BetterLifeToday.info

Raising Your Financial IQ

RAISING YOUR FINANCIAL I.Q.

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Serving the Community
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Cash Flow

Our Goal - To Improve The Financial IQ Of Everyone.

Cash Flow Is King! Make no mistake cash flow is the key to saving, investing, being debt free and to financial comfort.

 

Increase Cash Flow At Every Opportunity

Whenever making financial decisions the effect on your cash flow should always be taken into account. Consider this example- If you where to buy a rental property that cost you $100 pw after rent and all expenses. How many properties could you afford to buy. On the other hand if you invested in a rental property that paid you $100 after all expenses and rent. How many could you afford to buy.

 

Why Is Cash Flow So Important?

Cash flow is the lifeblood of business and investors. A well managed cashflow allows you to continually increase and grow your financial position as you always have enough cash on hand to meet costs.

Cashflow has four important roles -

  1. It allows you to meet normal expenses
  2. It provides money for unexpected problems or expenses
  3. It allows you to grow and continually increase your investments
  4. It allows you to have cash on hand for good investment opportunities that may arise.

 

 

Cash Flow Tips - For Persons (Not Business)

  1. When making purchases always consider how it will affect your cash flow
  2. It is better to pay up front and have the expense gone then starve your cash flow continually
  3. Have a budget that projects cashflow for you. (see example)
  4. The larger an expense the more important it is to assess how it will affect your cash flow
  5. Never over borrow
  6. Over estimate expenses and underestimate income when projecting cash flow

 

 

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Disclaimer - this information is general in nature and does not take into account your individual circumstance. You should always seek professional independent advice prior to acting on this information or making any decisions based on this information.

 

Credit Card Debts

Eliminate Credit Card Debt

Having a continuing Credit Card Debt is the number 1 enemy to gaining financial control. It is ridiculously expensive and it is almost always a sign of severe overspending. Read More.

Loans

Good Debt v Bad Debt

Good debt is where borrowings are used to fund investments and Bad debt is debt used to fund purchase of liabilities and consumer items such as clothing, jewelry, Jet skis etc. Read More.

Spending

Needs v Wants

MOST financial problems are caused by over-spending on wants rather then needs.

Read More.

Saving

Save Little and Often

Save 10-20% of every dollar you ever earn or receive. Automate the process. Then invest.

Read More.

Cash Flow

Provides Comfort

Assess every purchase or investment on how it will affect your Cash Flow.

Read More.

Income

Types and Sources

Develop the correct types of income and from multiple sources. Create Income from ideas.

Read More.

Assets v Liabilities

Assets are cash flow positive and generally go up in value. Liabilities are cash flow negative.

Read More.

Investment

For Income

Investment is about buying new and additional forms of income to provide comfort and security.

Read More.

Insurance

Protect Your Wealth

It is vital to insure your earning capacity and wealth. Income, medical and life insurance is an absolute must for most people.

Read More.

Retirement

Mini - Partial - Full

There is a lot to think about and calculate it is vital you plan and discuss your life goals with time to implement them. Read More.

 

Wealth

What's Your Score

Wealth is a measure of how long you or your family could survive if you stopped working today.

 

Read More.

Financial Freedom

.. is about being able to make choices without strict limitations imposed by work commitments or finances.

Read More.

Philanthropy

Giving Back - Sharing

Ultimately we develop a sense of worth by how we contribute to the lives of others. Give with time then money as you can afford it. .

Read More.

 

Goal Setting

Enjoy The Journey

Goal setting will improve results dramatically. Remember to live life and enjoy the journey.

 

 

Read More.