This next challenge has been on my mind for a long time now, how do I get rich? I like the word rich, it’s kind of raunchy. I have that awful association of guilt with money, if I have too much, I wonder why others don’t, I feel guilt guilt guilt. But I am going to get rid of the guilt and become
wealthy rich! My new mantra is that it’s no bad to be rich, it doesn’t mean I’m greedy. It means I can create a greater platform for myself to help others. The first step in becoming rich is knowing you are worthy – that’s not new-agey home-cured oxen waste I’m spouting – it’s a real hurdle that separates us real people from the lamborghini driving wankers bankers. So repeat after me:
“I am worthy, I am worthy and I freakin’ deserve to have a decent nest egg.”
Generate 2K p/a of passive income.
I work, a lot, so much that it led a friend to ask me “What’s your comfort threshold for money in the bank?” It’s a good question, My answer was that I need enough money to be able to fly to the other side of the world tomorrow if I want. If my washing machine breaks down, I want to be able to fix it. He told me his comfort level is having enough money to buy groceries for the week. It’s funny. It’s different for everyone.
I am lucky to have a well-paid freelance career. Lucky in that I can indeed fix the washing machine if it breaks or fly to Tuvalu if I get the urge. But in building that career, I have sacrificed a lot of things. Focus on my home, time with my son, birthday parties, my health (it’s a stressful job and the hours are looooong and unpredictable) the list is endless. On the flip-side, I get a lot of joy from my work.
So, I get paid well and I like what I do, what am I whinging about? I’ve come to realise that I will never be really wealthy if I continue the trajectory I’m on. Most of the time I can hardly imagine myself rich but occasionally I wonder why I can’t have a slice of the pie. Why not? 2K p/a passive income will not make me rich but if I reach that goal, I am confident I will have gained some tools to take me further.
A monthly bank statement got me going €27,40 a month was being taken from my account for ‘fees’. Whatevs? But then I noticed my savings account interest was 0,01% So effectually I am paying the bank to use MY money. Yesterday I shopped around and found a bank with €5 monthly fees and 0,45% interest on savings. It’s still not great but it’s the best offering in my country right now so I opened and account there. It will be a hassle to set everything up again but I know it will be worth it it the long run. A measly few percent I hear you ask? Maybe, but I am going to grab all of those measly percents to give myself some extra playing money on the stock market!
So I also plugged some of my savings into a stock account – be wary though, stock markets are gambling, even for the most educated analysts, no-one really knows what will happen apart from the guy Matthew McConaughey played in The Big Short (brilliant film!).
I’m not advocating gambling, actually my frivolous and impulsive nature got me into trouble when I first started experimenting with shares, so I had to stop, educate myself and take a saner approach.
I began by reading a lot and listening to podcasts, here are a couple of my favourites:
Through self-education (listening to a podcast on a tram) I have been able to generate an 11% interest rate for myself over 6 months. I’m not going to share my stock picks as I’m new to the game but I will encourage you to seek out your own information. My next step is to investigate ETF’s as that’s what Tony Robbins recommends and he is rich AF.
I do all of my investing via the Plus500 platform but there are many out there.
Here’s How the Challenge Begins – Duration ongoing until we are RICH RICH RICH
Look at and compare the interest rate of your bank account, if you a getting a shitty rate of interest and another bank is offering considerable more, bite the bullet and change banks. It’s work. But you should profit from lending the bank your money.
Look at your insurance providers, energy provider, telephone provider, would it make sense to switch? Then do it!
Listen to some stock market podcasts, there are plenty of good ‘uns out there.
Put all little bits of cashola you make from selling unwanted stuff into you savings account for now. Once we have a good base, we will invest it!
This is just the route I am taking right now. There are so many other ways to make money without selling your time. What are your ideas? How do you generate passive income? Any tips for me?