How FOMO and FONGO can ruin your investment strategy

F.O.M.O and F.O.N.G.O – two little acronyms that can have a big impact on your money-related decisions. Whether you’re getting into the stock market, investing in cryptocurrency, throwing cash behind a start-up or buying/selling property, fear can play a big part in your decision-making process.

Fear is something that can really hold you back BUT a little fear can also keep you on your toes and alert you to potential dangers that you should steer clear of. Let’s take a look at the two main types of fear that can affect your money and how you can harness them for good (and when you should stick them at the back of your sock drawer).

F.O.M.O (Fear of Missing Out)

We’ve all been there – feeling that sense of panic that you’re about to miss an opportunity that other people seem to be taking advantage of. This can happen whether you’re standing at an auction, reading about crypto or watching bounces and dips in the share market. Your senses are heightened, which is good because it may be an opportunity you can jump on –the problem is, a lot of emotion can overlay your decisions in this sort of situation and that can cloud your judgment.Continue Reading →

Three common triggers that propel your pursuit of wealth

A few weeks ago I watched a short clip from Kerwin Rae, a business strategist and motivational speaker. He three common trigger to propel your wealthoften does short snippets of video on his Facebook page and this particular one really resonated with me.

The clip was all about three common triggers that propel people along quickly in their pursuit of wealth.

The three triggers to create massive momentum when building wealth were:
A new relationship
Birth of a child
Experiencing mortality

This got me thinking as to how this is in fact so true in my life, and perhaps it might be in yours too. In this post I take you through how these three triggers have shaped my financial path.

A new relationship

In the clip, it talks about how meeting someone and starting a relationship can inspire you to feel like you can conquer the world.Continue Reading →

Know your worth? 6 ways women underestimate their value

Are you a women who knows her worth?

As women, you do your best by your family to make every cent of your finances work for you.

Know your worth? 6 ways women underestimate their valueWhen budgeting, we can spend a lot of time working out ways we can make a dollar stretch further. But what if we could change to the other side of the equation and work out a way to earn more?

The Great Divide

It is no secret that women, on average, earn less money than men.

The media will often come out with generalisations like the gender wage gap is currently 16%, or that men’s Superannuation is near twice the size of a women’s at retirement.

Whilst these statements are true, they do little to get the real issue the attention it deserves. Because these articles are often met with rebuttals like ‘women do more service based jobs like child care and nursing which are lower paid’ or ‘women take time out of the workforce to raise children’.

Comparing simple averages across the whole workforce allows people to pick holes in the argument. And then conclude that the wage gap is a myth.Continue Reading →

Persist and Evolve – core traits for blogging and financial independence

Just over a week ago I was sitting in a room at Rydges Southbank in Brisbane with a brilliant bunch of bloggers at the ProBlogger conference.

I am a big believer in investing in yourself, so saw this as a great way for me to hear from people who have created a name for themselves in the blogging world. I wanted to learn all I could about serving my community and helping to get my money management message out to a wider audience.

As I sat in a room with over 150 other bloggers on day one of the two day event, Darren Rowse, the face behind the Problogger website, delivered his opening address.

He has been blogging for over 15 years and over this time he has learnt a thing or two about what is needed to remain a blogger over the long term.

The two core traits he identified were – Persist and Evolve.

As he was talking I could not help but jot down a note that these are also the two core traits you need on your journey to financial independence.

Let’s look at each of the traits in terms of how they relate to both blogging and money management.Continue Reading →

There is no right way to manage your money

When it comes to managing your finances , it is important to know that there is no right way to manage your There is no right or wrong way to manage your moneymoney.

I read lots of other blogs that talk about how they have tackled debt or gone about their investing journey.

And whilst there are some consistent themes among the stories, it becomes pretty clear that there is not just one way to manage your money.

The ways friends, family, work colleagues or even fellow bloggers handle their money will not necessarily work for you.

If you believe that there is a right way of paying off debt, managing your cash flow and saving for your retirement, an argument could be formed that if you are not doing things “the right way”, then what you are doing must be wrong.

I don’t prescribe to this way of thinking.

Of course there are different ways that can help you to reach your goal sooner or to get better returns on your investments, but that does not mean they are right for you.Continue Reading →

Money Myths stopping you from being wealthy

Are money myths stopping you from reaching your financial goals sooner?

