I'm a man with a love of writing and reading, I've got a passion for novels, movies, politics, social.
The book "The Science of Money" by Brian Tracy and his partner Dan Strutzel will help you answer these questions in the most clear way, with the advice and training experiences that the two authors have in their careers.
The art of personal financial management will lift the veil of mystery about money, powerfully clear away all myths, and frankly show you, in the art of personal financial management, you're a novice, or a multi-talented artist.
Whether you are madly in love or hate, honor or deny money, you cannot escape its whirlpool. So learn to master the money, master the game!
Definition of money
Money is a measure of the value that people assign to goods and services. It is what determines the value of goods and services that a person will spend. The matter has no value in itself, its value is something someone is willing to pay for it. All values attached to goods or services are subjective. The amount we earn is a measure of the value others assign to our contributions. In other words, it is the customer in the marketplace who decides how much our contribution is worth.
Money is the result, not the cause. Our labor or contribution to a product or service is the cause, and the wages, salary, or income we receive is the result. If we want to increase the output we have to increase the input. To make more money, we have to add value, so we have to increase our knowledge. Or develop your skill level to improve product quality or improve work habits for higher performance. One secret to success is working full-time. Don't be distracted, don't chat. When you work, just work. Let's start with intense concentration.
Money and time are interchangeable this way: They can be spent or invested. If we spend money or time, it is gone forever, and of course, cannot be recovered. If we invest it in something that can pay off in the future, we can benefit from it in the long run. And the best place to invest time and money is where we increase our earning potential, and become more and more valuable.
It is not a matter of what we can do, but how much we keep – which determines our financial future. If you spend it properly, you will get a return on your investment, you keep it, you save it. Unreasonably spending, the money disappears forever, and can never be recovered.
Make a detailed financial plan. Delay major expenses for as long as possible. Seek advice from people who are experienced or who are careful with money matters. Those are all ways to help us delay spending until we have to. Remember, there will come a time when we will become rich and the savings from these expenses will be much larger than the expenditure itself.
Being in debt can make us feel inadequate, anxious, insecure, and negative. So start saving, even if it's only 1% per month. It may take a few years, but each day we feel less debt, the burden gradually disappears with it.
If you have debt, big or small, sit down, make a plan, and make getting out of debt a priority. This is not something we can do every day or save for tomorrow, but something we have to do now.
Make it a habit to read financial news, publications or news related to money management at least 10 hours a month, and you will be amazed at how much financial management can continue to improve.
Create a source of income
The only way to generate high income is to invest time and money, produce goods to trade on your own, or profit from them from commissions or dividends. Besides investing in the business, it is more important to invest in the mind. We don't need to start with talent, but if we endure hard work, we can develop ourselves to the point of achieving extraordinary performance from work. If you want to get paid more, start working a little earlier, work a little harder, stay a little later. As I said, work all the time, be fully committed to the work you are doing.
Creating a high income source always involves many risks, but "a lot of food". Everyone wants to have a fulfilling life. Everyone wants a good income. Everyone wants a steady cash flow. Everyone wants to have a profit and a well-off lifestyle. Therefore, life as well as in business is very competitive.
The link between money and happiness
As people earn more money, they often compare themselves to those at a higher level, and then gradually raise their standard of living. This is a good thing when everyone wants to rise.
In essence, money does not make us happy. Only the feeling when we complete what we do, earn some money, can provide and take good care of our family, will make us happy. In short, money is a yardstick and we measure ourselves by this measure.
In general, successful people have a very optimistic attitude to life. They always think positively about themselves and the things around them. Because they partly understand the nature and relationship between happiness and money, they are not bound by it. We can see that success is closely related to happiness, freedom, doing what we love and then achieving certain achievements.
The Golden Laws for a Prosperous Economy
The Law of Scarcity: Its economic goods have value because the supply is less than the demand. Scarcity gives value to everything.
Law of supply and demand: The price of a good or service is proportional to the available supply relative to the demand at the time of purchase. This law determines all prices, all profits, all wages, growth, decline, costs, losses, success or failure of a business.
Law of Substitution: Certain goods and services are interchangeable when the ratio of supply and demand for them changes. It is always a matter of keeping costs and benefits.
The Law of Connection: Different products and services are connected positively or negatively, and affect each other directly or indirectly.
Law of Marginal: Every economic decision, along with all prices and costs, is determined by the final buying decision made.
Law of Diminishing Returns: Interest, rewards, or profits from economic activity decrease over time.
The law of increasing returns: The profitability of a product or service or activity can increase as we produce or supply it in greater quantities.
Today, knowledge is the real source of competitive advantage. When we produce an intellectual product, our creativity becomes more and more efficient with each additional unit of product. Accordingly, the production cost will be less per product, the profit earned per product unit will also increase accordingly.
Law of Secondary Consequences: Every action has primary and secondary consequences. For everything we do, there will be many other things happening as a result, and for many things we don't do, there will also be some effect.
The Law of Choice: Every human action is a choice among many alternatives, and the choice is always based on the individual's dominant values at the time.
In short, we all have one central goal to deal with: to end money ambiguity, once and for all, and to present all of the fundamental truths fully money version. If you take the ideas discussed in this book and apply them to your life and business, you are sure to achieve financial success, as assured as the sun rises every morning roof.
Regardless of how many problems there are, the Greeks have a saying that, remember there are times like this that happen, and no matter how many problems we have right now, This moment is still the best time in history to move on. All we need to do is focus on what we can control.
It's up to each of us to take 100% responsibility for our financial lives, and at the same time understand that we have complete control over it. Sometimes, achievements will come faster than we think if we start doing it now.
© 2021 Dao Vu Thien Nghia