"I Have My Savings. What Now?"

In the process of prosperity, these are two very important words to remember: sow and reap.  So simple yet so powerful. It’s actually a law of nature: Plant today and you’ll harvest something in the future. 

Sow and reap. This principle can be applied to most aspects of our lives, and is sooooo very familiar. 

Do you believe in “karma?" Of course, who doesn’t?! But how often do we overlook this principle when it comes to our finances?  

The common DILEMMA here is that most people have not really been serious in considering the power of sowing and reaping in money matters.

  

Saving and Sowing 

“But I’m saving..!” That’s good. For a start. But not good enough because there is something better. 

Now don’t get me wrong. Saving up is good. It’s a basic necessity in good financing. It’s probably one of the first things you have to learn before venturing into investments. Saving is also a good habit because it involves discipline on your part, being responsible for your money and not indulging yourself in overspending. Most importantly, saving up keeps you away from much hated debts. So true. 

“But I’m saving..!”, and how many times do you hear that? Even 5-year olds can save! Saving up money is important, but for many people, it’s the end of the story. 

Saving is NOT sowing. Don’t, no, I mean never, associate these 2 words together because they’re completely different. 

In saving, your money is sleeping. But in investing, your money is working (for you, even if you’re sleeping). 

You can consider your savings as backup funds, in case you’ll need some cash in the future, great! But after you’ve used up your savings, now what? Save some more? Here’s a better idea.

Get your money working! Invest. 

And you don’t need to be a banker to do this. This is why some people fail to invest or at least start to invest in the first place. Investing sounds so corporate. As if it involves multi-million dollar projects and only giant companies are entitled to and have the capacity to invest. A big NO NO. 

Anybody can invest (if you have the money) and it doesn’t have to be so grand. You will find plenty of ways to invest even in small amounts. 

Do remember though, no matter how small or how big the money involved, investments are risks to undertake. And that is where a real entrepreneur shows up. Investments are risks, so calculate your risks, and have the guts to go forward. 

Here’s a good example (also quite common) 

There are 3 basic ways you earn money (whether legal or not, same applies): One is by employment. Two is by business. Three is by networking. We all fall into one of these. 

Example, you started out as an employee, nothing wrong with that, because you get valuable lessons and indispensible experiences you’ll need in life. But after some time you realize your income is fixed and the same amount you expect every paycheck. And there are many other things you wanted to do but your capacity to spend is limited. 

In the meantime, the best thing to do while still working is to save up. 

And you begin to wonder, “What if I could have financial freedom instead?”. 

When you have enough money, you could scout your options to invest. Now don’t be overexcited to quit your job and embark in your dream business.

Where and how to invest? Either keeping your job and putting up a part time business you could do in your free time. That’s okay too. 

But if you don’t want to waste your savings, remember well that business requires careful planning. You can also seek professional consultation if you like. Once your system is up and going, you’ve mastered the trade and your business is stable enough (which would probably be a fruit of hard labor and dedication), you can now consider expanding your business. Either you open new branches or create a franchising system, or you can invest in other ventures as well.

 

Having the Right Mindset

You don’t have to be an entrepreneur to have an entrepreneurial mindset.

That’s what I realized when I started to work from home. It’s quite surprising to find out how much you can do when you don’t always have to pay attention on the money that you’ll be earning at the end of the day, end of the week, or of the month. I mean, it’s already a given – you are working for money.

I was on the same boat until I realized I couldn’t always think like I was still employed by someone else – because I’m not (anymore). Besides, I didn’t want to be treated like an employee. I guess if there’s anything that I want to happen along my way – the way I want things done, the way people would treat me, the way I want to achieve my goals - it should always start from me.

And all it’s gonna take is a proper mindset.

So, how can one have an entrepreneurial mindset?

I guess since almost 95% of the population are more into obtaining security and benefits, it would be best if we distinguish first the difference between an employee mindset and an entrepreneurial mindset.

Hey, don’t get me wrong, there’s nothing wrong with wanting security and benefits as an employee – I’m all for that. I guess the drawback only sets in when one wants to achieve more in terms of financial freedom. I once came across a site where the author said and I quote “Security is useless when you have to sacrifice growth to get it.”

When I started to work from home, I remember the first thing I always did in the morning even before I had my breakfast, was to check my inbox for new emails – specifically from clients who I had followed up on the previous days.

This was actually something I had no time of doing (I even hate doing it at times) when I was an employee.

I remember wanting to have coffee first before attending to any office work. For some reason, work at the office was a vicious cycle for me. I was just going through the motions – all because I had the same mindset everyday – that of an employee. Even if there was an opportunity to be proactive, I still remained reactive. Not that I complained or anything, as being reactive does not always mean expressing something negative. Initiating change, bringing innovative ideas, taking ownership --- none of those were consistently present in my system. In a nutshell, my way of thinking then was “What’s the point?”

It was only in October 2008 when I realized that an instant transition took place. I was literally selling myself – first my credentials, then my skills, then my ideas, then my ideals, then my values. It was not long after when I finally said to myself that this is what I wanted for the long haul.

I read a lot. I would work from 9am till 1am in the morning taking care of my projects and supervising my assistants. At 1 am when all of my assistants have gone home, I would start reading the sites that I bookmarked. Then again at 7:30am just before one of my assistants arrive at 9am I would read another bookmarked site. Then I would continue reading during lunch. It was work-read-work-read for me everyday and it was just addicting. What I have read just validated what my passion is all about--- what my goal in life was all about.

For the past eight years, all I did was work then (try to) save. Work then save – and that’s it. It was only four months ago that everything started to make sense.

There is no period after “save.” At least that was what I did.

Work-save-invest is now the name of the game. There’s nothing wrong with just working and saving. We live in a world anyway of risk takers and safe players. I guess what’s just amazing with applying this cycle is not only does it increase the possibility for one to have financial freedom, but it also paves the way to improve one’s skills, pursue a passion, have a paradigm shift, and change of mindset – now that’s what I’m talking about right there.

Need I say more?