Watch Me Become A Millionaire

I, like many people, have learned the hard way about the pitfalls of credit cards. The convenience and ease of use is what makes credit cards so financially dangerous. It is always easier to swipe that expensive dinner or big purchase on a credit card.

I have noticed that when I pay cash for a purchase, I am much more financially conscious of my actions. When using cash, I more frequently ask myself questions like, “Are you sure you can afford to by this now?”, “Isn’t this a bit too pricey?”, “Wouldn’t you rather save your money?”

When you are forced to open your wallet and physically take out the ten, twenty, or hundred dollar bills to pay for a purchase, you quickly become very financially conscious. You tend to spend less and save more.

Once I have paid off all of my credit cards, all of them except for one are going into the shredder. The one that I will keep will not be carried with me either; It will be left at home. I am even questioning whether I will keep the remaining card, since a debit card has all of the benefits of a credit card without the risks.

Consumer debt is the biggest obstacle to achieving financial independence. I have made my share of mistakes - Costly mistakes which I am now working hard to pay off.

Upon this road towards financial independence, the first, crucial step will be towards eliminating consumer debt. I, like many of you, have over the years accumulated thousands of dollars on credit cards. It has not been until recently that I have taken the time to evaluate my present situation and realize just how destructive towards financial independence consumer debt can be. The “consumer debt”, as you may already suspect, that I am referring to is of course that which is incurred by credit cards.

Currently, I am approximately $23,000 in debt. Over the past several months, I have managed to move most of this debt to 1-year 0 balance introductory APR credit cards. This of course means that, for as long as I make my minimum payment on time, I will not have to pay the finance charge for these cards.

Right now, my primary focus is the total elimination of this $23,000, and I will keep you posted throughout these “Financial Milestones” as to my progress.

A good friend of mine pointed out that he did not necessarily agree with my previous article. He mentioned that “investing”, rather than just saving would be the key to eventual wealth. He is in fact quite correct. However, let me clarify what I meant to by using the word “savng”.

All too often, we get a paycheck and spend. Worst yet, we will use our credit cards to borrow against future earnings. The “saving” I am referring to here is the opposite of spending - In other words, once you make the money, save it! Then, at the point where you have a sum of money, investing comes in. I will talk about my past and future investment choices, namely real estate, in the coming articles.

As I study those who have achieved financial independence more and more, I am coming to the conclusion that it is not necessarily how much a person makes, but how much that person saves which ultimately determines if that person will have a chance at becoming financially independent.

I will apply this principle in my quest to become a millionaire.  In the coming days, I will outline some of the strategies I will undertake to save money rather than spend it.

Hello and welcome to WatchMeBecomeAMillionaire.com.

As someone who has a very strong interest in finance and becoming financially independent in the near future, I have decided to put up a blog to track my progress from being poor to attaining considerable wealth.

I do not have any plans of taking part in any get rich quick schemes - No, this is going to take hard work, determination, dedication and a desire to constantly learn and apply this knowledge.

Before we begin, I will tell you a little bit about myself:

I am in my early thirties and work as a computer consultant (i.e. a fancy title for someone who fixes peoples’ desktop PCs when they are not working). I currently do not own any real estate (Although I have in the past - We will get into that topic at a later date).

My primary “operating principle” will be - “Attain wealth by being frugal”.

My first and foremost goal - Get out of consumer debt (Currently approximately 20k in credit card debt).

Come and join me on my journey!