Money isn't that complicated! So why do we keep making it so complicated? And if it isn’t complicated, how do we stop making money a complicated situation? Just keep reading so you can figure out 5 simple rules to make money more simple for you!
The bottom line, money is simple when you know where you’re at. Knowing your net worth is the first step to creating some action because chances are it might not be where you want it to be.
What is your number? This might be a new concept to you. You should have a networth goal or a certain amount of money saved by age goal. By having a number, you will most likely want to increase your savings rate.
In 2017 the average American adult was saving a record low of approximately 3% on average. Typically, a savings rate of 15-20% is recommended for someone who is planning on retiring one day.
Bad debt is typically high-interest debt (anything over 7%). Any loans or debts with a score of 50 or less focus on paying them off. By paying off debt you are freeing up more money to do what you want with it.