Cash is KING and whoever holds the money WINS. This is the advice I was given, the day I decided to be an entrepreneur. Meaning it is paramount to have cash flow in order to have stability in both a business and in life.
In order to do almost anything in modern America, you need the capital to do so. Whether it is starting a new business venture, traveling to your dream island, or even getting your favorite stress food during finals week. You need money to do it all.
Many college students feel they are not financially stable due to student loan debt, lack of savings, and the lack of a job. The key to understand is that you do not have to always aggressively work, in order to establish both an aggressive and passive income. Aggressive income is the money that is made by you physically working for it, while passive income is the money that is earned by you not being materially or daily involved. There are several ways to build passive income such as developing an app, Create a Course on Udemy, sell an ebook, or network marketing.
Some keys to remember on your journey to financial stability are:
1. Save
You are not just focusing on the now but you have to put aside money for the future. You will not be a college student forever and who wants to live at home with their parents again.Furthermore, Life is filled with uncertain moment and you never know when an emergency can arise. Stability it is vital to always have emergency funds to rely on. Especially being in college. By doing this you are proclaiming your independence because you then do not need to rely on family or friends to pay for your transportation.
2. Invest
Last week LinkedIn sold for 26.2 billion dollars. All of the stockholders made a ton of money. The difference between them and you, is they made the choice to invest.
3. Set an Obtainable Budget
Set boundaries for yourself. In order to save properly, you have to set caps, restrictions, and limits even if that means forsaking a weekend at a party. State News reported the average college students spend the most money on dining out and adventurous outings. The key to setting obtainable budgets is understanding and accepting the truths about your spending and account for it.
While money is not a determining factor in one's character, it does serve as a catalyst for life experiences. Either be a prisoner to money or have financial stability and allow money to work for you. Financial stability does not come when you begin making six figures but it comes when you adopt the best practices to make money, save money, invest and still live a comfortable life.
