Change Your Perspective on Personal Finance

ONE WORD THAT WILL CHANGE

YOUR PERSPECTIVE ON PERSONAL

FINANCE – AND YOUR

RESULTS!Savvy Chicks

Rulewww.savvychicksrule.com

VALUE

Savvy Chicks Rule

www.savvychicksrule.com

Introduction

Value is the importance, worth, or usefulness of something.

For personal finance purposes, value means spending, saving, and investing your money efficiently on investments that matter most.

Getting the best value for your money requires assessing the usefulness of the item or investment compared to the cost.

Whenever saving, spending, or investing money, take value into consideration. You’ll be happier with the results you require.

The value you provide to the world even determines how much money you receive.

Savvy Chicks Rule


“Financial literacy is an issue that should command our attention because many Americans are not

adequately organizing finances for their education, healthcare and retirement.”

- Ron Lewis

Savvy Chicks Rule


Planning Your Finances

The idea of value strongly applies to the planning of your financial future.

Effective goals based on your values will virtually ensure success in what is financially most important to you. Without goals, it becomes necessary to rely upon luck.

Ask yourself these questions:

Savvy Chicks Rule


• What do you want to do when you retire? Would you like to travel the world?

• Currently, how would you choose to spend your leisure time if you had sufficient funding?

Which leisure activities do I value

the most?

• By deciding what you value the most, you can release yourself from the items you value the least.

• Avoid wasting money and time on items that aren’t valuable to you.

Which possessions do I value the most?

• Do your current financial goals take into consideration the people you value the most?

• Consider living, educational, retirement and medical expenses.

Which people do I value the most?

• Is your money going to the organizations you value the most?

• Would it be worthwhile to reconsider how you’re allocating those donations?

Which charitable organizations do I

value the most?

Planning Your Finances Savvy Chicks Rule


“I have this system where if I buy three or four new things, I give away three or four things. Sometimes,

it's a very painful system, but shopping is even better when you know that someone else who needs it will

be getting. Keep the clothing karma going, I say.”

- Sara Blakely

Savvy Chicks Rule


Value is an especially important concept with regard to earning money. Whether you’re earning your income from a conventional job or running your own business, it’s all about the value you provide.

Create value for those around you and watch your earnings grow.

Take a moment to consider what your boss, company, or customers ultimately desire from you.

Earning Money Savvy Chicks Rule


• In the end, your boss is only concerned with how good you make him look.

• That includes how you conduct yourself and how successful you are at helping him meet the goals provided to him by his boss.

Your boss wants to look good.

• A company wants to be profitable and that requires that you do your job efficiently without causing problems.

• Even the most effective employees are unappreciated if they create human resource issues or negatively affect morale.

Your company wants to be profitable.

• Your customers require reliability.• Your products and services must be of an appropriate

level of quality.• Your products and services must provide value to your

customers.

Your customers value reliability and

the cost-to-value ratio you provide to

them.

Earning Money Savvy Chicks Rule


“Good health is not something we can buy. However, it can be an extremely valuable savings account.”

- Anne Wilson Schaef

Savvy Chicks Rule


If you’re going to save money anyway, you might as well do it as well as you can! Many people save money without any thought as to how or where to save it , which is a guarantee they’re not getting the best value for their efforts.

Have you considered why you’re saving money?

Are you saving it optimally?

Saving Money Savvy Chicks Rule


Are you saving for the short or long-term?

The timeframe of your savings goals will have an impact on how you value the various options for saving money.

What are your savings goals and why?What are your goals for your savings and how will you ultimately spend the

money?

Are you saving to provide your children with an inheritance or saving

to buy a sports car?

Are you saving money in a way that provides the greatest value?A checking account, savings account, and brokerage account are all

convenient savings places.

However, they’re unlikely to provide the same return or have the same

expenses.

Saving Money Savvy Chicks Rule


“Economics is all about consumption. People either spend money now or they use financial instruments - like bonds, stocks and savings accounts - so they can

spend more later.”

- Adam Davidson

Savvy Chicks Rule


Even the creation of your budget is enhanced by considering value. Every budget assigns value to one category at the expense of another.

Is having the air-conditioning set at 70 degrees more important to you than buying steak for dinner? Would you rather have a nice car or take nice vacations? It’s up to you.

When creating a budget, consider how the concept of value is applicable.

Budgeting Savvy Chicks Rule


A budget is really a determination and

execution of what’s most

valuable to you.

