Financial management tips that you should know in 2023.

Are you on your journey to financial freedom? Or do you want to just start? Either way you need
to get really smart with your money. It is important that everyone is financially literate,
unfortunately financial literacy is not something that is taught in high school. Yet, it is made
optional in college and most students don’t really see the importance until recently. Having
financial freedom is the goal of everyone, but it is easier said than done. Of course it is a lot of
work and determination but having great financial skills will reduce your stress and make the
goal achievable.

Let’s quickly talk about the financial management skills that you must have in order to achieve
your goal of having financial freedom.

1 . Earning

this is first of all, it is very important you are doing something that is bringing you
income at any point in time. Your income could be active or passive, but it is necessary to have
both incomes and even more. Having multiple streams of income is great, it means more money
and the more money you earn means more options. If you have just one stream of income now
is the time to start thinking of how to have another stream. You could have as many streams of
income as possible, earning from just one job can not help you have financial freedom. This
when side hustle comes in, there’s no downside to side hustle, and it doesn’t have to be
something strenuous or demanding. It should be something that you can do during your free
time and something that you enjoy as well. For example, apart from your normal 9 to 5 job, you
might have passion for other things, you can invest in this thing that you have passion for. It
could be fashion, cleaning, cooking, etc. You don’t necessarily have to be there at all times.
Aside from that, there are lots of online jobs that pay cool cash. You just have to find the one
that is suitable for you.

2. Mindset

mindset is everything in anything that you do or plan to do. Once you get your mind
right, you’d definitely get it right in reality. It is important to have your mind settings right.
Although there’s a lot of work between “if you dream it, you can achieve it”. You will have to put
in the work, but without the right mindset you are likely to get tired and discouraged easily. So it
is not enough to just put in the work, programming you mindset well will make achieving your
financial freedom goal less difficult.
3. Investing

this is one way you can build assets, and the more assets you have, the more your
wealth is likely to grow. It is advisable to avoid high risk investments if you just want to start. The
first thing you should know is that you should invest in things that appreciate, like a plot of land,
Investing in real estate too. Although it might take a while for you to start getting profit, one thing
about investments like this is that the longer you keep, the more it appreciates. Another thing to
invest on is rentals, you could place an apartment on rent, an event hall, a car etc. The list goes
on, you can now decide to go into the stock market or crypto, although this kind of investment
might be risky. That is why it is advisable to learn about it from people who have been there.
Also, invest in yourself by reading books that will help you manage your well, if it’s a skill that
you need to learn to become better at what you do, then learn it.

4. Budgeting

do you care to know where your money goes? Then it is about time you start
learning how to budget. Budgeting helps you stay organized in your spending. When you start to
budget, you know whether you are overspending or not. Also it corrects your spending habit if
you are overspending. Budgeting is simply creating a plan to spend your money, this plan allows
you to know whether you have enough to do the things you need to do. It helps you prioritize
your spending and allows you to focus on the things that are important. The good thing is,
nobody is born with budgeting skills, it is something that you learn. To master it, you need to
practice it often. Knowing how to budget will really help you in your finances.

5. Saving

Savings as generally known as the act of keeping cash somewhere safe in order not
to spend it immediately but at some given point of time.
Now to me saving is an important aspect of life cause as human, one should readily have some
cash in keep incase of emergencies, although some savings are done towards goal like I might
save up to purchase a new phone, watch,other accessories or even for a birthday party but
emergencies are unplanned or unforeseen so one should always have a backup plan and that is
why savings is so important.
Saving for smaller things in life will make it easier to save for bigger things like a house or even
a car. Like budgeting, saving can also be learned. Nobody is born with these skills, the earlier
you learn it, the better.