Tips on How to Double Your Money

If you haven’t tried this out now. Calculate the amount you earn a month, multiply it by 12 months and then by 10 years. You will be shocked!

Only a few people working from 8:00 AM to 4:00 PM have enough savings in their accounts. In Nigeria, the statistic is shocking. According to World Bank, as many as 4 in 10 Nigerians live below the poverty line. They earn below 137,430 Naira in a year.

The reason why we have such a huge number of poor people is not the availability of money, but the inability of earners to save a considerable amount.

Most people will say, “Oh! If I could just increase my earnings!” That’s will not solve the problem. It is a common saying that if we collect all the money in the world and shared it equally among everyone, in a short time, it will get to the same rich people.

In this article, we will be learning some magical tips on how to double your money and be financially stable.

Income vs. Expenditure

As rightly said in the introduction, you don’t usually need a huge income to be financially stable. You need to focus on the net income and leave the income to worry for itself.

Two workers, Akin and Badamosi worked in a company as salary earners. While Akin earn 1.6 million in a year, Badamosi earn 950 thousand. At the end of the year, Akin had spent over 1.9 million and Badamosi 620 thousand.   

If you do the math, you will realize that Badamosi had a net income of 330 thousand while Akin is in debt of 300 thousand. There are countless people in Akin’s shoes. They spend more than they earn in a year.

From the illustration, it unveils that Akin had a problem with an expense while Badamosi had an income problem. Badamosi would love to earn what Akin earns in a year. Let’s try to solve their problems.

Income Problem

If you have a job today and you don’t have something you do on the side but know the latest movie collections, you are wasting your time. You don’t care about improving your income.

There is no reason a broke guy should come home at night and sit down in front of the screen. You should be planning on what to sell or create, or learning a new skill.

Expenses Problem

Managing expenses is one difficult thing for people to deal with today. It is not usually about discipline, it is about financial thieves.

Learn about things you should not spend your hard-earned money on in other to be wealthy  

What are Financial Thieves?

A thief appears when you least expect it. They are armed and vile. The same is financial thieves. These elements are so deceptive that you will believe you are on the right track.

The best way to deal with these financial thieves is to renegotiate. How much do you use for calls daily? Can I substitute that for WhatsApp calls? Is the cable subscription helping me? What food can I eat to save money? How many people have succeeded in these gambling platforms? What calls do I get at the end of the month? Do I need two phones? These are some questions you should be finding answers to.

You can reduce your expenses if you have the power to renegotiate your spending. Everything you spend money on can be renegotiated. Don’t live above your means, and don’t dull yourself!

Investment

Most people always think that investment is real estate or the stock market. There are various types of investment. In summary, we are grouping them into four as shown in the table below.

High-risk, low return E.g. Startups	High-risk, high return E.g. Cryptocurrencies, Stocks
Low risk, low return E.g. Cash and commodities such as savings accounts, agriculture	Low risk, high return E.g. Real estate, properties

From what we have learnt, you will realize that doubling your money is not usually about your income or expenditure, it also has a relationship with your investment.

The Rule of 72

A practical approach to doubling your money is trying out the rule of 72. The Rule of 72 is a rule that determines how many years it will take for your money to double at a specific rate of return. If you have a return of 30% on any investment, it will take you approximately;

72 ÷ 30 = 2.4 years to double your money.

This indicates that your returns will determine the number of years you can double your money.

Act Wisely

You should have these at your fingertips if you aspire to double your investment.

1. Specialize in a niche when investing your money. Do not know little of everything. It will prevent you from breaking free.

2. Get rid of sentiments and emotions. Invest in things that will make you money and not what you buy often. Do research before going into any investment.

3. Invest in what you know. This will keep you in the know. You don’t want to invest in things you know nothing about.

Upgrade

An upgrade is bringing out a new version of something. One secret about doubling your money is upgrading your personality. What this means is that you should never lower your standards.

Imaging if Android 8.1 runs as slow as android 4.1? That might tarnish the image of Android when it was released. Your identity should get you higher pay, higher negotiations and nothing less.

If you start counting from 1 to 100 million, there is every possibility that your current yearly income falls within. That’s your identity. In other words, it will be impossible to accept a job that will pay you 400 thousand in a year when your previous job pays 800 thousand. But you may be willing to accept 800 thousand in a year when offered. This is an identity issue you need to fix.

You will lose out on a lot of opportunities to double your income if you are stuck in the “comfortable zone”. You need to recreate yourself and become a better version.

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That’s it! Hope you have gotten a thing or two from this. Take a minute or two to share your thought with us. Thank you.