployment, or disability.
The sales pitch usually sounds like this: "For less than the cost of a soda a day, you can provide your family with peace of mind."
Almost always, these products offer horrible value. Look for a good-term life insurance and long-term disability policy that covers all of your needs.
And for unemployment, you are wiser to self-insure through an emergency fund.
5. Everyone spends more money on plastic, including you.
Study after study shows that people spend more money when they use plastic, including debit cards. When you carry around a finite pile of cash, you tend to spend less money.
And the more plastic you have in your wallet, the more you are likely to spend.
I carry only one card in my wallet, and to make sure I stay in control, I have set up alerts that send me a text message with my balance every day. If I switched to cash, I would spend less, but I remain in denial.
6. Don't scream at the customer service representative.
Being a customer service representative is not an easy job. The workers are not paid high salaries and are often located offshore. They are almost always not to blame for your problem. Yet they get blamed — and screamed at — all day.
Being nice to the call-center representative is a better strategy. Most call-center representatives are delegated a certain amount of authority. The nicer you are to the representative, the more likely they use their authority to waive fees and more.
7. Really angry with your bank or credit-card company? Threaten to close your account.
Call centers work on the basis of "delegated authority." For example, a frontline agent may be able to waive one late fee for an excellent customer. A manager could waive a bit more. The most authority usually often sits with the retention team.
And you only get to the retention team by threatening to close your account.
You have probably experienced this. You call in and ask to close your account. Your call is then transferred to a specialist. This is a good thing, because the big budget usually sits with retention.
Be firm in your desire to close, because you can often end up with an even better deal.
8. Just because the bank says you can have it doesn't mean you can afford it.
When banks calculate affordability, they have a simple metric. They want to make sure you can afford to make the monthly payment. Banks do not think about retirement planning, college funds, or other financial needs.
You may be shocked when you see how much mortgage you can get, or how big your credit card limit is. That doesn't mean you can afford to use it all, though.
9. If you don't understand it, don't buy it.
You should never be afraid to ask questions that you think are stupid, and you should avoid anything you don't understand. Complexity is the enemy of transparency and is usually the enemy of the consumer.
Remember those deep-discount adjustable-rate mortgages? Most consumers didn't understand how much their payment could increase.
People have tried to sell me complicated financial products, also known as structured products. I avoid them completely and stick with easy index funds and exchange-traded funds.
10. Understand how the money is made before buying anything.
Arguably, this should be No. 1. Whenever I am being sold a banking product, I think about how the money is being made. Then I pay close attention to whenever I am being asked to do something that will generate earnings for the bank.
For example:
• Savings accounts: Banks like cheap deposits to fund their loan portfolios, so they want interest rates as low as possible. Internet banks, like Ally, are looking to fund their loan portfolio without the cost of branches. By default, they must have better interest rates because they don't have branches. So I go with a bank like Ally.
• Consumer debt: Credit-card companies lose money on rewards and make money on interest. Often, the richer the rewards, the higher the interest rate. So if I ever need to borrow money, I avoid credit cards, but I am happy to earn the rewards.
• Stock brokers: Despite the advertising, they are not financial planners and they make money on trading commissions. It is not a surprise that every time you visit one, you will be encouraged to trade. Don't be afraid to say no.
http://www.businessinsider.com/best-advice-i-can-give-you-about-money-banker-2015-9?IR=T
1. Beware of direct mail.
To win in direct mail, banks don't need to have the best product in the market. Instead, banks just need to have the best product in your mailbox on that day.
Whenever you receive an offer in the mail, go online and shop around to ensure you have really been offered the best deal.
2. The best offers are for new customers.
Banking is a constant battle for customers. To win, big sign-on bonuses — like 40,000 bonus miles — are offered. If you are looking for the best deals, you will have to switch to a new product. Those lucrative offers are rarely made available to existing customers.
There is a simple reason. Most banks have acquisition teams that are paid based upon the number of accounts booked, and they are ready to spend.
And then there are "existing customer" teams looking to generate as much profit as possible, and they are less generous.
3. Be honest with yourself and focus on long-term value.
Statistically, most people will stay with their new product for a long time because it isn't fun to switch financial products every year. Some people travel the world switching from bonus offer to bonus offer. which is known as travel hacking.
