Many people will work very hard for many years and end up money poor. Where did the money go? Why don't I have any savings? I don't know about investing money in the stock market and I sure don't want to lose all of my money. A friend called me recently and asked me "what can I do with the $10,000 I have sitting in the bank. I'm earning next to nothing in interest on my money." My friend was working 2 jobs and saving their money. But they did not use their money to make money. You make 1% or 2% interest on a savings account. You work hard to accumulate your savings and are afraid to lose it on investments you know very little about.
Some people will learn to save money along the way and use it to acquire assets that generate money, for example a rental or vacation property. These people set financial goals and take action to achieve those goals. You can buy a house for only you and your family. You will pay the mortgage and all the bills with the salary you earn. Or you can rent out space in your home to tenants and use the rental income to help you pay the mortgage. Some people rent out rooms or even the basement to tenants.
It's impossible for the average person to know all about money. You can hire a financial planner to help you manage investments or learn about the stock market. You can use a real estate agent to help you find a home suitable for earning rental income. An insurance agent can help you make sure you have appropriate life insurance coverage. An accountant or tax expert can help you save money and minimize your income taxes. Use a lawyer before you sign contracts to make sure you understand the terms of a deal. Fees paid to professionals is money wisely spent. These professionals have studied and learned these areas of money. You can't expect to know it all. Get help early.
You don't want to find out after many years of hard work that you have no savings or assets and are too money poor to retire.
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