Do you ask yourself how some people manage to keep accumulating more and more money, while others seem to have kept their account balance around zero all their lives? How is it that some people are so successful? What mistakes can you avoid in order to become financially successful yourself?

Ticket to work program: Important rules to managing your money

Only spend the money you have

If you want to build up wealth in the long term with the help of a ticket to work program, you cannot avoid this basic rule. As simple as it may sound, it is difficult to implement. Don’t spend more money than you have.

Those who consistently spend more than they take in are bound to get into trouble at some point. Even borrowed money has to be paid back at some point. Even if you know you’ll be getting your next paycheck next month, avoid spending the money before then. The month is long and there are often expenses that you didn’t expect at all. This puts you in a situation where you suddenly need more money than is available. Rule number one is then broken.

Pay off loans as soon as possible

Not all investments can be saved in advance. The simplest example is the car you need to get to work. Few have such a large sum available. So you have to borrow the money for the car first.

But this is where some make the next mistake. For example, money is saved at the same time. Of course, you have to be able to absorb other expenses despite the credit. Basically, however, every free cent should be put directly into the repayment of the loan. This is the only way to reduce the pressure and create space to breathe again. With a lower loan, there are also low-interest rates, which also reduces expenses.

Pay yourself first

Isn’t it nice to pay yourself a small salary at the beginning of the month? A sum that is saved directly and allows your own assets to grow bit by bit.

The most important adjustment screw that you can turn is the basis: Whoever puts away and saves a flat rate of 10 percent reduces the basis from which all expenses flow. The money will probably continue to be used up. Therefore, learn the importance of always putting away the savings instalment immediately after receiving your salary preferably in a separate current account.