Are You Neglecting this Important Area of Personal Finance?
When it comes to personal finance, there are three major areas that people tend to focus on: saving money, getting out of debt, and (sometimes) investing.
Two of those things (saving money and paying off debt) are in the top 20 of the world’s most popular goals on 43 things.
In other words, lots of people want to save money (whether that’s literally saving up money or getting better deals on things, I’m not sure) and lots of people want to get out of debt.
Those are great money-related goals, but there’s a big one that I suspect either a lot of people are neglecting — or else it’s still somehow still considered uncouth to admit to: making more money.
Lots of kids will tell you that they want to make a lot of money when they grow up, and some adults certainly do make a lot of money. But you don’t hear a lot of adults listing “make a million dollars in the next ten years” as their goal. You don’t hear people planning how they can make more money at their current jobs, how they can live off investments, etc. You do hear a lot about “passive income” in the non-investment sense and “get rich quick” schemes, but those seem to be the exception.
I don’t believe that making more money is a magic cure for most people (unless you’re near the poverty level — then even a slight increase in income makes an enormous difference).
But I do believe that paying attention to how much we are paid (and making sure that we’re paid what our skills our worth) is something that too many people neglect, myself included.
Having a good income plus being financially responsible (by paying off debt, saving money, investing, and planning for the future) can be that added boost that really gets you to where you want to be.
What has your experience been like? Is this an area you think is worth focusing on?