I am very excited to start this journey with you all! First, let's discuss the title "Wealthy Muslim Women".
Wealth is defined as an abundance of valuable assets. If we think about it, we are already rich. Love and patience are signs of being rich, and I strongly believe that the love we have for our family and friends makes us truly the richest.
The reason that I added "Muslim" in the title is that I can relate to the culture and Islamic teachings regarding money. Of course, people from any religion are welcome to join this discussion as well.
My main goal here is to clear misconceptions about money and learn to accumulate it. However, money not the end goal. We want to accumulate money so that we can have a fulfilling life, spend meaningful time with our loved ones, and ultimately lead healthier and happier lives. Therefore, the end goal is to feel like we have accomplished something in our lives!
Unfortunately, our schooling systems fail to educate us on the essential things for our daily lives, for instance, prioritizing emotional well-being, managing finances, etc. These are the lessons that should be taught to us from a young age, but they are not!
A successful person is mostly a smart worker rather than a hard worker, and they make their money work for them. They are aware of how to invest and grow money, without putting in too much work. So, here are a few of their secrets
Don’t invest in an expensive house
With an expensive house, come higher expenses. Also, expensive houses do not guarantee happiness. As you accumulate wealth over your lifetime, your house should only account for 5% to 10% of your total wealth.
The best things in life are usually free!
Spend time doing activities that do not cost too much or even better, activities that are free! Avoid going to expensive restaurants, rather, spend time with your children, go to the park, go on a hike and make memories - all these hardly cost a cent, and therefore help you save money.
Find a way to save money without tax-cuts
Any income that we earn goes through a tax cut even before we receive it. This means we get only a portion of what we have earned. However, there are ways around it. We have several options for pre-tax retirement accounts (401K or IRAs) where you can save a portion of your money before it goes through a tax cut. This way you do not get taxed on this money now and have savings for when you retire.
For the next few months, I’d like you to calculate your net worth:
Net Worth = Assets – Liabilities
Assets – Example: Cars, House value, Cash at the bank, etc.Debt(s) – Example: Credit Card, Student loan, etc.
For some of you, the result might be negative and that’s okay! This is the reason for this podcast. I will share tips on how to manage your income, money, debt, and investments, leading to positive net worth.