No statistics, no results !!
Be it company turnover or census or sports or real estate market or stock market performance or anything for that matter that involves tangible metrics, statistics is absolutely essential.
I have been doing work since 1981 after my engineering degree. When I became an entrepreneur in 1985 started doing contracts, I had a fairly good acumen in understanding how money works, the way compounding works, how money appreciates over time in different portfolios - bank fd's, real estate, stocks, gold etc...
I started doing something that not many would have thought of !! I was calculating my "Net Worth" at the end of every week. This happened for several decades !!
Money earned, money saved, money invested in various portfolios, money spent, budgeting for the coming months so that I was able to know how much I was worth at any instant almost exactly!
Three ways of saving more. Earn more. Invest more. Spend less. I did all the three.
This way I could retire at 52. That was 15 years ago - in 2010. Thereafter I was no longer interested in making more money.
Left my business and began my new life as a social worker working in Theosophical Society and Ramakrishna Mutt. No earnings. But full satisfaction.
I have asked many financial professionals, CEO's of big companies about how much was their Net Worth and many did not know it!
Believe me. Write down your earnings, expenses, investments, calculate on pro rata basis the invested amount is on that day - be it real estate or gold or stocks or fd's - on a weekly basis.
You will have a total awareness of your finances leading to your financial freedom.
My advice? Start tracking your finances weekly. Calculate your net worth by documenting earnings, expenses, and investments.
Value your assets at their current market price, whether it's real estate, stocks, or gold. This awareness will empower you to make informed decisions.
Financial freedom is crucial for everyone. By adopting this habit, you'll witness your progress and feel a deep sense of satisfaction in managing your finances effectively.
I wholeheartedly recommend starting this journey today.
All the best 👍
Best regards,
S. Ramkumar