These are the popular questions relating to personal finance: What are ways to have more money? Which stock can help me earn few thousands this month?
Em…why do we need to keep thinking how to get more income? I start to feel that it is a never-ending issue. We can have unlimited desire on wealth, how much money is actually enough for us?
To illustrate this, let me share with you a story. On one heavy rainy day, water came down from the ceiling. I put a bucket below the leaking place to hold the water so that it would not spill over to the floor. After 30 mins, the bucket was full, and I emptied the bucket and put the bucket back to the same place. However, thing was not getting better. In fact, thing was getting worse, and the bucket would be full after 20 mins. I changed the bucket to a bigger bucket. However, I realized that it didn’t solve my problem. I got to spend time emptying the bucket every now and then. If you were me, what would you do? You might be wondering why didn’t I call someone to find out what happen to the ceiling or roof and fix the problem.
Calling the roof specialist might be the permanent solution, right? This issue mostly happens to our personal finance as well. Every month, we are spending money. This is like roof leaking. We are finding ways to earn income to cover our expenses. Over the years, our expenses increase. We are finding better way to earn more money to cover our bigger expenses.
Do you realize that we keep finding ways to earn more money, similar to finding a bigger bucket to hold the water? This is similar scenario like finding a bigger bucket to hold the water. We are stuck, we are busy emptying the bucket and finding a bigger bucket.
How do we solve this problem? To stop this cycle, we should look for someone to help us to check the real issue. If we keep fixing the immediate issue without looking at the root cause, the issue can get more serious over time. It can turn into a financial disaster. However, if we can spend a little bit of time checking on the root cause, we will be avoiding the financial disaster. Why don’t we examine our spending habit that cause our expenses increase so much? Why don’t we invest to have multiple streams of income? This can help us to have automatic process to empty our bucket since we cant stop expenses anyway?
This concept is simple but it is not easily understood by many when it comes to finance issue. Not enough money, cannot save, having too many debts are the symptoms of the issue. We need to find the root cause. It is most likely our money mindset which are stopping us from achieving what we want to achieve. Start to look at the root cause to avoid financial disaster and stop just fixing the financial issues that kept appearing to us. Fixing the financial issues is just temporary measures, it won’t lead you to where you want to go.
I have compiled a video on this too. Watch the Youtube video here.
You can receive constant broadcast message relating to wealth creation to financial freedom through Telegram. Click here to subscribe to the telegram for the weekly newsletter.