How to think about cash and money

Many people see cash as something that is impassive and does not exist.

True it is not alive like you or a tree, and there is no such thing as a money tree as we know. However money can work hard for you and it can be lazy.

It is lazy when it lives under your pillow or in a stash somewhere in the house. It works harder when it is earning and working hard for you in the bank getting interest.

You can consider each pound you earn almost to be like someone who is working for you, now naturally you will want the worker to do as much as is possible for you, and the same with your money.

The more wisely you use your money the more you get out, just like with employees - the wiser a company is with its employees, the more organised it is with them and the better it puts them to use, then the more it will get out.

Similarly with money, if you are careful to invest and use your money wisely then you will surely get more out of it in terms of it will turn into more money over time, than if you were to do very little with your money and just leave it languishing around doing precious little.

Money management is an active skill and something that requires you to put some time, energy, effort and thought into.

But - and here is the key - it is well worth it. Just a few hours a month spent thinking about and managing your finances can be worth thousands of dollars for you over your life time, and that is an hourly rate that most people can only dream of normally!

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