Money Myths Stopping you from being wealthyYou may have heard the saying: A lie told often enough becomes truth.

Whether it is family, friends, a colleague or the media, everyone has a view on money, that they perceive to be the truth.

Often these “truths” are formed from your childhood early money beliefs. And they can have a significant impact on how you view money in your adult life.

Today we are debunking the top two money myths that I am pretty sure we have all heard

  • Money is the root of all evil
  • Money won’t buy you happiness

Money is the root of all evil

I think it is safe to say that we all would have heard this saying, at least a few times in our lives.

People who are wealthy are often seen in a negative light. They are perceived as getting that way by being greedy, or deceitful, in the pursuit of riches.Continue Reading →

The Barefoot Investor review: Is it really the only money guide you will ever need?

Scott Pape’s The Barefoot Investor: The only money guide you will ever need book, has taken on a world of it’s Barefoot Investor Book Reviewown and become a bestseller here in Australia.

Everywhere I turn someone is sporting their orange ING cards and referral codes are found at every turn (sorry I don’t have one).

I read his previous book which was written more than ten years ago now. Which detailed 5 steps to financial freedom for someone in their 20’s and 30’s.

The 5 steps were essentially setting goals, managing cash flow, debt reduction, investing (or working your Mojo account – yep the Mojo was around back in the early 2000’s) and insurances.

Given I was only in the early stages of my financial journey it was a good book to lay a foundation.

But after the latest book came out, I was not really that inclined to buy it. From what I had read on the steps I didn’t really think it could teach me anything I did not already know.

But since a reader reached out to me and asked me to do a book review, I bit the bullet and grabbed a copy.Continue Reading →

Optimist versus Pessimist: Who is better with money?

I am a big believer that your thoughts, or money mindset, plays a role in your financial success. This starts Who is better with money - optimist or the pessimistway back when you first form your money beliefs at a young age.

I read an article that said the Pew Research Center conducted a global study that found 70% of Australians believe their kids will be worse off than they are.

Similarly, the 2017 Deloitte Millennial Survey found that only a mere 8% of millennials believe they will be better off than their parents. And even worse only 4% think they will be happier.

This contrasts with Europe and the US where 36% of Millennials think they will be better off than their parents.

As Aussies, we now rank as some of the most pessimistic people in the world. Despite having the longest period of uninterrupted growth in the developed world.

Is the glass really half empty?

The happy go lucky personality that we used to be famous for, has been replaced with a country concerned. Continue Reading →

5 money books that helped make me a millionaire

The key for us to build a million dollar net worth was to start our savings and then investing journey off early.5 Money books that helped make me a millionaire

I started saving money as soon as I left high school and had a part time job during my university years. It was around this time that I got interested in investing. A big part of my education in this area was to read a lot of books.

I have compiled the list of the 5 books that had the most influence on me in terms of creating the right mindset around money. As well as giving me a starting foundation for how to manage my money better.

The books are a little bit dated now, as I did most of my learning about money back in the early 2000’s. Most of them have been updated since then with newer editions, but even if you have an older version the lessons are still quite relevant today.

The Millionaire Next Door – Thomas J. Stanley and William D. Danko

Whilst the book is based on 20 years of research of American families the findings from this book still apply here in Australia.Continue Reading →

Where do our money beliefs come from?

Have you ever heard the saying, ‘money won’t bring you happiness’ or ‘money is a necessary evil’?

Money Beliefs - creating a positive message around moneyThis is the underlying negative message we hear a lot in society. Even in Hollywood films, characters with lots of money are often portrayed as the greedy and selfish villains.

So, our relationship with money begins.

Just the other day I experienced this on a Facebook Group that I am active in. It is a group for mums to chat about finances and one of the mum’s asked a straightforward question about whether the changes to childcare rebates for high income earners were based on pre or post tax income.

Well didn’t the knives come out! This lady was not being arrogant, not once did she big note herself, in fact she even acknowledged that she doesn’t begrudge people on low incomes doing it tough and thinks they deserve the assistance.

All she was trying to do was to see how her finances would be affected by the change.

Sure enough the post turned into a slanging match of people saying that she doesn’t deserve anyContinue Reading →