Let’s be honest — one of the toughest aspects of handling money is figuring out how to manage it effectively.
In the video above, I’ll reveal the precise strategies that I and countless students have utilized to conquer money management and achieve financial independence. If you’re interested in finding out more, keep reading.
Your Financial Achievement Is Primarily Dependent On How You Handle Your Finances
The crucial distinction between financial success and financial setbacks lies in your approach to money management. Mastering this aspect is what enables you to attain financial independence — and with that independence comes the chance to spend your time as you please, rather than being compelled to work merely to make ends meet.
Most people aspire to achieve financial freedom — that pinnacle where we no longer need to stress over bill payments or rent, when all essential needs are met. However, financial freedom can only be realized when there is sufficient money left to allocate for our desires, whether it’s paying off debts, enjoying leisure activities, or taking an extended vacation. Ultimately, that’s the goal we all strive for.
Everyone I’ve spoken to wishes to achieve financial freedom. I haven’t encountered anyone who doesn’t. Yet, achieving financial freedom is impossible without mastering effective money management using crucial strategies that propel you toward financial liberation and sustainable wealth.
To effectively manage our finances, continue reading to uncover some essential principles to consider…
1. If You Can Handle A Small Amount Of Money, You Can Handle A Larger Sum
No matter where I find myself globally, whenever money is the topic, I consistently hear the same question: “Harv, I don’t have much money, in fact, I don’t have any surplus, so how do I handle it?” To respond to that inquiry, I use a straightforward analogy:
Picture that you have a specific sum of money and you visit the grocery store weekly. Suppose you spend $200 on groceries for the week. When you return home at noon, it’s time for lunch. Will you eat all the food at once? Certainly not — you purchased it for the entire week! Instead, you’ll manage it so that it lasts through the week. Agreed?
The same concept holds true with your finances:
You must manage your money and do so effectively to ensure it lasts.
The reality is, no matter how much income you have flowing in, you need to manage it. And this is why:
We are creatures of routine.
If you’re not accustomed to managing your finances, when you start earning MORE money, guess what will happen? You will continue to neglect your money management. It will all vanish, and you’ll be left questioning why you can’t seem to get ahead financially — much less become wealthy!
So even if your income is just $1, you must learn how to manage that dollar. If you can accomplish that, you will reinforce the habit of managing your finances effectively.
In my Millionaire Mind Intensive course, and in parts of my book, “Secrets of the Millionaire Mind“, I present a very efficient money management technique— specifically developed to guide you towards financial freedom.
It’s known as the JARS money management system.
Essentially, with this system, you distribute your finances into six distinct accounts, allocating percentages of your income to each account. You can utilize bank accounts or physical jars to sort any income you receive into