The journey to financial freedom is, for many individuals and companies, a marathon and not a sprint,

Each one of us, at one point, have felt we didn’t have enough money to cater for our current needs.  And, let’s face it, there are many demands -rent, school fees, doctor’s bills, among others, that bombard us quite regularly.

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To make matters worse, a salary may not be ‘enough’ to respond to all these demands. Equally, there are genuine fears of locking up your money away for a long time before you get any dividends, and the concern of making a risky investment choice is valid.

And yet, if you do not invest, your chances of having a good life after retirement, or in case you lose a job, is next to impossible.

If the thought of investment causes you anxiety, here is how to start the journey.

Have a financial goal

Before you embark on the journey of financial freedom, it is best to start with a clear purpose. What is your purpose for saving or investing? Is it towards providing a decent education for your children? Are further studies, a house or future medical need informing this plan?

Whatever it is, work out how much you need and when you hope to attain your milestone.

Having a goal and a clear timeline is a catalyst to stretching yourself to save. Have a purpose in life and work out how to achieve it. Have short- medium and long-term goals continuously.

Like Barbara O’Neill, a specialist in Financial Resource Management,

Rutgers Cooperative Extension, has indicated, “to make plans for the future, you need to know where you are today and where you want to be in the future”

A person with a goal and achievable timeline will do everything to save and attain that goal, unlike one who does not have a plan.

Investment has no age limit, but starting early is better.

Statistical data from the World Bank shows that people aged under 40, constitute the most significant African population. This is an opportunity that the continent should embrace to cultivate a saving and investment culture that will turn around the continent’s fortunes.

True, investment has no age limit, but like the Axis Bank advises, starting to invest early in life allows the saver to get massive investments compounding returns.

It would be best if you decided to postpone your thirst for self-aggrandization and start saving today. It may be a rainy day today, but it could be dry tomorrow. Whether you are an individual or a company, investment should be a non-negotiable habit that you do before you start spending. Companies and individuals that have developed this habit are never quickly whipped out by economic shocks.

Money is sweet; deduct it from the source.

Money will always have ‘legs’, more especially if you have cash at hand. If you are a salaried earner and have difficulty withdrawing your money and taking it to an investment scheme, then make a standing order such that money is deducted from the source.

The logic here is that even if you have a thousand demands, the bank will take off your investment commitment more like “by force”. This is a good choice if you know how much you can afford to save each month.

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Deducting money from source into your investment account works effectively. For instance, this study showed that “25% of all UK adults have arranged a regular automated payment into a savings account, putting aside an average of £99 a month. Only 6% of people with a regular savings transfer end up cancelling their payments within the first year.”

Do not keep too much cash on you or in your savings accounts, either as a business or personal money. You will most likely spend it and regret it later. Save and invest it for a rainy day.

Once you have achieved your aim, do not close your account. You can find another goal for building it again.

The book titled ”unraveling the secrets to wealth creation: why the rich get richer and the Poorer”, is highly recommended.

Develop this simple guidance into a habit, and your future will be secure.

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