The money you keep is better than the money you earn.

Why?

You can earn as much as one million dollars every month but if you don’t have it by the end of the following month then you are as poor as the guy who earned nothing at all. Quick example;

A street sweeper who earned 50$ used it and kept 10% is far better than a CEO who earned one million dollars used it all and was left with nothing in the pocket, nothing in the bank. Now you see why keeping it is more important after earning it.

There is a science around money: earning it, spending it, saving it, investing it, and losing it. Almost everyone is captivated with earning money. They want to earn as much as possible in the shortest time. Some of us start earning money as young as 7 or 13 all the way through adulthood. It never stops and no matter how high a person is earning daily, weekly or monthly — they always wish, hope, and sometimes pray for more. This is fine until you uncover their sabotaging spending habits. From this point, you realize the reason we are always looking for money and more of it without ever taking a break or stopping.

Some people don’t even know or believe that a person can get to appoint in time where they willingly pause or stop working for money and wish to have more of it. Yet it’s definitely possible. Just like there are scientific principles and guidelines controlling the art of earning money, in other words, things you are required to do to be able to earn money — there also exist scientific principles and guidelines controlling the art of keeping money, in other words, things you are required to do to not lose the money you earn.

How do you keep the money you earn?

#1 Predetermine your major expenses

You’ve to be honest with yourself and write down your major and minor expenses. Major expenses are all things that can pass for basic needs. Things without which your life would be impossible to live. On the other hand, Minor bills are all things that you can live okay without. The first thing you should be worried about is affording basic needs. All other things come later as you grow your earning capacity.

#2. Budget your expenses

This is basic accounting. You don’t need to have graduated from a business university to become a basic accountant with basic accounting skills like making your personal budget. A budget can be as simple as 4 columns, 5 rows:

Major Expenses	Cost	Minor Expenses	Cost
1. Rent/internet/mobile/clothing bills		1. Entertainment bills
2. Food& Water bills		2. Charity bills
3. Transportation bills		3.
4. Medical bills		4.
5. Taxes, fees, and fines.		5.

Make sure they fall below 70% of what you earn

#3 Stick to your budget

Don’t cheat or disobey yourself. If you decide on something then do it as you planned it. Don’t compromise unless necessary for your progress and survival. If you decide that 70% of what you earn you has to cover all your bills then so be it. 70% is not the rule, you can decide to make it 50% or 90% it all depends on your situation. Just make sure that you spare at least 10% of whatever you earn.

How do you not lose the money you’ve kept aside?

#1 Savings Account

You can choose to hide the money you keep under your mattress or dig a hole in the backyard (not a great idea) or you can head down the street open a savings account that gives moderate interest per month or yearly and deposit it there every time you decide to keep it (better idea). A savings account gives you little interest but enough to offset mild inflation while buying you time to grow your savings. You’ll be surprised how much money will be in your savings account by year 5. Probably 3 years’ earnings or more!

#2 Investment

Instead of going down the street to deposit your savings money, you instead allocate a profitable business venture or opportunity and put the money you kept in it. When choosing for best investment opportunities, look for low-risk and sustainable ventures. Remember the first goal is to keep your money. The second goal is growing it as high as it can go. Also, remember to diversify your investments. Put 20% there, 30% here, 40% there, 10% here, etc. or Put 3 months of the money you keep in one venture, 3 months in another venture, and 4 months in another venture.

Good Investment Opportunities	Bad Investment Opportunities
1. buy shares in a longtime profiting business	1. pyramid scheme
2. buy stock in blue-chip companies	2. high fluctuating businesses
3. buy property in appreciating areas	3. illegal businesses
4. start or buy profitable businesses	4. poorly managed businesses
5. buy or create products at low prices and sell them high	5. unsustainable businesses

^{taking risk is okay. But don’t taste the depth of a river with both feet.}

In a nutshell, remember always that it doesn’t matter how much you earn but rather how much you keep, and the best way to keep it is by saving it at an interest or investing for a profit. The best way to invest it is by putting it in ventures or business opportunities that are sustainable, legal, and those that give you a guarantee that no matter what your capital will survive.

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