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But how feasible is it really to do?
Turns out, its not impossible.
Identify your income sources and track all your expenses.
Allocate a specific amount towards your monthly savings, treating it as a non-negotiable expense.
Set Clear Financial Goals
Having a clear, measurable goal is essential.
Break down the $100,000 target into smaller, manageable milestones.
Setting smaller goals makes the larger target seem less intimidating and helps keep you motivated.
Obi recommended setting up automatic transfers from your checking account to your savings account monthly.
This way, you wont be tempted to spend the money before you save it, Obi said.
Even small, consistent contributions can add up quickly with compound interest.
Look for ways to boost your income, Obi said.
The additional income can significantly accelerate your savings growth.
Consider consulting or freelancing on the side.
I work with several business owners who bring in an extra $20-50,000 per year consulting in their expertise.
They allocate most of this income straight into savings and investment accounts.
This might include dining out less frequently, canceling unused subscriptions or finding more affordable alternatives for certain services.
Redirect these savings into your savings account.
Savings accounts typically offer low interest rates, Obi added.
However, its crucial to do thorough research and consider your risk tolerance before investing.
Consulting with a financial advisor can provide personalized investment advice.
Save Windfall Money
Rawal advised to save any windfalls like tax refunds, bonuses or inheritances.
Reevaluate and Adjust Regularly
Periodically review your financial plan and make necessary adjustments.
Stay Disciplined and Patient
Achieving a significant savings goal requires discipline and patience.
Avoid the temptation to dip into your savings for non-essential purchases.
Stay focused on your long-term goal and celebrate your progress along the way.
The key is consistency, discipline, and making informed financial decisions.
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