Saturday, April 11, 2009

What To do With Your Hard-Earned Money

By Mara Hernandez-Capili

Crafters who set up a crafting business are usually left with money from their income generating hobby. It is advisable that they learn wise spending and saving habits so that they would not run out of money in time of need. This article is dedicated to entrepreneurs who would like to make their money grow and save it wisely for the hard times.

First advice that an entrepreneur should remember is to allot a certain percentage (10% is most applicable) of their profit to give away to their chosen church or charitable organization. For some, this is not easy to follow especially for those who are not used to giving away a percentage of their income. This concept lies entirely to the saying that you should give in order to receive. It is true and very proven as some financial experts or gurus attest the authenticity behind this teaching. Be generous with your money and share it as if you do, God will reward you by giving you more blessings.

Second advice is to allot a certain percentage of your profit (20%) for your retirement fund. Some people might say that it is too early to start building your retirement fund but this is not the case. I have met a lot of elders who rely on their Social Security pension and aid from their children in order to survive. Other worst cases are those who still continue to work despite of their old age. Build your retirement fund now, not tomorrow, not next month but today.

Third tip is to invest your money through various growth funds. We had been taught before that we should invest our money in the bank. Same teaching does not apply nowadays as growth funds are ideal places where you can watch your money grow without you doing anything. Growth funds are places where your money is being used to fund institutions or companies. Your money will grow depending on the performance of that company.

Last tip is to be creative and keep on improving your product through innovation. In this way, youll always be ahead of your competitors and people are most likely to buy your products because you present them with new ideas all the time. It is also wise to learn how to venture in other businesses. In this way, you can have several sources of income and would not begin to despair in case some of them fail.

About the Author:

No comments: