Leveraging Expenses

Key Takeaways

  • There are actually ways you can use your expenses as leverage to help you pay off your debt and save more money.
  • Developing a budget, paying your bills on time, and prioritizing expenses helps to gain clarity of your financial picture, keeps your expenses low and credit ratings high, and helps you build a strategy to best leverage your expenses to save money.
  • Prioritizing your expenses helps you take advantage of tax levers that can ultimately help you save more money over time.

Cash Flow Clarity

Key Takeaways

  • Saving first and spending second is the habit that financially successful people of all ages have in common.
  • At the end of the day, cash flow is the difference between what you have coming in and what you have going out.
  • You want positive cash flow at all times in order to obtain favorable loans when you need them and to accumulate lifelong wealth.

Structured Beauty

Key Takeaways

  • If nothing else, young adults should understand their balance sheet, cash flow and taxes for a happy financial life.
  • Remember to always save first, spend second.
  • As you get older, your assets grow and so do your expenses. Never take your eye off the big picture (see the first two takeaways).