Let’s be honest — one of the most challenging aspects of money is figuring out how to handle it effectively.
In the video above, I’ll reveal the precise strategies that I, along with thousands of my students, have utilized to conquer money management and achieve financial independence. If you’re interested in learning more, keep reading.
Your Financial Achievement Is Primarily Dependent On How Effectively You Handle Your Money
The single most crucial distinction between financial success and financial failure lies in the way you manage money.
Mastering the art of managing money is what empowers you to attain financial independence — and with that independence comes the freedom to spend your time as you wish, rather than being compelled to work solely to make ends meet.
Many of us aspire to reach financial independence — that point at which we no longer stress about paying bills or covering rent, when all our essential needs are met.
However, true financial independence can only be realized when there’s sufficient money remaining to allocate towards our desires, whether that involves paying off debt, enjoying leisure time, or going on an extended vacation. Ultimately, that’s the goal we all strive for.
Everyone I’ve conversed with wishes for financial freedom. I’ve yet to encounter someone who doesn’t desire it. But achieving financial freedom isn’t feasible unless you excel at managing your money through essential strategies that guide you towards financial liberation and long-term wealth creation.
To truly manage our money effectively, continue reading to uncover a few vital principles to remember…
1. If You Can Handle A Small Amount Of Money, You Can Handle A Large Amount
No matter where I find myself around the globe, when the topic of money arises, I consistently receive the same question: “Harv, I don’t have much money — in fact, I have no extra funds, so how do I handle it?”
To address that inquiry, I present a very straightforward analogy:
Picture that you possess a set amount of money and go to the grocery store weekly. Let’s assume you spend $200 at the store to purchase food for the week. When you arrive home at noon, you choose to have lunch. Are you going to consume all the food at once? Naturally, you won’t eat everything in one sitting — you bought it for the entire week! Instead, you intend to manage it so that it lasts the whole week. Yes or yes?
The same concept applies to your finances:
You must manage your money and do it correctly so that it lasts.
Here’s the point: regardless of the income you receive, you need to manage it. And here’s why:
We are creatures of routine.
So if you haven’t developed the habit of managing your money, when you begin earning MORE, do you know what will occur? You still won’t manage your money properly. Everything will vanish, and you’ll be left questioning why financial success seems elusive — let alone getting rich!
Thus, even if you have $1 in income, you should figure out how to manage that $1. And if you can achieve that, you will reinforce the habit of effective money management.
In my Millionaire Mind Intensive course and in part of my book, “Secrets of the Millionaire Mind“, I introduce a highly effective money management strategy— specifically designed to guide you to financial independence.
It’s called the JARS money management system.
Essentially, through this system, you divide your funds into six separate accounts, allocating percentages of your income to each account. You can utilize bank accounts or actual jars to separate any income you receive into these accounts (or jars) based on the provided percentages.