Today’s 30s have found themselves in a very difficult situation. They are the special generation in Hungary who pay the current pensions so that they themselves should be put aside. They are the ones whose wages are rising to an unprecedented level, while their housing is getting harder. What is this madness and how can it be mixed up?
# 1 Pay tax on yourself
There are some qualities in our lives that we cannot change. Examples of such features include the amount of taxes and contributions payable. At the individual level, everyone manages their own money.
The average 30’s have been in an amazing life situation, whose salaries have risen sharply in recent years, who can get a lot of state support. But they are also the ones who would have to pay double the pension (for themselves and for the current pensioners), whose housing may become more and more unpredictable.
The concept of own tax
Something to do with this situation. The best solution is to set up your own financial strategy for the next 25-30 years. Many fear that they will not see the future. No one sees it, that’s why we need to draw the contour lines first in the financial strategy , then color the plan on the go.
The smartest thing is, if we pay our tax on our income, we realize our primary goals. It depends on your life situation and your income. I don’t want to write a number because it makes no sense. Instead, my best advice is to deduct fixed expenses from revenue and take a portion of the remaining amount separately each month.
Primary Goals : Ranking our goals is essential if we do not have unlimited wealth. The primary goal can be a car, flat, childrens, child raising, retirement.
# 2 Load-free apartment instead of a lifeless life
The parents of the 30th generation today were the generations of credit criminals who were caught up in such loans. They basically had no one to learn the basics of responsible credit management .
That’s why the most important goal of today’s 30’s is to get rid of housing loans as soon as possible. To do this, they subordinate all other goals and thoughts. They do not notice the damage they cause to their own wealth.
Responsible Credit Management : It is worth taking up credit for value creation. If we can use this money appropriately, we will generate money for ourselves in addition to the interest.
The unconditional life condition is MONEY
The most basic guideline of money is that it is made entirely of money. If we use zero forint, we will have a zero forint. If we use 10,000 forints, a fraction of $ 10,000 will be our profit. If we spend 10 million forints, a fraction of 10 million is our surplus.
That’s why I recommend every 30 that they try to use their capital instead of a burden-free home to earn a long-term income, which will be an essential condition for a life-free life.
What I mean? I have made a lot of calculations to make more money using smart money to build up a loan-encumbered real estate + revenue source, in combination with an extra income source that works with 10 years of unencumbered real estate (in which we live = we are on our property).
# 3 It’s too early for a gate shutdown panic
How interesting? While childbirth is out, the gate panic is reaching out to younger people. I see more and more 30 doing gate panic action.
And this is the most destructive financial step we can take against ourselves. Nowadays we have to talk not only about “everything in vacation”. There’s a “all-in-one sports car,” “all-in-one dressing,” “all-in-one chatter,” “partying into everything.”
Self-realization or self-destruction?
The symbol of the 21st century is self-realization. But are we really self-realizing or a whole generation of systematic self-destruction? It is a very difficult question that goes beyond the limits of finance. In financial terms, however, the direction is clear: to survive the uncertain future for a secure present.
I see more and more 30 people who look much better than the average, but they don’t dare to set aside $ 20,000 a month in the long run as part of the financial strategy. They are so focused on the present that they forget to deal with the future.
The consequence can be a disaster if this approach does not change. It is always the most expensive thing I want to accomplish now and the cheapest that will be next week.
Let’s look at an example
You want to paint your apartment sometime. To do this, you need a paint (say 4 boxes) with a price of 7000 HUF / box. If you want to paint today, you will buy toner today for $ 28,000. True?
However, if you plan ahead, you will definitely have a period when you can get the toner for 5,000 forints. It would be worth buying in advance for $ 20,000. In this example you won 8,000 forints, which is a 28.5% profit. You say that only a few thousand forints, what matters. We will now project it for the next 15 years of your life when you look for $ 90 million.
28.5% of this is $ 25,650,000! That is, due to the bad mentality, you will fall below the price of a Budapest apartment in 15 years…