If you got a group of friends together, chances are good that about half of you have $500 or less in savings according to one survey’s results. This means that a relatively small setback, like having a tire blow on the car or having to replace a broken window on the house, could do some major damage to a large majority of people’s financial situation. In some cases, they wouldn’t be able to afford the repairs.
Of course, the anecdote to avoiding crises like these is to become a better saver so that you’ll always have some cash stacked up in your emergency fund when the need arises (because it really is a “when” and not just an “if”). One way to achieve that goal is to read more often.
It Gives You the Tools to Make Better Decisions
Though it may seem like this is an activity that wouldn’t pay off very well financially, reading helps increase your knowledge base which means that you’ll likely make better decisions in your own life. By specifically learning from others who’ve already mastered financial success, you’re better able to model their behaviors, giving you some financial success yourself.
In fact, this one habit is so important that a number of the most successful people today read daily. For instance, Shark Tank entrepreneur Mark Cuban reads at least three hours per day. Microsoft co-founder Bill Gates finishes one book a week. And Facebook co-founder Mark Zuckerberg takes in a new book every two weeks.
It Keeps You Inspired
How many times have you started a weight loss program only to lose steam within the first week or two? When you’ve almost given up, you read a story on your Facebook page about someone who lost a ton of weight, and you’re inspired to keep going. This is the power of inspiration.
Tai Lopez’s book reading inspired him to become the successful entrepreneur he is today, catering to multi-million dollar clients even though he stared from humble beginnings in a single-parent household. He credits a great deal of his success to reading, which is why he strongly recommends that books be consumed as often as possible if your goal is to get ahead.
Besides, when you take in words of wisdom from “the world’s best minds” like he did, how can you not be inspired to achieve whatever goals you’ve set for yourself?
Because Every Area of Your World is Interconnected
The third way that reading can make you a better saver relies on the premise that no part of our life is independent from the other. In other words, from your family life to your career to your finances, if something happens in one, it will impact the other.
For instance, if your primary problem area is finances, this can cause you stress that you carry home to your spouse, causing you to have more fights. Or, maybe finances make you anxious to the point where you have health issues. Either way, your finances are the major cause of issues in other areas.
While books geared toward money may seem like the natural route to financial fitness, if you prefer other types of self-improvement books, blogs, or publications catered to other areas of your life, then go with them instead. When you feel better mentally and physically, you’re in better shape to attack your financial health as well.
Though reading won’t necessarily earn you a paycheck that you can physically deposit into your savings account, it can make you wiser and keep you inspired on your journey to greater wealth. It can also help you resolve issues in other areas of your life so you’ll have more energy to work toward your financial goals.
In these ways, reading is an investment in your financial future. That makes it one action that pays off in the end.