It’s a simple and effective

way to allocate your

resources.

Priority is given to the

most important expenses.

A budget provides a means to save for

things you value highly.

A budget enhances the ability to save for the future.

Educational or medical expenses, a vacation, a

new car, retirement.

A budget imposes constraints, which further enhances the need to assess

value.

If you have a limited

amount of money to

spend each month,

determine the best way to

spend it.

Your spending is more value-based.

If you only have $300 to

spend on groceries,

you’ll automatically find a way to

stretch it.

Budgeting Savvy Chicks Rule


“My parents started with very little and were the only ones in their families to graduate from college. As parents, they focused on education, but did not stop at academics - they made sure that we knew

music, saw art and theatre and traveled - even though it meant budgeting like crazy.”

- Jennifer Garner

Savvy Chicks Rule


There are few instances where value is more important than investing. Receiving the most value for your investing efforts pays back handsomely. Obtaining a stock, bond, or piece of real estate at a great price is an effective way to invest.

Assigning value to your future financial needs and your timeframe can also influence your investing activities.

The concept of value applies to investing in several ways.

Investing Money Savvy Chicks Rule


Value stock investing:

In essence, you’re looking for stocks

that trade at a price below their

intrinsic value.

These are stocks you believe the

market has undervalued.

Mutual funds:

Few mutual funds will provide a

greater return than an index fund.

Most index funds provide greater value and less expense than

traditional funds.

Real estate:

It’s possible to identify and

purchase properties at 50 cents on the

dollar.Future value of

expected cash flow from rents creates

value.

How can you get the most value when

you sell the property?



Bonds:

Assigning a value to bonds is also

important if you’re going to use them as an investment

option.

The risk, interest received, and many other factors affect the value of bonds.

Savings accounts, money market accounts, and certificates of deposit:

Are you able to value these investments accurately?

Your time:

Consider how much of your time each investment will

require.

What is the value of your time and

energy? Are you including this in

your evaluations?



“There are so many different kinds of motivation for investing or giving or parting with your money in

whatever other way, and plain old financial return is obviously attractive. But people are not always

rational and are not just looking for that.”

- Jessica Jackley

Savvy Chicks Rule


Getting the most for your money makes good sense. Consider value in these major purchases:

Automobiles• Consider price, fuel

efficiency, new vs. used, expected lifespan, cost to maintain, condition

• Does the automobile suit your needs?

Housing• Does it make more

sense to buy or rent?• How much does the

home cost? How much do you expect to sell it for in the future?

• Expensive to maintain?

Groceries. Value shopping is especially important.• Are there foods you

genuinely like that would save you money each month?

• Putting a reasonable limit on your food expense is the best way to get value.

Spending Money Savvy Chicks Rule


• You either paid too much or overestimated the enjoyment or utility you would receive.

Do you often feel let down by the purchases

you make?

• You’re probably failing to limit your purchases to those items you need or adore.

Is your home over-cluttered?

• You either purchased too much or didn’t enjoy it as much as you thought you would.

Do you regularly discard food?

• It’s unlikely you’re going to get the most for your money without intending to.

Do you fail to think about your purchases

beforehand?

Spending Money:Identifying Poor Purchases

Savvy Chicks Rule


“Innovation has nothing to do with how many R & D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R & D. It's not about money. It's about the people you have,

how you're led, and how much you get it.”

- Steve Jobs

Savvy Chicks Rule


Value can have many different meanings. However, the idea of maximizing value is particularly relevant to personal finances.

Considering value when making all of your personal finance decisions will have a positive effect on your finances.

Applying the idea of value can enhance your income and remove much of the clutter from your life.

By applying the same concepts to other areas of your life, you’ll enjoy more meaningful relationships and greater levels of satisfaction.

Conclusion Savvy Chicks Rule


Savvy Chicks Rule


Are your financial goals set?Are your financial plans in place?Are you committed to seeing them through to the end?

If you desire to prosper financially, I invite you to download the accompanied guidebook and worksheet to this “Prosperity Power Lesson.” You will be well on your way to achieving the financial success you deserve! Copy and paste link www.savvychicksrule.com/one-word-value

The better you execute, the better you perform. It's that simple. Copy and paste link www.savvychicksrule.com/one-word-value

Execution is Everything

Date post:	14-Aug-2015
Category:	Economy & Finance
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Change Your Perspective on Personal Finance

Economy & Finance