You can live without saving money, and you can live with debt, but you cannot live without cash flow. In fact, if you want your personal finance to flourish, cash flow is a key element you need to focus on – passive income too. Why is that the case?
Find out about critical personal financing missteps you should avoid making, what to focus on to measure financial progress and happiness, and the key traits you can learn from the happiest and most successful people to win more in personal finance.
- Just like many other areas of life, personal finance too is dependent on your own tank both from a mental, physical, and resources standpoint.
- Trying to do too much with their resources is one of the most common personal finance missteps people make.
- There’s a tendency of segregating financial goals into silos and of gravitating towards what looks easiest over what is often best – which typically leads to personal finance goals not being achieved.
- Brian believes that the key to maximizing your capabilities should be on building resources, and then creating cash flow from them to fund everything else.
- Passive income plays a crucial role in that it fills your income gap, allowing you to free up your time.
- Brian sees people often getting caught up in their silos and finding themselves beholden to their system of working to spend.
- It’s possible to live without saving money, and with debt, but it’s impossible to live without cash flow.
- How do you measure financial progress? To identify what makes them happy, people often go beyond financial aspects and look at things such as family, friends, faith, fitness, and free time.
- Once you have this aspect figured out, you can either do everything by yourself – with all the risks that this approach entails – or you can delegate.
- In The 7 Habits of Highly Effective People, Stephen Covey explains that the happiest and most successful people have figured out how to buy more time by relying on professionals with the knowledge and experience to help them manage their relationships, health, time, and money.
- Tom Rath, author of Stengths Finder 2.0, has found that successful people tend to leverage strengths and delegate weaknesses. They spend their time on things they’re good at and want to spend their time on, and they delegate the tasks they can gain more time from by not doing them.
Mentioned in this episode:
BrianSkrobonja.com/FamilyOfficeQuiz
The 7 Habits of Highly Effective People by Stephen Covey
Strengths Finder 2.0 by Tom Rath
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