Personal Finance is an essential part of life, and most of us don’t see the big picture of it. You might think, “I am saving my money,” or “I have a 401K”. However, those are great ways to secure your retirement ages; you potentially miss out on more significant growth. Let me explain.
The Personal Finance Pillars
- Earn Money
- Save Money
- Earn Extra Money
- Invest your Money
- Enjoy your Life
Earn Money
I always thought I have to be employed to earn money. Then I discovered the beauty of Self-employment. With the benefit of being your boss, there is the trade-off you have to have the self-discipline to make it happen. That self-discipline is where I currently struggle the most. My fear of cold calling and my concern of not delivering what I promise are holding me back. So I need to get ahead of my anxiety and earn money.
Your potential to earn money is unlimited.
Save Money
Saving money is easier than you think. Always ask yourself, “Do I need this?” or “Will this help me increase my income” If it doesn’t help you get ahead, you simply don’t buy it.
It also comes with the trade-off that you won’t be able to show off the newest PS5 or the newest car. But your wallet will thank you for that.
On the other hand, you only can save so much money. You have to eat, drink, live in a shelter and need transportation (most likely if you need to commute to work ).
Your potential to save money is limited to your earned income.
Earn Extra Money
So, this is the pillar that lets your passion make some extra money. Overall, this pillar encourages you to make it happen to earn money. Eventually, it replaces your first pillar ( if you don’t like how you make money primarily). You can try out new things, i.e., Affiliate Marketing, Photography, Editing, Videography, Social Media Marketing, Youtube, TikTok, etc.
You don’t need to make a living, but you should focus on it, especially if you hate your current job.
The potential to earn money is unlimited.
Invest Your Money
Now here, it gets a little controversial. There are different opinions out there, and I respect all of them. But here is my take on this topic. Investing in “yourself” goes into “Earn Extra Money.” You learn as you go, which considers investing in yourself. That also does not mean you have to put the money in a Roth IRA or 401K Plan. I do have both, yet I do not contribute to either of those because my first pillar collapsed.
Investing your money can mean that you hire a VA, so you have more time to focus on tasks that make you money. It can mean you hire a salesperson to have leads coming in more frequently. It can mean that you are interested in the stock market, so you start trading stocks and stock options. Either way, you are utilizing the money you have. Money is around to so you can use it, so use it wisely.
The potential to earn money is nearly unlimited.
Enjoy Your life
This one is a pillar I could talk about for days without taking a breath. Also, there are many opinions out there I genuinely respect, but I figured the best way to enjoy is the following.
You can enjoy your life on your terms as soon as you don’t have to use your own time to generate income. That means until then; you can enjoy the journey of learning and meeting people that will help you to get there. The faster you get to a passive income threshold of your monthly expenses, the better. You set yourself up to live on your terms, and you can enjoy everything in life that our planet has to offer.
I felt I made a mistake and celebrated too early, which caused setbacks I could’ve avoided. It caused financial stress that was utterly unnecessary.
Did I miss anything? Let me know down below in the comments! I am always open to expand my view!
Niclas Haritos 
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