What should I do with my money right now?
It depends on what you want your money to achieve for you right now and in the future.
If you want more stuff then that’s relatively easy you go shopping.
If you want more freedom, then it’s going to take a little more thinking.
The struggle between what you want most and what you want right now will play a big part in what you should could do with your money.
Read on to see what you could do with your money right now whether its stuff or more freedom
Where should I put my money right now?
There’s no definitive answer regarding what to do with your money, but there are smarter and foolish ways to go about it. Here are a few suggestions:
Save it. This is probably the most important thing you can do with your money, especially if you don’t have much. Having a cushion of savings gives you a safety net in case of tough times, and it also gives you the freedom to pursue opportunities that might come up. Even if you can only save a little bit each month, it’s worth it in the long run.
Invest it. If you have some extra cash you don’t need right away, investing it can help you grow your money over time. There are many different ways to invest, so do some research and find an investment strategy that makes sense for you.
Give it away. Whether you donate to charity or just help out a friend in need, giving your money to others can be a very rewarding experience. Not only will you feel good about yourself, but you might also get some tax deductions if you give to a qualified organization.
Spend it wisely. You’ll need to spend some money on essentials like food and shelter. But that doesn’t mean you must blow all your cash on unnecessary things. If you’re careful with your spending, you can still enjoy yourself without going broke.
What do you want your money to do for you right now?
What do you really, really, really want right now, and how might that help or hinder the lifestyle you want in the long term?
- Do you want to get out of debt
- Buy a house, car, holiday or gadgets
- Get some financial stability taking away your money worries?
- Make work optional one day?
These and other things may well be on your list of things to do with your money right now.
But how will you decide what the best thing to do is?
Making a list of all the things you want, material and non-material might help you prioritise them.
What are the things you want to
You want to travel around (name your country or continent)
- You want to be free from the need to work for money at 57, or a musician or a part-time teacher (name your ideal lifestyle)
- It might be that you want to have a 3/4-bed house in (name your place)
- Have financial peace of mind
When you have a few ideas, it will direct you to what to do with your money right now.
It could be to start spending it on the things you want or invest it in some way to get the things or lifestyle you wish to have later on.
Hmmm what could go wrong?
What do you want to achieve with your money right now?
Would you like to achieve particular things in your life?
- What might they be?
- What might they look like?
- What would It feel like when you had achieved them?
Here you might detail things like
- A particular qualification, a side hustle, a specific job or lifestyle
- It might look like part-time hours, office or homework or living abroad.
- You may feel more confident, excited or have peace of mind.
Once you have a bit of a vision what good might look like and how it will feel you can choose your next steps and how to use your money to get them.
I love it when a plan comes together
So if you have a few ideas of what you would like to have, be and do, you can start to set out a plan to achieve them.
Writing down your financial goals will help to bring them to life and also help you review if you really want them or not. Writing it out has a different feel to them than just saying them out loud.
Having a financial plan in place will help give direction, understand the challenges ahead and offer solutions on the way.
Whatever your short or longterm goals, these financial planning aspects will help you realise them a lot faster than stumbling from one thing to the next.
What’s the smartest thing to do with money?
Here are a few smart things you could do with your money. Depending on your circumstances, you may do more of one than the other but together could make a massive difference in your financial outlook and success right now and in the future.
- Spend it (pardon?) Yes, that’s right spend it on things that bring you real value and joy. Education, time with friends and family or thought-full gifts, whatever brings you lasting joy form the money. It’s probably less about things and more about experiences.
- Track it. Creating a spending plan is going to help with understanding where your money is currently going. Where you are spending good money on the things you enjoy and those areas where you are wasting it (according to your goals right now)
- Dealing with debt could also be a great use of your money if you have high-interest debt it’s going to be very difficult to build wealth until you have dealt with it. Also, a good idea to stay out of debt from now on.
- Start saving and especially building up an emergency fund would be a great way to build your financial security. Savings and in particular an emergency fund is going to prevent you from getting into further debt when something goes wrong. Savings will also give you more choices when opportunities come up, and you have the money to do something with.
- Start investing. This might be in your self-education reading books or listening to podcasts so that you can grasp the basics of your chosen field business, money or a hobby. It could also be about investing your money in the great companies of the world. Again you will need to educate yourself about investing and the opportunities and risks with doing this.
- Give it away (hang on a minute!) Supporting the causes you love
What’s the best thing to do with money?
Enjoy it now and in the future. Be kind to your current and future self.
Creating good financial habits will pay off now and in the future. Good money habits will help keep money in its place and help mitigate financial worries as you have money under control, not the other way around.
You cant burn through it all now as there won’t be any left in the future. Being old and poor is not going to be an enjoyable combination.
But neither will be saving up all your money for your old age be that fun.
You will need to find your happy medium.
And this is where a financial plan will help you find out what you need now and in the future to live the lifestyle you want.
All the things you want to do, be and have.
Is it time for more stuff or more freedom?
Summary What should I do with my money right now?
SPEND IT. This is straightforward as long as you spend on things that bring you lasting value, memories or happiness. Short spending will bring limited value, i.e. you will soon want another one or the newer version.
Track it. Know what’s going on with YOUR money. Where is it coming from and where it’s going. What do you have to show for it?
SAVE IT. Saving your money is one way to give yourself much more options. The more savings you have, the more things you can say yes to. With savings and especially an emergency fund, the more you can ride out shocks in your life like losing a job, house or car repairs and global pandemics!
INVEST IT. You can invest in yourself or things. Just make sure what you’re investing in compounds in value over time in a positive way. Learning year after year, investing in the great companies of the world and learning new skills has the potential to compound your wealth year after year.
Eating a doughnut a day may also compound year after year but not with a likely positive outcome. Think carefully about what your actions or habits are compounding.
GIVE IT AWAY. Support the things you are interested in and love.
Anyway, those are my thoughts let me know yours in the comments below
Good luck out there.
Are you tired of living paycheque to paycheque? Never able to save? Sick of being in debt?
Are you confused about money and all the financial options out there? Feel like you will never be able to save enough for a house, career change or retirement?
Would you like to?
- Be Debt-free
- Be confident in your money management skills and choices.
- Never have to worry about money again.
- Be building your wealth towards your most important goals – like making work optional one day!
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