4 lessons about spending, saving, and building wealth from years of writing about money04/08/2021Welcome to Personal Finance Insider, a biweekly newsletter that connects you with the stories, strategies, and tips you need to be better with money.Alyssa Powell/Business InsiderHere’s what: Money lessons from the trenchesMoney is relevant to everyone — that’s why I love writing about it. I started on the personal-finance beat around four-and-a-half years ago and became a certified financial planner six months ago. Before that I was reporting on extreme wealth, digging into the origin stories of millionaires and billionaires.It’s fascinating to analyze how people earn and spend their money, heartening to see people overcome financial challenges they once thought were insurmountable, and inspiring to talk with others about their goals for the future. And it’s sobering, but essential, to understand how much harder women and minorities have to work to catch up.Popular ArticlesHundreds of stories later, here are four of the best lessons I’ve learned about money (so far):1. There’s no universally right or wrong way. While there are some universal best practices — living below your means is at the top of the list — the financial decisions you make should be based on your individual circumstances. Rarely is there a right or wrong way to spend, save, or invest your money. There are proven strategies that work for a lot of people, but that doesn’t mean they’ll be the best ones for you.2. Financial success (probably) won’t land in your lap. Read any story about someone digging themselves out of debt, buying their dream house, retiring a millionaire, or overcoming some belief about money that was holding them back and you’ll find a common thread: It takes work and planning to make it happen.3. Risk is necessary to build wealth.Building wealth is highly contingent on finding your ideal risk-reward level. The stock market is the most obvious example: In order to grow hard-earned money into more, one has to be willing to put some of it on the line.4. Money is a tool, not a chore.The people who make real progress financially view money as a tool rather than a chore. Budgeting or rebalancing an investment portfolio may not be your idea of a good time, but it’s essential work if you want to move forward.My big takeaway: Many of us share a common desire to do better and have more — more wealth, more time, more knowledge, more freedom of choice. When paired with intention, money can help get us there.—Tanza Loudenback, Personal Finance Insider correspondent and certified financial plannerGot a question about money? Submit it here and check out my biweekly column, Ask a Financial Planner, for answers.You should know… It’s possible to retire a millionaire on a $50,000 salary with the right type of account and automatic investing if you start before 30.Here’s how much you would need to save monthly to make it happen »Stories you might have missedA math teacher who quit his full-time job at 33 says 3 books helped him reach financial independence fastEach of these books deserves a spot in your home library.My husband and I save 50% of our income thanks to 4 painless lifestyle changesInsider contributor Sarah Sharkey was determined to have a high savings rate but couldn’t swing it on a $25,000 annual salary, so she focused first on increasing her income.Living debt-free for the last decade has taught me 4 important things about moneyHabits developed during a $60,000 debt-payoff journey have helped Insider contributor Kathleen Porter Kristiansen build wealth without a ton of effort.No matter how much my mom earned we never seemed to have enough, so at a young age I vowed to manage my money differentlyThere’s no doubt our childhood shapes our relationship with money. Insider contributor Jackie Lam shares the memorable experiences that encouraged her to spend and save mindfully.Enjoying this newsletter and want to recommend it to a friend? Here’s a sign-up link.Source: Read Full Article Related News: White supremacists planned an attack on the US power grid if Trump lost the election, a mistakenly unsealed FBI affidavit reveals Founder of multibillion-dollar company Chewy: This is the side hustle I'd start now to make extra money Most Australian Firms Say Diversity Matters. Only Half Have a Plan Sunday Strategist: Why Smart Companies Are Playing Dumb Sharp declines across UK traditional media will cut its total ad spend by 7.5% this year Goldman Sachs CEO David Solomon was known to spin at clubs in New York and Miami before the pandemic under the EDM name DJ D-Sol. Economic Crisis? Not For Everyone.