Your Money | Your Financial Freedom
If you focus on those financial things you can control and avoid dwelling on things out of your control, you can achieve financial freedom. You will be amazed by how much you can control.
Here Is What You Control
Your Financial Knowledge
To understand how you invest your money take some financial classes. Learn financial basics; asset allocation, portfolio diversification, dollar cost averaging, rebalancing.
Only you control your emotions; avoid making investment decisions during emotional moments in your life. Money decisions can be emotional, so be careful; if you make investment decisions when you are emotional, you may make poor decisions that could impact your entire financial future.
The Amount Of Money You Invest
You choose how much money you spend and how much you invest. To help yourself achieve financial freedom, reverse what most people do with their money; instead of spending first and investing what’s left, do the opposite, invest first and adjust your spending according to what’s left.
Your Financial Goals & Priorities
You know your financial goals, don’t you? If you have not set your financial goals, you will never achieve them. Take the time to figure out what you want. Why do you go to work everyday? Do you work just to get by, living paycheck to paycheck? Or do you work today to have a better future? If you want a better financial future, you need to make a plan to achieve it.
Where You Invest
You control your investment choices. In today’s financial world your investment options are endless. Use the financial knowledge you will learn in the financial classes you will take to find investments that you are comfortable with. You can choose to invest in stocks, blue chip stocks, mutual funds, large cap, mid cap, small cap, bonds, money markets, international or world-wide stocks.
How You Invest
Dollar cost averaging is one topic you want to learn about in your financial classes. When you dollar cost average you invest a little at a time so that you balance your investment dollars.
Here Is What Is Not Within Your Control
You do have control over most things, but you do not control the market.
Market Volatility|Market Timing
The market is unpredictable, it swings up and down with little warning. You cannot time when the market will rally or plunge; it doesn’t work that way. You can offset the volatility by dollar cost averaging.