Warrior Coaching

As the Chancellor of the Exchequer prepared his budgets today the country was waiting to hear the verdict for the year ahead.  And it makes you think doesn’t it, how the country has to do an annual budget, businesses have to do annual budgets and all the local authorities are governed by budgets.

But how many of us at home know what our budgets are?

We generally find that parents are the most responsible when it comes to making a forward plan as for some reason we don’t always think ahead until we have someone depending on us.  However, in reality each of us is operating a business no matter how we choose to gain our income.  Every penny that comes in can be put in the revenue column or gross profit, and everything that goes out becomes an expense.  When we start to think this way even modest income can create HUGE wealth.

After all it’s not what you earn it’s what you keep that counts!

So take some time this week to make sure you have a carefully laid out budget and know exactly where your money goes.  We often get caught in the trap of thinking that we need to earn more to have more cash when in fact we just need to be cleverer about what we have. 

I always recommend splitting the budget into 3 areas.  The ‘Essentials’ which will include household bills such as mortgage, utilities, TV licence etc.  Your ‘Assets’ which will be the money that you can comfortably afford to put aside to invest into places that will yield even more money for that inevitable rainy day.  And your ‘Liabilities’ which will cover the amount of money you are prepared to spend without expecting a return.  Aim to really focus on your ‘Assets’ as much as possible though if you are in debt then these bills will be incorporated here as the interest charges saved can dramatically increase your Net Worth.

So give it a go and let me know how you get on.  If you get stuck at any point then give me a call!  Or if you find yourself in a real pickle then I’ll happily do a Financial Game Plan with you which in many cases are FREE to complete.

Now make sure getting Rich is in the Plan!

Keep up the Intensity


Dean