If you want to get richer, try this technique to build a lot more.

Budgeting or setting an expenditure band

...It's the most important thing that many people often overlook because they think it's trivial. Just spending money economically can replace it, but in the planning perspective, we know how much we spend per month and how much per year?

...Imagine, if mathematics is the basis of finance, we have to count the numbers first, right? To count how much money we have, we also need those mathematical foundations to make our money grow, whether it's business or investment...Setting an expenditure limit is also like the basis of riches, because if we don't have the numbers to say, by the standard of life, each month, each year, how much money we spend, we spend all the money we have, and eventually our money runs out and we can't get rich.

...And when we apply these expenses to cover our full-year expenditures, we can see how much we spend and how much we can plan for the next year and beyond for the rest of our lives.

...Now, if we manage to spend money indefinitely, the money that we will spend after the next 10 years may be called cold money, which is defined by investors. If you do not have enough money to spend on your daily life, you may have to take money out of your investment when it is losing or not profitable.

...And when we know the cost of our lives, we can choose the right financial tools, know how tired we are to rest, how much we can spend our lives today so we can take responsibility for our future.

😌 Believe it? If everyone has enough money to make us live for the rest of our lives, we will be one step happier, able to choose the life we want, confident, and fundamentally happy, not unlike the tens of billions of rich people.

...Setting an expenditure limit may have to be designed for individuals, because people don't look at money the same and value money differently. 😉 If someone wants to know what their own setting looks like and what their future financial life looks like, they can ask me through the link on the profile page.

# New Edition Simple Financial Planning # Plan the use of money # Money management # Simple finance # Money management techniques