Yesterday, I taught personal finance for 40 min to 6 students at Mission Valley College in Fremont. I started by asking their beliefs about money. Money buys one of the important asset we have, time. Money creates memories and happiness in a way that we do not have to waste time searching for it. To create money starts with saving. We cannot be filling in our garage with unnecessary goods. When we buy any goods or service, we have to ask ourselves the value it provides and do we really need them or we just want them.

Many retirees have to go back to a Mcjobs since they did not prioritize saving early. We only need to downsize our standard of living and do not over spend. In our early working life, we can take a bus if we can to save up for a used car. We can share a room for as long as we can before renting a bigger place. In the valley, it is cheaper to rent than to own a house. We need to upgrade our skills to increase our income. Reviewing our net income each quarter or even months to ensure that our assets are greater than our liabilities.

We need to save first, invest and then spend in this order.  Ask ourselves the added value of buying goods and if we cannot afford it, we do not buy. Stay away from shopping malls or do not bring more money when some of these money are already allocated for daily needs. Do not carry any credit cards, use one for gas purpose only.

We can start opening our wealth accumulation fund, from a different bank or institution from where we bank. And allocate at least 10% of our savings each month, automatically deposited to this account.

Please share your money saving tips or personal finance tips to our young generation via email

Contact Connie to start your wealth accumulation account via an EFT each month. 408-854-1883