If you are someone who prides themselves on reading personal finance blogs, give yourself a pat on the back! Very few people take the time to educate themselves on the best financial practices, depriving themselves of valuable information that could save them tens of thousands of dollars! There are so many blogs out there that you couldn’t possibly go wrong with picking just one!
Or could you? While these blogs mean well with the information that they deliver, there is just one problem that 99% of them have. This one problem single-handedly robs you of the financial freedom that you could be experiencing right now. What could it be?
Personal Finance Blogs Are Making THIS Key Mistake!
The problem with the the popular finance blogs is that they are narrowly focused on frugality. Wait, what?
How could writing articles about saving your money and planning for a budget in advance possibly hold you back from your money-making potential? If you really think about it, making frugality your #1 priority is a big mistake:
- No Focus On Making Money–There is nothing wrong with being wise about how you spend your money. There are always areas where we are needlessly spending money. There is always going to be a place where we can budget and cut costs. However, consider the fact that there is a ceiling when it comes to frugality. At some point you cannot reduce costs any further. When it comes to making more money, the limit is as high as you want it to be.
- Complacency is Encouraged–If you are constantly focused on trying to save money, what reason do you possibly have to fight for a higher salary? Build a secondary income stream? Put your money in an investment portfolio and let it grow over a long period of time? It’s OK to be content with your salary, but the majority of readers seek personal finance blogs to learn how they can become rich. As mentioned in the previous bullet point, frugality can only take you so far.
- Lack of Diversification–There are only so many things that you can talk about when it comes to the subject of frugality. After you have shown enough case studies and discussed all the ways to save money, there is not a lot left to talk about. Once you have frugality down pat, it is time to move on and focus on adding more money to your bottom line. Think about it this way: It is much easier to save more when you MAKE more!
Does That Mean All of These Personal Finance Blogs Are Bad?
Of course not! While frugality is not the entirety of being financially successful, it is definitely an important part of it. Too many people are quick to find themselves in a financial hole that could have prevented if they were smarter with managing their finances. Whether it is debt, unpaid mortgages, or impulse shopping sprees, we all seek frugality as the thing that will get us back on track.
Plus, frugality is the first stepping stone towards financial success. Once you have one financial habit set in place, it is much easier to take on other financial habits that will accelerate you towards success. With frugality becoming second nature, you can re-direct your focus towards increasing your income and setting yourself up for retirement!
How Should I Utilize Personal Finance Blogs?
It is OK to read an abundance of personal finance blogs when you are getting started on frugality. The more information you have at your disposal, the better! Once you have eliminated all your debts and improved your ability to fiscally budget your money, it is time to move on. Choose 1-2 relevant personal finance blogs to occasionally remind yourself of the basics, and discard the rest.
Your chief aim from this point on will be to actively seek out resources that will help you become rich. You did start reading personal finance blogs to become rich one day, right?
You will know that you have found the right information when you see a higher emphasis on growing your money, finding higher-paying opportunities, and investments to consider or avoid.
Two great examples of resources that emphasize the importance of making money over frugality are Ramit Sethi’s I Will Teach You To Be Rich and Financial Samurai. Both of these websites provide hundreds of free articles on negotiating your salary, landing a dream job, valuable investment advice, and living a life of financial independence and freedom.
To make a long story short, personal finance blogs are great when you are starting off and need to build solid financial habits. However, there is only so much you can do with frugality before you reach a sticking point. An overwhelmingly majority of personal finance blogs do not evolve beyond saving money, and this will keep readers stuck for years. When you reach that sticking point, shift your focus towards becoming rich. Years from now, you will look back and be thankful that you heard this advice just in time!