5 Steps to Financial Freedom in #MalaysiaBaharu
You might be swamped by a wave of emotions just by reading the words “financial freedom.” Anxiety, liberation, boredom, frustration – it’s OK, you’re not alone.
GoBear believes in ‘living within means’ and not ‘living for today.’ This is especially true given the levels of financial literacy in Malaysia today. With the right attitude, managing your money can be a far more enriching experience than you could ever imagine at any stage of your life.
If you’re pursuing greater financial freedom, you need to take the stress out of your personal finances from the start. Let’s work towards this beginning today!
1. Adopt a positive mindset about money
Many people develop the habit of associating spending with enjoyment – and saving with unhappiness. This stems from one’s early childhood where savings is seen as a punishment because it prevented us from indulging in the things we love, like buying toys and sweets that made us happy.
Rewire your thinking when it comes to money! Thinking negatively about money is an emotional barrier that you must overcome to achieve financial freedom. When you start saving money, you deserve to feel happier and positive about your growing bank account.
You will attract opportunities and open up more doors that you have ever imagined when you inject a dose of positivity about money.
2. Budget, budget, budget!
Don’t be put off by the boring ol’ advice of budgeting for your needs. Start off simply by planning one day in advance.
By planning each day ahead, you’ll improve at controlling and tracking your spending habits. Soon you’ll realise how much you need to spend for the week, the month, and the year, giving you a greater sense of achievement and understanding of your own financial health.
Once you are aware of your needs and spending pattern, you can start looking at the financial tools that suit you best. For instance, does a prepaid credit card offer you greater flexibility and convenience in credit planning based on your spending habits? If you have budgeted extra cash, how about paying off the debt that charges the highest interest rates first?
| See also: 20 Tips to Save Money Every Day |
3. Earn more
Yes, most of us wish to earn more to provide a better living for themselves, their family, and loved ones. However, how are we achieving this? Are you content with merely waiting for your pay cheque at the end of every month?
Take a look at your financial standings and identify if there are pots of money you can work with. For instance, if you have an excess in your savings account which you have no plans for, consider investing it. There are many P2P lending companies such as Fundaztic that allows you to turn a profit and get into the investment game with as little as RM50.
Alternatively, if you’re not ready to take the next investment step, that sum of money in your account can go towards opening a fixed deposit account. The key to earning more starts with baby steps.
And most importantly, don’t ignore the skill sets you have. The internet is a treasure trove of opportunities for you to turn your hobbies into an enterprise and offers countless ways for you to start a side hustle.
4. Address your poverty of ambition
"We need to steer clear of this poverty of ambition, where people want to drive fancy cars and wear nice clothes and live in nice apartments but don’t want to work hard to accomplish these things. Everyone should try to realize their full potential."
Learn a new skill, develop new healthy habits, but importantly apply yourself in all the situations you find yourself in. Set clear targets and hold yourself accountable towards achieving those goals - religiously. It’s alright to desire and indulge, but back yourself and stay focused. Not all that glitters is gold.
Barack Obama’s words have a very clear message to all of Malaysians, which brings us to the last point.
5. Stop complaining and solve the problem
2018 marks a very special year for Malaysia. Changes are abound and every Malaysian has a role to play in the name of #SayangiMalaysiaku.
However, how many of us are actually out there lending seeking help – or offering a helping hand – instead of just complaining?
Be honest with yourself and get to the bottom of your problems. It’s time to take a serious look at your finances and plan ahead. There’s no point complaining about it and letting your problems fester.
Have a debt problem? Consult AKPK for debt restructuring advice. Worried about not being able to retire comfortably? Speak to EPF’s Retirement Advisory Services.
Get adulting today and assess your financials today. Financial freedom is a journey, not a destination.