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Basic Life-Financial Math

Basic Life-Financial Math:

Income – Savings = Expenses

Where:

  • Income = f (Job Security, Career Advancement, Profits from Investments, Entrepreneurial Opportunities, Unnecessary Risk Mitigation or Avoidance, Good Health, Continuous Learning and Self-Development, Right Attitudes in Life, Networking)
  • Savings = f (Retirement Goals, Investment Goals, Emergency Funds Planning, Inheritance Planning, Proper Debt and Lifestyle Management)

Spend only whatever’s left from taking out what you want to save.  Also be sure that whatever you’re able to spend on are the luxuries you can afford to give up; in other words they are just your wants, not your needs.

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Categories: Ideas and Philosophy
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