By Brian McKay
Let’s face it; everybody wants to make money! Some of us only wish to earn enough to cover our outgoings and leave a little extra cash spare each month. Others want to make their money work hard for them, so they end up with a big pot of greenbacks when they reach retirement age (or earlier)!
If you want to make as much money as possible during your time on Earth, then you need to work out how to exponentially increase your net worth. It’s not just about how much cash you’ve got when you live, but also how much you leave to your loved ones when you die. It’s likely you are reading this article today because you want to be savvy with your money. Keep reading, and you will learn of the best ways to increase your net worth:
Know how much your skills are worth
Whether you want to admit it or not, we are all worth something in life because of the skills and experience we acquire. You should find out how much those valuable skills of yours are worth so that you know you aren’t getting paid less than a fair wage.
If you determine that your boss isn’t paying you what you’re worth, don’t be afraid to ask for a raise. Of course, you’ll need to provide justification on why you feel you should get paid more. But, it shows that you aren’t afraid to find out how much you are worth. If they feel you are a valuable enough employee, your employer will most likely agree to your request. And, if they don’t, go and work for someone that does value your skills as much as you do!
Be smart about your debts
There’s nothing wrong with having debts; virtually everyone owes money to someone at some point in their lives, and it’s not a taboo subject as some folks might have you believe. Debt is only a problem if you have too much of it, or you have too much of the wrong kinds of borrowing.
For example, if you have about ten credit cards that have balances on them, your interest charges are probably crippling your cash flow! Instead, take out a low-interest consolidation loan to pay them all off.
Be smarter about life after your death
You don’t want to leave your family dealing with your financial mess when you’re not around. That’s why you must keep your affairs in order throughout your life. Here are some things you can do:
Take out life cover. It’s advisable to take out a policy that provides your family with money until your kids are old enough to support themselves. For those with a young family in tow, consider getting 200k life quotations to provide a comfortable living for them until they leave the nest;
Take care of your funeral arrangements. You can pre-pay for a funeral so that, in the event of your death, there is nothing that your family needs to do or pay;
Transfer your assets to your loved ones - a will ensures that your worldly possessions go to the people that you want them to have. You can also set up trust funds for your kids to avoid them paying inheritance taxes.
Maintain a portfolio of investments
Last, but not least, you need to start investing your spare cash. There are many different types of investments that you should consider to help you build up your net worth. Some are low-risk, such as interest-bearing savings accounts. Others, like Forex and commodity trading, are high-risk but also offer high rewards.
A smart investor is one that spreads their money across a range of different investment types. That way, a financial hit won’t cripple you in the short or long term, plus you could even save on taxes with some methods!