It is fairly obvious, but there are people out there that have written 200 pages self-help books and made a fortune out of them by simply stating this simple fact of life: "you can invest your savings. If you ain´t got any, you ain´t gonna invest". (I admit you could argue that you can borrow but still nobody ain´t lending ya if you ain´t gonna givvet baksh).
The basic concepts that will save you a 15 bucks book:
- you invest so that your money works for you. Even if you cannot drop your job, you can still live a bit better with extra income.
- Investing is sacrificing something today to get something tomorrow. This is just a definition. You save x today because you want 2x tomorrow or in year or whenever.
- The first step to invest is saving part of your income. No savings, no future.
- If you have credits unpaid (other than mortgages or other asset backed credits), you pay those first because they charge you a lot.
And from here we could start speaking on how are you going to save regularly, if it is going to be 10% of your income, or 5% or 50%, how are you going to learn about investing, etc...
If I have a lot of savings, I will keep the basic living expenses, and use the rest for investment. Of course, it is a field that I am familiar with. My mentality is still very peaceful and not very accumulative. I will not just because someone said a project. The rate of return is extremely high. Even if someone makes a lot of money, I will not be jealous, let alone sleepless. For example, I hold Bitcoin, no matter what kind of underestimation I am now, I will still hold it.