Ever heard of the rat race? You see the rat race refers to the repeating lifestyle pattern by most of us today…. OK, so what life style pattern? When we are young our parents send us to school with one simple piece advice that is to study hard and get good grades and if you are lucky you may get some financial advice that is learn how to save……
Now, we go through the system, finish the university and get a fantastic job with lots of benefits…... now with money coming in……….. We begin to crave independence from our parents, and since we are young we begin to explore life; going to parties and enjoying ourselves …….. In time we begin feel the need for a life partner and hence we get married ……..Life is still rosy so we decide to have children (“we have some amount in our savings so we can manage”, we say to ourselves) and then realize that…. our home is to small, so to have children we decide to move ….so we get a bigger home, with this house due to the price we make a down payment and spread the rest over a number of years. Now with the kids at home we realize that our expenses have increased, so we do what has been drummed into our heads since childhood, go back to school, gain more qualifications and qualify for a promotion at work.
Now, due to the promotion our taxes have increased and with our taxes, social security does its deduction, the mortgage company takes its deduction. In the end we have little left over to cater for the family…… so we do what we know best; work harder in the hopes of getting a promotion to get a higher pay….. (I hope you’re seeing the trap)…. We may get the higher pay… but what else do we know how to do other than saving? If not savings….., the money got will be used to acquire liabilities which we think are assets.
With the children growing up, we quickly realize that education expensive so with that we begin to save because that’s what we know how to do, or repeat the process of going to school to gain more qualifications increasing their pay check but with the increase comes larger taxes, not to mention the recurring expenses…….in the end we have little to nothing left to take of ourselves, it is about this point that we see the trap we've been lead into.
Now, you might be saying No!!! This can’t happen to me!!!!.....I will invest the money; let me ask where would you invest the money? Perhaps you are thinking treasury bills and mutual funds…… have you ever asked your bank on the interest rates on them?……. Do you know the amount of money you must put inside to gain a sufficient amount to take care of yourself and family? …..Or perhaps you believe you can open a business? Do you have the time, qualifications, finances and most importantly customers to buy from you....? My friend you’re in for a shock……
So here's my big question is; what can you do to avoid the rat race?
To be continued……….
P.S. Check this URL out to gain some books to boost your financial literacy: http://eepurl.com/cxbteP
#shared
#financial literacy advocate
www.willbookreview.blogspot.com
Now, we go through the system, finish the university and get a fantastic job with lots of benefits…... now with money coming in……….. We begin to crave independence from our parents, and since we are young we begin to explore life; going to parties and enjoying ourselves …….. In time we begin feel the need for a life partner and hence we get married ……..Life is still rosy so we decide to have children (“we have some amount in our savings so we can manage”, we say to ourselves) and then realize that…. our home is to small, so to have children we decide to move ….so we get a bigger home, with this house due to the price we make a down payment and spread the rest over a number of years. Now with the kids at home we realize that our expenses have increased, so we do what has been drummed into our heads since childhood, go back to school, gain more qualifications and qualify for a promotion at work.
Now, due to the promotion our taxes have increased and with our taxes, social security does its deduction, the mortgage company takes its deduction. In the end we have little left over to cater for the family…… so we do what we know best; work harder in the hopes of getting a promotion to get a higher pay….. (I hope you’re seeing the trap)…. We may get the higher pay… but what else do we know how to do other than saving? If not savings….., the money got will be used to acquire liabilities which we think are assets.
With the children growing up, we quickly realize that education expensive so with that we begin to save because that’s what we know how to do, or repeat the process of going to school to gain more qualifications increasing their pay check but with the increase comes larger taxes, not to mention the recurring expenses…….in the end we have little to nothing left to take of ourselves, it is about this point that we see the trap we've been lead into.
Now, you might be saying No!!! This can’t happen to me!!!!.....I will invest the money; let me ask where would you invest the money? Perhaps you are thinking treasury bills and mutual funds…… have you ever asked your bank on the interest rates on them?……. Do you know the amount of money you must put inside to gain a sufficient amount to take care of yourself and family? …..Or perhaps you believe you can open a business? Do you have the time, qualifications, finances and most importantly customers to buy from you....? My friend you’re in for a shock……
So here's my big question is; what can you do to avoid the rat race?
To be continued……….
P.S. Check this URL out to gain some books to boost your financial literacy: http://eepurl.com/cxbteP
#shared
#financial literacy advocate
www.willbookreview.blogspot.com
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