Where did the money go?

Have you ever wonder why after working all these years, the money in your bank account is still not growing? I am sure many of us have felt this way at some point in life. But how many of us have done something about it? On payday, what’s the first thing you think of when you see your salary credited into your bank account? Hmm….what should I buy?… the latest mobile phone or LCD television? Hopefully, that’s not your first concern.
Paying outstanding bills should be our first priority. I always make it a point to pay my bills on time (especially credit card bills). I will make sure to save a certain amount of money each month (this would be used for my daily expenditure and investment fund). I do not invest my savings every month but wait for buying opportunities instead (e.g during market correction). Finally, the remaining salary can be used for entertainment purposes. Assume, I am left with only $100 and I can’t buy the latest mobile phone with it, what should I do? I would wait until I have sufficient funds in my “entertainment fund”. With this method, I sometimes realise I am no longer interested in this fancy new product after I have accumulated sufficient money. So this amount can go to your saving and investment funds.
People often spend money on stuff which they don’t really need. Although it may be good for the economic, it’s not good for our financial health. We must avoid overspending and learn how to grow our wealth. That’s all for now, folks!