In business, we talk all the time about investing in your business. We’re not talking about actually buying stock in your own company, although there are those that do that as well. What we’re really talking about is investing the things that will make your business better. For a cab company, that might mean investing in an extra cab or two. Or replacing some of the older cabs in the fleet with newer ones. It might be something as simple as sending an employee (or yourself) to training. But, as much as we talk about investing in our businesses, how many of us actually invest in our own personal finances?
How to Invest in your Personal Finances
Investing in your personal finances can be something as complex as buying new investments. But, it can also be something as simple as providing yourself with the training you need to improve your personal finances. What part of personal finance scares you? Is it the budgeting? Is it the balancing? Selling? Buying? Investing? Maybe you just don’t understand how savings accounts work? Investing doesn’t mean you need to spend money either. All those things I just listed can be learned online for free. It might take a bit longer because it isn’t all consolidated like it would be in a course. You might need time sorting through sites like this one learning what the authors have to teach. But, it can be learned. And, when you’re done, and you understand something a bit better, you’ll have invested in your personal finance.
Earning Dividends on your Personal Finances
In the investing world, dividend paying stocks are the ones that many investors (for sure income investors) will look at first. Why? Because, even if the stock doesn’t gain any value, it’s still going to pay that dividend out in most cases. The people who run the company have invested in the business to improve it enough that it can pay some of it’s revenues back to the shareholders. You can do the same. As you invest in your personal finances, and implement the things that you’ve learned, your finances will get better. You’ll be working on them all the time to improve them. As they get better, you’ll start earning dividends on your investment. Maybe it will be in a higher rate of income. Maybe a higher rate of savings. Or, maybe it will just be a higher rate of understanding that leads to a calmer sense of where your finances are headed.
The quicker you start investing in your personal finances, the quicker you’ll start earning those dividends. Click on a few of those links in that list up there. Learn about something that you don’t feel in control of. Invest in your personal finances today.
I started this blog to share what I know and what I was learning about personal finance. Along the way I’ve met and found many blogging friends. Please feel free to connect with me on the Beating Broke accounts: Twitter and Facebook.
You can also connect with me personally at Novelnaut, Thatedeguy, Shane Ede, and my personal Twitter.
I never understand how little time we spend learning about something we do every day. Things like investing, managing your money, budgeting or financial decisions are just a few. I was always interested in money so for me it was a no brainer, but it is necessary for your financial well being. Good tips!
Derek | MoneyAhoy.com - Money Saving, Making Money, and Investment Ideas says
Dividends are the way to go for me. I’ll eventually get into high growth stocks, but those tend to have more risk.
reinvesting dividends is my tip. you don’t miss the money but the reinvestment really counts