But most of us do not, and the data shows it. Credit-card companies are also getting better at identifying and rejecting these "gamers."
Whenever I do the math on a financial product, I choose a product based upon long-term value rather than short-term bonus offers. Sign-on bonuses are nice, but they are not the main reason I take out a product.
4. Avoid add-on insurance products.
Finance companies continue to make a lot of money selling insurance products with loans and credit cards. I have seen lending businesses generate 30% or more of their profit by selling credit insurance that covers you in case of death, unemployment, or disability.
The sales pitch usually sounds like this: "For less than the cost of a soda a day, you can provide your family with peace of mind."
Almost always, these products offer horrible value. Look for a good-term life insurance and long-term disability policy that covers all of your needs.
And for unemployment, you are wiser to self-insure through an emergency fund.
5. Everyone spends more money on plastic, including you.
Study after study shows that people spend more money when they use plastic, including debit cards. When you carry around a finite pile of cash, you tend to spend less money.
And the more plastic you have in your wallet, the more you are likely to spend.
I carry only one card in my wallet, and to make sure I stay in control, I have set up alerts that send me a text message with my balance every day. If I switched to cash, I would spend less, but I remain in denial.
6. Don't scream at the customer service representative.
Being a customer service representative is not an easy job. The workers are not paid high salaries and are often located offshore. They are almost always not to blame for your problem. Yet they get blamed — and screamed at — all day.
Being nice to the call-center representative is a better strategy. Most call-center representatives are delegated a certain amount of authority. The nicer you are to the representative, the more likely they use their authority to waive fees and more.
7. Really angry with your bank or credit-card company? Threaten to close your account.
Call centers work on the basis of "delegated authority." For example, a frontline agent may be able to waive one late fee for an excellent customer. A manager could waive a bit more. The most authority usually often sits with the retention team.
And you only get to the retention team by threatening to close your account.
You have probably experienced this. You call in and ask to close your account. Your call is then transferred to a specialist. This is a good thing, because the big budget usually sits with retention.
Be firm in your desire to close, because you can often end up with an even better deal.
8. Just because the bank says you can have it doesn't mean you can afford it.
When banks calculate affordability, they have a simple metric. They want to make sure you can afford to make the monthly payment. Banks do not think about retirement planning, college funds, or other financial needs.
You may be shocked when you see how much mortgage you can get, or how big your credit card limit is. That doesn't mean you can afford to use it all, though.
9. If you don't understand it, don't buy it.
You should never be afraid to ask questions that you think are stupid, and you should avoid anything you don't understand. Complexity is the enemy of transparency and is usually the enemy of the consumer.
Remember those deep-discount adjustable-rate mortgages? Most consumers didn't understand how much their payment could increase.
People have tried to sell me complicated financial products, also known as structured products. I avoid them completely and stick with easy index funds and exchange-traded funds.
10. Understand how the money is made before buying anything.
Arguably, this should be No. 1. Whenever I am being sold a banking product, I think about how the money is being made. Then I pay close attention to whenever I am being asked to do something that will generate earnings for the bank.
For example:
• Savings accounts: Banks like cheap deposits to fund their loan portfolios, so they want interest rates as low as possible. Internet banks, like Ally, are looking to fund their loan portfolio without the cost of branches. By default, they must have better interest rates because they don't have branches. So I go with a bank like Ally.
• Consumer debt: Credit-card companies lose money on rewards and make money on interest. Often, the richer the rewards, the higher the interest rate. So if I ever need to borrow money, I avoid credit cards, but I am happy to earn the rewards.
• Stock brokers: Despite the advertising, they are not financial planners and they make money on trading commissions. It is not a surprise that every time you visit one, you will be encouraged to trade. Don't be afraid to say no.
Lots of valid ways shared in this thread.
http://www.traderji.com/words-wisdom/96228-wealth-creation-6.html#post1074070
Thanks for kind words and appreciation!!!:clap:
http://www.traderji.com/words-wisdom/96228-wealth-creation-6.html#post1074070
Thanks for kind words and appreciation!!!:clap:
Similar threads
-
Long term wealth creation with minimum intervention- Started by vivektrader
- Replies: 49
-
-
#WCS Theme of the 22nd Wealth Creation Study 2017
- Started by Jogindar singh
- Replies: 0
-
-