A good article to share , The Millionaire Next Door >

- Millionaires live frugally.
- They drive used cars.
- They buy their (used) car, instead of leasing one.
- They live in “less house” than they can afford, especially while they’re growing their wealth. Most of their neighbors are non-millionaires.
- More than half never received even $1 as an inheritance.
- Almost half never received any money for college tuition from their family.
- Nine out of 10 millionaires never received even $1 worth of ownership in a family business.
- Self-made millionaires have frugal spouses. The authors told one particularly compelling story about a husband who, -- after reviewing his net worth, announced to his wife that they were officially millionaires. The wife nods, then goes back to clipping coupons.
- Millionaires own their own business. Some have full-time jobs plus side businesses, while others are full-time business owners. “Self-employed people make up less than 20 percent of the workers in America but account for two-thirds of the millionaires,” the book says.
- They tend to own “boring,” unglamorous businesses – the type that wouldn’t create interesting cocktail party conversation. The book says: “We are welding contractors, auctioneers, rice farmers, owners of mobile-home parks, pest controllers, coin and stamp dealers, and paving contractors.”
- The one area in which they generously spend money is on their children’s education.
And, of course, my favorite observation:

The majority of self-made millionaires budget and track every penny. They know how much they spend on groceries, gas, and every other household line-item.

The authors say:

“Planning and controlling consumption are key factors underlying wealth accumulation … Operating a household without a budget is akin to operating a business without a plan, without goals, and without direction.”

INFO,
http://budgeting.about.com/od/Why_Budget/a...ake-Budgets.htm

This post has been edited by adolph: Apr 10 2014, 06:11 AM

ya lor >

WOOT, the video so LONG.

Sharing Article ONLY >

Five Quickest ways to save money,


1) Cutting back

The first step to save money is to reduce your expenses. Before you begin, look at where your money is going and figure out where you can cut back. For example, if you spend RM800 a month to rent an apartment, you can cut down or even eliminate this expenditure by either moving back in with your parent’s or look for a roommate to share the rent.

There are limitless ways to save money. The key is not to starve yourself suddenly and completely (going cold turkey) but to reduce your spending gradually.





2) Increase your income

You’re out of cash. What do you do? In addition to reducing your expenses, you need to boost your income. After all, no matter how good a money saver you are, a bit more is always useful.

To increase your salary, think about doing a job that pays well. To look for the highest paying jobs in Malaysia.

However, if you are not planning to look for a new job, you can always start discussing with your boss on your performance and target with the aim of getting an increment.

Other ways to increase your income is to consider working part-time, such as writing freelance, starting a blog and teaching tuition classes. Choosing the right part-time job to do depends on your preference and expertise.

If you are into scrapbooking, you can even advertise your service on Facebook for free to get some extra income. The world is your oyster when it comes to making a few bucks.


3) Make money from trash

We’ve said it before and we’re gonna say it again, sometimes just cutting your spending is not enough. To take it a step further, you can consider making some money by selling unused items. There are forums, Facebook groups and websites that cater to swapping and selling pre-loved items.

Money is a strong motivation to finally start on that spring cleaning you’ve been putting off. If you find your closet bursting at the seams to accommodate all your clothes, go through them and sell whatever you don’t want to wear anymore (provided they are still in good condition).

Every extra ringgit brings you one step closer to your goal, so get creative!


4) Get rewarded every time you spend

Saving money doesn’t mean living the life of a monk. You can still indulge once in a while. There is no harm in dining out on special occasions, or pamper yourself with retail therapy. The key is to know how to get the most out of your money and finding the best deal.

One of the ways to shop at a discounted price is to shop online. Most items are cheaper online as the operational cost for an online shop is much lower than a physical shop. Furthermore, you can get into the habit of clipping virtual coupons.

Some of the well-known e-commerce websites offer voucher codes with discount. Instead of scouring the Internet for these vouchers, you can keep updated on the latest deals and vouchers through website like iPrice.my. All voucher codes are updated daily on the site to ensure that you don’t miss any opportunities to save some money.

Another way to get rewarded for spending is by using your credit card. Pay attention to the rewards and discounts offered by your card. You can easily earn cashback and reward points by shopping at the designated shops.


5) Magic of compounding interest

After cutting back and boosting your income, leaving all your money in a tin box under your bed is not going to do you any good. Make your effort in being frugal and smart with your money count by getting some help from compounding interest.

Some of the ways you can save money and earn interest on it are:

1) Fixed deposit account – A convenient and risk-free alternative to bonds, fixed deposits are the go-to investment for people who wants relatively low-risk investment vehicle or saving method with higher interest rates.

2) Unit trust fund – Investing in unit trust funds is relatively low-risk as a fund manager will be appointed to ensure the investor’s portfolio is diversified.

Sometimes a goal can spur these quick money saving moves, such as saving for a holiday or buying a home. However, there’s a pretty good chance that once you make these changes, you won’t ever go back to your old ways.

Just like people who want to lose weight learn to eat better and exercise more, with these money saving methods, you may just learn how to manage your money like a pro.

INFO,

http://www.imoney.my/articles/quickest-ways-to-save-money

This post has been edited by adolph: Apr 14 2014, 05:27 PM

Hi,

A good day, I bet it the time to review my finance. hope you may assist based on your past experience,

Age : 23 year old

Income: Not fixed, sometime payout up to RM8,000 and sometime RM3,500 below.

Fixed Deposit: RM50,000
Physical Silver: 570 grams
Paper Silver : 600 grams
EPF : RM16,000
Property: RM535,000 (loan approved amount RM480,870) / Under Construction, flexi-loan

Car Loan : RM41,310 left ( installment RM459)
Credit Card : Zero, full paymaster and never late, limit up to RM26,000. Only installment credit card with maximum 12 month tenure as effective interest rate is higher, installment credit card amount RM750 per months.
Mortgage: RM2300

My mortgage not for own stay but for investment purpose, current rental price around PSF RM2.00 in that area.

I do not use my cash reserved as it only for emergency and once we utilize, it's no points to have a reserved funds.

The reason I go for full paymaster is to avoid any compounding interest and I need to increase my bureau score as I will go for more investment in future, as my real life mentor teach me on how to get rich.

Any advise?

This post has been edited by adolph: Jun 18 2014, 01:50 PM