@livumilithongo:

Livumilithongo 👏
Livumilithongo 👏
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Friday 21 April 2023 07:14:13 GMT
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SIYABONGA S. L. R 27 :
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2023-04-21 08:03:24
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How I turned my finances around in my 20s 👀   If you're ready to get rich AF and start feeling confident about your future, here are 4 lessons you need to understand (that most don't). 1. Understand the difference between an investment and an expenses. People think that just because technically a car and a home are assets, meaning they're worth money, they're an investment - but they're not. Cars and houses don't pay you, you pay for them - that means they're an expense and a liability. I know it's tempting to buy a new car, but don't do it until you have enough passive income to cover the monthly payments. Instead, buy something a couple years old so you don't take the hit on depreciation. New cars go down in value like 50-60% in the first 5 years, and when you owe more than your vehicle is worth that's called negative equity - and that's a dangerous place to be. Instead of buying your dream home, buy the home that will pay for your dream home. You can do this by getting an ugly house with 2 or more units, live in one and rent out the other, fix it up, and sell it for more. Then you repeat the process. A similar helped me turn $15k into $500k in just a few years. 2. Understand that investing is not for the rich, it's how you get rich. If you're always trading time for money there will always be a limit to what you can make, but with investing you'll start to get paid while you sleep. 3. Understand the dip. The dip happens when you start something new - a new program, a new business, a new goal. The beginning is great because you have a lot of motivation to help you get going, but eventually motivation wears off and you start doubting yourself. You wonder if you made the right choice, you think it's taking too long to see results, you consider quitting - but don't. Because moving through the dip is what separates people who have success and those who don't. If there was no dip, everyone would do it - the people who achieve their goals are the ones who are strong enough to keep going. 4. Understand that more money solves NOTHING if you don't have the right money mindset. It won't matter how much money you make if you always spend it all, and too many of us are buying things that keep us from our dream life because we think it's making us happy, but the reality is we're just buying sadness. Are you really buying that because you want it, or because you want someone to know you have it?
How I turned my finances around in my 20s 👀 If you're ready to get rich AF and start feeling confident about your future, here are 4 lessons you need to understand (that most don't). 1. Understand the difference between an investment and an expenses. People think that just because technically a car and a home are assets, meaning they're worth money, they're an investment - but they're not. Cars and houses don't pay you, you pay for them - that means they're an expense and a liability. I know it's tempting to buy a new car, but don't do it until you have enough passive income to cover the monthly payments. Instead, buy something a couple years old so you don't take the hit on depreciation. New cars go down in value like 50-60% in the first 5 years, and when you owe more than your vehicle is worth that's called negative equity - and that's a dangerous place to be. Instead of buying your dream home, buy the home that will pay for your dream home. You can do this by getting an ugly house with 2 or more units, live in one and rent out the other, fix it up, and sell it for more. Then you repeat the process. A similar helped me turn $15k into $500k in just a few years. 2. Understand that investing is not for the rich, it's how you get rich. If you're always trading time for money there will always be a limit to what you can make, but with investing you'll start to get paid while you sleep. 3. Understand the dip. The dip happens when you start something new - a new program, a new business, a new goal. The beginning is great because you have a lot of motivation to help you get going, but eventually motivation wears off and you start doubting yourself. You wonder if you made the right choice, you think it's taking too long to see results, you consider quitting - but don't. Because moving through the dip is what separates people who have success and those who don't. If there was no dip, everyone would do it - the people who achieve their goals are the ones who are strong enough to keep going. 4. Understand that more money solves NOTHING if you don't have the right money mindset. It won't matter how much money you make if you always spend it all, and too many of us are buying things that keep us from our dream life because we think it's making us happy, but the reality is we're just buying sadness. Are you really buying that because you want it, or because you want someone to know you have it?

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