Making the Most of Your Earnings

For years, I nurtured the belief that whatever I earn must be spent. In my naivety, I never thought I should have invested the surplus, rather than spending it the moment it hit my bank account. I often wondered what I would buy with the extra money coming my way. For years, I also thought I was investing by dumping unlimited amounts into projects that were wrong for me and couldn’t possibly work out.
The people I surrounded myself with didn’t help. Most of them were spenders. I don’t remember anyone ever talking about investments or early retirement, let alone having a stash or paying off your mortgage before you die.
So, blissfully unaware, I kept working and spending. However, now and then, I had a nagging feeling that this kind of life is pointless. Unfortunately, my doubts were quickly dismissed by reassuring “friends” who insisted this is the way life is, and that unless you are a multimillionaire, your faith is doomed.
I got caught up in a circle of earning and spending for years. I couldn’t find direction, and I’m not going to lie to you, it was pretty depressing to work only to consume.
That kind of life didn’t sit well with me, but at the same time, I didn’t see an alternative.
I often visualised all the spending I would have to do once I finally “made it” in my creative industry, and each time this visualisation filled me with fear. Now I realise that this anxiety was driven by my desire not to be a consumer only. I always wanted to add value to the world. Hence, I chose to become a storyteller. But my consumer-driven visualisation was at odds with my core values and could never manifest, because deep down I didn’t want it to.
In short, I knew how to earn money, but I didn’t know what to do with it once I had it, without spending every single penny.
You might ask why I didn’t think about investments and investing; well, I knew that people invested money in companies, read all ”the right” books, and listened to Warren Buffett, but on the practical level, I had no clue what to do. Besides, the idea of buying shares in companies I knew nothing about filled me with fear. I didn’t have enough time to learn everything about all those companies I was
supposed to invest in, and I’m one of those people who need to know before making a decision. So stock investing was out of the question for me. It seemed too complicated and too unattainable.
Seeing no point in earning just to spend and being incapable of investing in stocks, which is way easier than buying and managing a property, I sleepwalked my 30s and only slowly started awakening when I was pregnant with my daughter. But it wasn’t really until the first national lockdown (March 2020) that my perception of money started to shift dramatically.
If I had known all that I do now ten, fifteen years ago, I would have been financially free by now. Financial freedom is something I’ve always aspired
to when I talked about having freedom. Unfortunately, I’m not financially free. I made many mistakes that pushed me away from financial freedom, so I have to catch up. I just hope I still have enough time to mend my ways.

Once you start earning money, don’t feel trapped and bullied into spending it. There are many ways you could enjoy the fruits of your labour, without excessive consumption and debts piling up.
So, below are just a few ideas on what to do with your money:

1. Work on your six-month emergency stash, which will help you get rid of lots of stress and pressure that have unknowingly been accumulating in your life.
2. I have a separate account for holidays, and every month I allocate 10% of my paycheck to it. If there is something that you value in your life and cannot live without, set up a separate account for that activity and allocate a monthly transfer to that account.
3. I invest 20% of my monthly paycheck. At the moment, this is as far as I can stretch, but hopefully, I’ll be able to increase that amount soon.
4. Cut down on your expenses, and don’t spend money on stupid stuff you don’t need. We all require very little to lead a happy, full life.
5. Automate your investments and savings and forget about it. Deal with what you have left, once those deductions are taken.
6. If you want to learn and understand financing and financial independence, I would suggest you jump over to JL Collins blog, even Mr M. got on board with what JL Collins says, suggests and advises.
7. Be on board with your core beliefs, your understanding of the world and your visualisations. If there is a disconnection between any of that, your life may be an uphill struggle.

PS. I’m #MadeByDyslexia – expect big thinking & small typos.