My Path to Getting Rich

This is my blog about my journey to financial freedom.

Saturday, April 26, 2008

Are you making a profit?

One thing that I have learned is that it doesn't really matter how much money you make. It doesn't matter what you are doing to get the money flowing to your bank. What matters is that you aren't spending more than you are making. Sounds simple right?? Well, write down what you make and keep track of what you spend. You will be surprised how much goes out and on what. Cash Flow is a simple concept but it can bring up some problems if your wallet. If you are noticing that there is too much month and not enough money, this is your problem. You could be making all the money in the world, but if you aren't keeping some (profit) and you are spending it all...you are or will be in trouble. You will result to credit cards and loans.

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