Most of us did not learn basic money skills in school. We usually learn them in the University of Hard Knocks from real-life experiences through countless trials and errors.
Hi everyone, Grace Wang here from Myhappychoice.com. Welcome back to my channel. If you are new here, make sure you click the subscribe button and ring the notification bell. If you’ve seen value in my content, please give a thumbs-up as well.
In today’s video, I am going to share with you 3 money skills you need to master to achieve your financial freedom. Money Skills are the essentials that help you make money, control your debt, and achieve financial freedom in five years.
Let’s dive in
Money skills # 1 Earning ability
If you have a job, your paycheck represents your earning ability. If you are running a business of any kind, you need to make sales. Sales are the blood of any business.
According to the SBA( The Small Business Administration), roughly 51% of small businesses will fail in the first five years and 2/3rds businesses will fail in 10 years.
For your job, do you get paid more every year as your skill and experience increase? If not, you probably need to find out what is holding you back from getting paid more.
Money-making skills are essential for financial success. I want to show you some pleasant ways of making money.
First, Bring Value to The Table
How can you sell your products and services without forcing people to buy them? You don’t have to use deceptive tactics to trick people to buy from you.
We all know Apple. Everyone wants their products. Before their new items were released, people around the world were willing to camp outside of stores to try and be the first ones to hold the newest products they offer.
We all know the Apple iPhone is valuable and can make our lives more pleasant, much easier, and even help start a business.
I heard a producer say that an iPhone today would be worth a 10 million dollar production company 10 or 15 years ago. It combines everything and anything together with complicated technology to produce a high-quality video.
I believe the statement is true.
Many YouTubers right now, myself included, make YouTube videos using an iPhone. I do not have to hire a production crew to make it happen.
It has a 4K video camera with potential equivalent and at a level of professional equipment. Just like how the iPhone has underrated value, you as an individual in a workplace hold a value that no one else has.
Your boss does not want you to leave and instead wants to pay you more money. The reason for this is your boss understands what value you bring to the table and does not want to lose you to competitors.
In order for you to constantly create more value in your job or for your business, you need to love what you do.
If you are passionate about what you do, you can most likely avoid burnout or give up altogether.
Second, Believe Your Value and Your Business
You must believe that your products and services can help people improve their lives. I do not like predatorial sales at all and I do not want to put pressure on my customers either. When you view sales from a place of help and service, you will understand that making sales is more like planting your favorite fruit trees rather than from a desperate begging position.
Third: Create an offer
Your customers are already there waiting for you to communicate.
Like my Etsy and Shopify stores, very often I have many customers that put my products in their shopping carts. I can easily go there to make a better offer so that I can make sales.
Sometimes you do not have to go out of your way to find customers. They are most likely around in your social circles or are old customers.
A significant amount of sales are made by going to existing clients and customers and creating better offers, specifically to meet their needs. Since they already have a business relationship with you, you now have a better chance to make future sales.
Money Skills # 2 Save money
Once you know how to make money, simply repeat the process. The next part of money skills is to save money.
Spending less than what you earn is the way to create financial stability. Living under your means is not just a frugal lifestyle, but is also a crucial habit to create wealth.
I stopped buying branded clothes, handbags, shoes, and skincare products a few years ago. I finally realized that every time I spent my hard-earned money on these things, I helped them become financially free, instead of helping myself be wealthy. I follow my own skincare routine and use my own DIY serum.
I stopped buying most processed foods from Costco and supermarkets. They are convenient, but at the same time, I am paying 3-5 times more than buying rice and flour to cook from scratch.
Sometimes, it doesn’t matter how much you make, it matters how much you save at the end of each month.
Robert Kiyosaki, The author of “Rich dad, Poor Dad,” mentioned in the book that his father was a poor dad. Although his father made a great salary as a Superintendent of the State Dept of Education, they did not have any money left each month. They lived paycheck to paycheck. Their financial situation created a lot of stress and anxiety for his family while growing up.
A lesson to understand, ensure you have money saved each month.
Money skills # 3. Invest the difference
The purpose of saving money is not to put it in your bank account and earn interest. The bank pays you less than 0.02% for your money to sit in your bank account. You want to put your money to use for your future.
First, Invest in yourself
I think learning new skills every day is a powerful mindset for achieving financial freedom. Train yourself to have an open mind to improve your crucial skills in life. The best part is that you do not have to spend large amounts of money and go to college to learn them. You can access unlimited resources online nowadays to learn anything important for improving your earning ability and you only need to spend a fraction of college tuition. You can always learn for free. Like my YouTube channel, I share my first-hand learnings and experiences here.
You do not have to pay a dime for this valuable information. The only thing you need to do is subscribe to my channel, hit the notification bell, and smash the like button.
Second, Get Yourself an Accountability Partner for Your Goals.
I found out the reason most people give up on their dreams is because of a lack of accountability. They say they want to do something, but they talk themselves out of it. They lose sight of their goals, drive, and motivation.
Third, Invest in businesses, real estate, and the stock market.
You have to learn how to invest in these areas. They are different markets. The best approach is to start one at a time. You do not want to spread your energy and time too thin dealing with these types of investments all at once. I spent $3000 about 20 years ago on a three-day intensive real estate training course. I had to max out my credit card in order to do so. One piece of knowledge I learned helped me purchase a million-dollar-plus business a few years ago. I am in the transitional stage from a physical business to online businesses.
We are in an online business era right now. Learn how to start an online business. You can monetize your talents and skills. use the earnings from your online business to invest in stocks and real estate.
That wraps up today’s video.
Please subscribe to my channel and click the notification bell. You will never miss out on new videos in the future. If you’ve seen value in today’s video, make sure to give a thumbs-up as well.
As always, Thank you for watching, I will see you in the next video. Until next time, dream big and be a high achiever.
Check Out My Bestselling Books: