Digital Gods & Digital Goddesses in a Digital World
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Short term spending habits.
Avoid impulse shopping and spending!
Make a budget & do your best to stick to it
Spend less than your earn.
Use cash. Debit and credit cards prevents us from realizing how much money we are spending.
Pay attention to see if your are using shopping as a coping mechanism.
Buy needs before wants.
Create a financial plan and goals for 6 months, 12 months or even 5 years.
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Spending Money
Long-term Spending Habits
Things that appreciate in value, means that with time, the items you bought will gain value. So, if and when you want to re-sell it, you will receive more money than what you paid for it.
The first step to long term financial success is awareness of things that appreciate in value and things that depreciate in value.
What does 'appreciation in value' mean?
Depreciation vs Appreciation
Depreciation is the decrease in the value of something over time.
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​When something depreciates, it goes down in value.
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In other words, if or when you sell it, you will get less money than what you paid for it.
Appreciation is the increase in the value of something over time.
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When something appreciates, it increases in value.
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When you sell it, you will get more money than what you paid for it.
DEPRECIATE VS APPRECIATE
Vehicles: cars & trucks, boats
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Clothes and shoes
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Electronics: Cellular phones, Laptops, tablets,
Video games
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Furniture
Real Estate:Land, Homes, Buildings
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Stocks & Bonds
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Index funds & Exchange-traded funds
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Certified baseball cards & comic books
To save and invest in items that appreciate in value, one usually has to sacrifice; pivoting their attention from the items on the ‘depreciate in value’ list in order to own & invest in items in the 'appreciate in value' list.
When we earn money, it is financially responsible and smart to buy items that appreciate in value instead of items that depreciate in value.
Investing in items that appreciate in value is how we make our money grow and build wealth. Spending our money on items that depreciate will not assist us in achieving financial independence or wealth.
So... depreciate in value means that, with time the items I bought will go down in value?
Yes, depreciate means that, if and when you re-sell it, you will receive LESS money for it than what you originally paid for it.
Appreciation is the increase in the value of something over time. As time passes, it increases in value, so that when you sell it, you will receive MORE money for it than what you paid for it.
