I stumbled an article last month about Allen Iverson, a once famous NBA basketball player. According to the news, he is now broke just after 3 years off the NBA. To describe how broke he was, he even said he don’t have money to buy even a cheeseburger.
Allen Iverson earns $70.9 million from a 6 year contract on 1999. Then another $76.7 million 4 years later. Plus a Reebok endorsement deals worth millions of dollars.
Can you imagine that life he was living with those millions of cash piling on his pocket? Now, imagine him broke to the last penny.
What happened to him? How did he spend all those millions of money he get from NBA?
For most people, getting money is a bit easier than protecting it. I know some of you are earning more money than others. As a result, you can afford to buy those luxury things that you want. Though you are earning more money, you are also spending more money. That’s a fact for most of us.
However, we failed to realize that we will not work for the rest of our lives. Time will come when we retire and could no longer depend on our job for money. And when that happen, our cashflow stops. How well are you prepared for it? Can you still live the life that you have before, now that you don’t earn that money?
Most people never think that way. Sad to say, they never plan for their future financially. This reminds me of a story that Bo Sanchez written on his blog. It’s about a 2 lola who earn lots of money on their prime. The other one spend them all like no tomorrow, while the other one save and invest some for retirement. I guess you already imagine their life now. The first lola live with her children and relying everything for them to survive. Since her children also have their own family to support, she end up like a burden to them. On the other hand, the other lola who save and invest for her future, is living comfortably. She has all the money to spend for her needs without having her children worry for her expenses.
I have seen lots of OFW’s who live like king and queen every time they go back to Philippines. They have brought lots of gifts and goodies for everyone. They party and drink for few days and spend money like they have endless source of it. And the aftermath after few weeks, they were broke. By this time they are all eager to leave the country and go back to foreign land to work hard to prepare for their next vacation. This cycle goes on and on until such time that they could no longer work abroad anymore. How many people you know who are living the same life?
It may be late for some, but for others who still have time to change their lives, now is the time. You just need to acknowledge that you really need to prepare your future financially. Start by educating yourself and learn the ways how to do it. In getting out of the rat race, your salary won’t matter. Even how big or how small your paycheck is, you can retire with financial freedomh in the future. It will only happen if you will plan for it.
Earning money on our prime is way too easy than keeping it for future. It is not how much money you make today that matters. It is how much you save and invest for your future.
P.S. A year ago, I do not know anything about investment. Then I joined Truly Rich Club by Bo Sanchez. It was the best decision I ever made in my life. Brother Bo is a spiritual preacher and at the same time, financial literacy advocate whose purpose is to help people become rich in order to serve the LORD with the money that they have. He guided me along the way, explaining how I can manage my money and make it work hard for me. Now I’m investing in stocks and mutual funds and have a clear path for my future. Soon I’ll open UITF account as well. All are made possible by his guidance and teachings on every steps to become an investor. Being OFW isn’t forever, this is my EXIT PLAN. It’s amazing how his teachings change my life. I’m inviting you to join the club too, JOIN TRULY RICH CLUB. If you have any question, feel free to leave your comment below. CLICK HERE TO JOIN