Part 7/9:
Measure Your Financial Decisions
Create a mental framework to translate spending into time. Understand how much you earn in a day or month and translate that into days worked for particular expenses. This can clarify priorities and motivate necessary lifestyle changes. The question becomes: how much are you willing to sacrifice for financial security?
Step 5: The Importance of Automation
Investing should begin with a structured approach. Aim to allocate 15% of your pre-tax income towards long-term investments. Automating these investments helps ensure that your money grows without the temptation to spend it.
Daily monitoring of finances can help establish a sense of control and awareness, providing a clear view of expenses and savings.