Henry Ford claimed to have never saved a penny until turning 40. All the money he invested before then went straight into his own business ventures. Great for the auto tycoon, but is this good advice for the average investor? Yes! Today’s article looks at why you should always bet on yourself.
An Investment In Yourself Always Pays Off
Quick question: Where can you spend $1 and get $5, $10, or $200 returns?
Answer: In yourself.
You may not know the most about BitCoin or Coca Cola stock. But there is one thing you’re always an expert on. And that’s you as a person.
You know your own strengths and weaknesses, what motivates you, and what you’re passionate about.
As such, it’s often easy to invest in yourself.
Maybe you love to talk, and you’re passionate about history. Why not start a YouTube channel?
Or you enjoy writing. Why not launch a blog or write a book?
The opportunities are unlimited.
What Not To Invest In
Before we get any further, there are a few things I would advise against buying. These are depreciating assets which some people delude themselves into calling “investments.”
Namely, status symbols or anything meant to showcase that you’ve “made it.”
Things like a vacation home when you don’t own any rental property and your first house still has a mortgage.
Or designer clothes which cost more than you make in a typical month.
Extra homes and fancy things are great, if you’re financially free. They become shackles in any other circumstance.
Invest in yourself through actual, proven assets. Rental properties, a business, higher education, etc…
That’s where the real benefits are.
How To Bet On Yourself
Here are a few safe bets which are guaranteed to payoff in the future:
- Health
Exercise and a good diet can save you millions (that’s not a typo) of dollars over the course of your lifetime.
Lifting weights, playing a sport, jogging, and spending time outdoors are all fantastic ways to improve your well-being. Not only are these fun ways to pass the time, but they help strengthen your body and mind.
I really can’t recommend fitness enough, and if you’re a beginner (or looking to switch up your routine) check out You Are Your Own Gym: The Bible of Bodyweight Exercises. It’s a fantastic exercise guide.
- Wealth
Here’s what you’re reading for. The section where you get an exact blueprint on how to make lots and lots of money doing some specific task.
Unfortunately, I can’t offer this.
When you bet on yourself, you need to assess your own strengths and weaknesses. I can, however, provide some suggestions.
Mainly, look for opportunities which generate passive income. Running a website or writing a book are great examples of this. So are royalties (from music, stock photos, etc..) or rental payments (from properties or creating a licensed products like a database or software).
For most people a website (I suggest using BlueHost for your domain), YouTube channel, eBook, or similar outlet is their best chance at developing passive income.
Additionally, you can always increase your earnings by creating a side hustle.
Web design, freelance writing, tutoring, and other service businesses are all excellent options. Make a few hundred bucks a week off these and you’re developing a nice stream of extra income.
- Relationships
Spend more time with family and friends. You don’t have to do anything crazy or extravagant either. Hanging out together and visiting, playing boardgames, or eating a home-cooked dinner are all great ways to spend the time.
Building wealth is fun, but don’t let it hurt your relationships.
- Knowledge
You can enjoy a million dollars worth of information, all from reading a $20 book.
Here are some titles I personally recommend:
On top of this, there are tons of awesome websites and YouTube channels which are jam-packed with free advice.
Between books and the Internet, there’s no excuse not to exercise your mind.
- Experiences
When I was 18, I saved up $1,6000 and went backpacking around Central America for two weeks. It was the most important event of my life.
Going someplace new and expanding your world is an excellent way to grow and develop.
Travel opens your eyes to how other people live and what other cultures are like. Plus, it makes you think more about your own hometown.
Money spent on an experience is money wisely invested.
Closing Thoughts
Don’t defer all your success to buying stocks or trading BitCoin. While this is fun stuff, it is important to bet on yourself and invest into your own life and activities.
Doing so is far more rewarding than any other asset.
