Er.. It's not one way or another, it's the combination of controlling costs & increasing revenue, thus profit increases. Isn't that how good systemized business are run? If one focuses only on 1 & not both, one will eventually hit a brick wall.
A question for you all. I have read the last 3 pages with interest on how to cut down expenses to enjoy a higher saved income.
Of course, if I had a higher income, I would have to cut down less expenses. Capish?
So the question is, do you think it is possible for an individual to drive a porsche, drink lattes, go to 3 michelin star restaurants and first class travel while having saved more than you ( 200 000 in your 30s)?
This is not a direct attack. Just a food for thought.
Now if your answer is yes. The following would be then, why aren't you seeking to practice that lifestyle.
If you answer is no. Then you are wrong because there are people living that way. In short, they have more savings than you, but have lived a richer lifestyle than you.
I am not saying eating oatmeal everyday is bad. But a nice brunch consisting of potato cakes with freshly poached eggs cooked by a professional chef which is why we pay services for his years of perfecting the art of cooking is a huge level up. Is cooking at home wrong? Definitely not. But why not get the best of both worlds?
See here is the dilemma.
A person who saves a lot is a slave to his budget. He forgoes the experience of life for his purse. Let's not argue about how you can be a miser while still living rich. Sorry it does not work that way. you can't have your cake and eat it too.
A person who spends a lot is a slave to his lifestyle. Therefore he is always broke and living on a paycheck basis.
There are however a few who can enjoy the savings of the first and the lifestyle of the second. That is who you should aim to be.
I am nowhere near that , but am slowly but surely reaching. My mentor is a real life individual who is 27 years old. Healthy as a horse. Eats 6 meals a day. Enjoys premium cut beef with the highest of wines for dinner. Doesn't have to work until the sun sets. Travels 3 times a year minimum for pleasure, not business.
Also, he has a net worth of at least 15 million. Not including his tangible assets( real estate, etc).
Would you say he has had successful personal financial management? Yes.
Would you say he has a successful lifestyle? Yes.
Would you say he has the best of BOTH worlds-he can eat oatmeal for breakfast and dinner OR japanese cuisine if he wants to? Yes.
There is another way my friends. Saving your hard earned cash is not the only way to successful financial management.