21 Apr On the importance of rewarding yourself
How can you stay motivated on the path to financial independence? You have to try hard not to destroy all the good you have done by reverting to old habits, but you need to feel that you have accomplished something and even now are reaping the benefits of all your hard work.
So why not consider rewarding yourself from time to time? I understand that you need to celebrate your advancements, so why I don’t want you to fall into a self-destructive pattern or earning just to spend, I’m am okay with you spending a little money to reward yourself after you hit certain milestones.
For example, one milestone might be your first success making extra money. These rewards should not be abused and should not consist of more than 5 percent of what you made in an investment or in extra money per month. I, for example, love traveling as well as the newest electronic toys. Every time I complete either a particularly good real estate deal that makes me, let’s say, $50,000 dollars, or when I hit any other major milestone like having reached a new goal in terms of monthly Forever Cash, I reward myself with a new Bose Mini stereo system or the newest Apple product (usually not more than a few hundred dollars). Or I book my family on a nice vacation in a five-star hotel to celebrate, recharge, and mainly just enjoy the feeling that I am actually enjoying the fruit of my labor. And while such a trip might cost a few thousand dollars for just a couple of days, it is an earned reward, that doesn’t bring with it any ongoing monthly increase in spending. It’s a one-time reward.
After that I go back to my regular lifestyle and focus on increasing Forever Cash without increasing expenses. It’s not yet time to get a new car, move to a bigger house, or get that vacation property you want. This, done too early, can be the end of the progress and the beginning of the end.
I have seen that this part is really the hardest part of my system, because at the core it talks about delayed gratification.
And we will talk more about delayed gratification in a Facebook post later today! Be sure to read it!
To your success…