Whether you have a lot of money in the bank or are scraping together your pennies, having the right attitude about your money can make a big difference to your finances. What the most successful people have in common is that they approach their money and financial situation in the right way.
One of the big errors many make is thinking that what anybody else has matters to their own finances. Trying to match or exceed another person is going to distract you from making the most of what you have. There are over 2 million people in Dubai; what any of them have in their bank accounts is irrelevant to the decisions you make about what you have in yours.
The same is true when it comes to worrying about your income, or wishing you made more money. There’s always room to improve, and even the highest earning PWS clients would happily have a bigger paycheck. However, this shouldn’t be your focus when it comes to managing your finances. Instead, focus on making the most of what you do have right now.
Do keep track
If you think accounting is just for businesses, you’re making a huge mistake. Every household should keep track of their income and expenses. The only way to really manage your money is to know what you have and where it is going. As financial advisers, the first thing we need to know from our clients is what their current financial situation is and how they want to improve it. The only way to know this is to keep track and keep good records. If this isn’t something you can do personally, don’t be afraid to hire an accountant.
Don’t assume everything is right for you
Much like competing over income or wealth, too many people think that what has worked for somebody else will work for them. At Prestige Wealth Solutions, we see a lot of new clients who think that they must invest in the same way their friends, family, and coworkers all have. However, investments in stocks and bonds might not be a good choice for your personal situation. Working with a financial adviser can help you find the perfect option for you, which might not be what you think it will be.
Do the work
Another big problem is the idea that those who are doing well must have had help at some point. Whether it’s an inheritance or big corporate bonus, it is thought, the wealthy have had some sort of boost to their finances. However, you can’t sit around waiting for a windfall. Instead, you need to do the work to make your current finances do all they can.
One big part of doing the work is getting the right advice. When you have a realistic look at your own finances, and make an informed decision about what to do with the money you have right now, you can take the first step towards having the secure financial future you want and need.