Everything you need to know about Money

There are trillions of dollars available in this big world, and you have just as much right to it as anyone else. If the Hiltons, Martha Stewart and Donald Trump have scads of it, why shouldn’t you? What’s their secret?

It’s all about power. And when you have enough money, you have power. And I don’t mean power over others or power to control the world, I mean power over your own life. That is your right as a human being.

Take a look at your life. Do you pay rent? Your landlord is in control. Do you owe on your car? Your titleholder holds the reins. Are you in debt on a credit card? Your creditor owns a piece of you. While owning a home is an investment and increases your money power, owning expensive TVs, stereos, designer clothes and jewelry (unless it will increase in value) does not.

Those are the type of purchases that actually decrease your money power. Of course it’s always best to buy good quality products that last longer or have a better warranty than cheap items. The trick is to spend more on the items you really need, or plan to use and keep for a long time. With just a little money know-how you can stay ahead of the spending/saving game.

Think of all the energy you expend to keep yourself in debt, especially if you work in a job you don’t like or, even worse, one you hate. If a crisis hits, are you financially prepared or do you succumb to the mercy of those who have power over you? There are reasons poor people stay poor and middle incomes can never get ahead. Much of it is in our way of thinking and how we feel about money. Do we respect it and believe we deserve it or are we afraid of it or feel guilty for wanting it?

Ending the cycle

Many years ago, I found myself in a situation that turned my life around. My brakes were shot on my old broken down car, which I couldn’t afford to get repaired, causing my boyfriend to run a red light and hit another vehicle. My car was totaled and I couldn’t afford another. For three months, until I saved enough money to buy another cheap, junker car, I was forced to take the bus or have my roommate drive me to work. From that moment on, I vowed to save enough money that one day I’d be the one in control and I’d never be caught in such an inconvenient, humiliating situation again.

With enough money socked away, you don’t have to put up with unscrupulous business people. With a substantial savings to fall back on, your life becomes much easier and you don’t have to worry about small disasters disrupting it. If your car needs to be fixed, you can get it fixed right away and take it to a reputable place that might charge a little more (less in the long run). If the clothes washer breaks, you don’t have to pay that grungy service man $250 to fix a $50 washer, you can buy a new (or good used one) and tell him where to put his socket wrench.

Respect money, respect yourself

If you respect money, save and use it wisely, you will gain power over your life. When it’s time to buy a house, you’ll have enough saved for a down payment and you’ll enjoy good credit – which means you’ll pay lower interest rates and charges. You can afford a better car (maybe one with a warranty). You can buy better things that last longer. You can even afford to quit your job if you hate it, and take the time to find a better one or start your own business. You’ll be able to break the endless cycle of spending more and getting less. (Remember, that’s why the poor stay poor.)

Though it’s not something you can do overnight, you can build your money power by doing small things each day. Start a “power” fund with just a few dollars. Take that first baby step, and it will lead to another and another until you’re the one in control. And that’s the way it should be.