Re­lo­cat­ing abroad will not solve fi­nan­cial prob­lems

The Punch - - NEWS -

When you live in a coun­try like Nige­ria where a lot of things are not work­ing, you think that your fi­nances will change when you re­lo­cate abroad. You think so be­cause you link your fi­nan­cial prob­lems with the con­di­tions of the coun­try. You as­sume that chang­ing your lo­ca­tion will solve your fi­nan­cial prob­lems.

Although this is com­mon think­ing, this think­ing is in­ac­cu­rate.

Re­lo­cat­ing abroad will not solve your fi­nan­cial prob­lem. This is be­cause fi­nan­cial prob­lems are not caused by the con­di­tions of the coun­try you live in.

If the ex­ter­nal en­vi­ron­ment were re­spon­si­ble for mak­ing peo­ple rich or poor, ev­ery­one in Nige­ria will be poor and all the peo­ple in de­vel­oped coun­tries will be rich. But this is not the case.

We have peo­ple with le­git­i­mate wealth in Nige­ria and some of your re­la­tions who trav­elled abroad are still strug­gling fi­nan­cially.

This proves that the ex­ter­nal en­vi­ron­ment has lit­tle to do with your cur­rent fi­nan­cial con­di­tion.

Even if Nige­ria be­comes per­fect to­mor­row night, the con­di­tion of your fi­nances will not change.

If the elec­tric­ity, our lead­er­ship, and the road be­come what it should be to­mor­row, your bank bal­ance will not in­crease. The Cen­tral Bank of Nige­ria will not sud­denly trans­fer some money into your ac­count.

Fi­nan­cial prob­lem is a per­sonal prob­lem and not a coun­try af­fair. When a coun­try has a per­fect ex­ter­nal en­vi­ron­ment, it im­proves the liv­ing con­di­tion of the peo­ple and not their fi­nan­cial con­di­tion.

The fi­nan­cial con­di­tion of a peo­ple can only im­prove when they in­crease their ca­pac­ity to earn more in­come.

Earn­ing more in­come re­quires that a per­son de­vel­ops cer­tain abil­i­ties to solve prob­lems.

Solv­ing prob­lems means liv­ing in a place where prob­lems ex­ist. When you live in a coun­try like Nige­ria with many prob­lems, you un­der­stand the pain of prob­lems can re­late to the av­er­age per­son and are bet­ter equipped to solve the prob­lems.

Solv­ing prob­lems means adding value. When you add value you ex­pose your­self to wealth cre­ation op­por­tu­ni­ties. It is these op­por­tu­ni­ties that will change your fi­nan­cial sit­u­a­tion.

To add value, you need cer­tain abil­i­ties. There are three abil­i­ties you need: the first is the abil­ity to pro­duce; sec­ond is the abil­ity to man­age and the third is the abil­ity to bounce back.

It is these three abil­i­ties that will make you earn more in­come.

Your abil­ity to pro­duce is your abil­ity to use cer­tain raw ma­te­ri­als to cre­ate prod­ucts and ser­vices that can pro­duce in­come.

There is only one raw ma­te­rial you have as a hu­man be­ing. This raw ma­te­rial is all you need to cre­ate the wealth you want. This raw ma­te­rial is the idea raw ma­te­rial.

Ideas are the only raw ma­te­ri­als you need to cre­ate wealth in the world. But ideas in its raw state can­not make your rich. You need to add value to your ideas to make it valu­able.

To add value to your ideas, you need to mas­ter three skills. The first skill is think­ing skills; that is your abil­ity to use your thoughts to cre­ate and im­prove your ideas.

The sec­ond skill is the cre­ative skills; that is your abil­ity to con­vert your ideas into valu­able prod­ucts and ser­vices.

The third skill is mar­ket­ing skills; that is your abil­ity to ex­change your prod­ucts and ser­vices for cash.

To earn more in­come from your ideas, you need to con­vert them from raw ma­te­ri­als to valu­able and prof­itable prod­ucts.

Peo­ple with only nat­u­ral ideas are poor peo­ple. Ideas will not make you rich. It is your abil­ity to add high de­mand value to your ideas that will make you rich.

The sec­ond abil­ity you need is the abil­ity to man­age. The abil­ity to man­age is your abil­ity to use fi­nan­cial re­sources in the most ef­fec­tive way that in­creases and pre­serves its value.

Man­age­ment is the ef­fec­tive, timely and cor­rect use of fi­nan­cial re­sources. To man­age money well, you need to mas­ter four other sub-abil­i­ties. The first is the abil­ity to bud­get; that is your abil­ity to have a pro­gres­sive plan for your money.

The sec­ond is your abil­ity to save be­yond av­er­age; that is your abil­ity to keep more of the money you earn.

The third is your abil­ity to in­vest cor­rectly; that is your abil­ity to grow and pre­serve your sav­ings through strate­gic goal-based in­vest­ing.

The fourth is your abil­ity to man­age debt; that is your abil­ity to leave be­low your means.

These four sub-abil­i­ties are what you need to man­age money well and live a fi­nan­cially sta­ble life.

The third abil­ity you need to add value is the abil­ity to bounce back. That is your abil­ity to quickly re­cover from fi­nan­cial set­backs and emer­gen­cies.

Ev­ery­one goes through fi­nan­cial set­backs, but the de­gree of fi­nan­cial set­backs you suf­fer is de­pen­dent on the qual­ity of your money man­age­ment skills.

A life full of emer­gen­cies is a life lack­ing in ac­cu­rate fi­nan­cial plan­ning.

When fi­nan­cial set­back hap­pens, it is your abil­ity to bounce back that will save you.

To bounce back from fi­nan­cial set­back you need to do three things. First, you need to an­tic­i­pate set­backs. Sec­ond, you need to be fi­nan­cially pre­pared long be­fore they (set­backs) oc­cur. Third, you need to have a set­back re­cov­ery plan.

It is these three things that will in­crease your abil­ity to bounce back.

Bounc­ing back is the only way to con­tinue mov­ing for­ward with your fi­nan­cial goals. Your abil­ity to pro­duce, your abil­ity to man­age and your abil­ity to bounce back are the three abil­i­ties you need to im­prove your fi­nan­cial sit­u­a­tion at home or abroad.

So what then can you do to de­velop these abil­i­ties?

To de­velop these abil­i­ties and im­prove your fi­nances, you need to work with a wealth ad­viser that can help you. The job of a wealth ad­viser is to help you paint a clear pic­ture of the fi­nan­cial life you want to cre­ate.

The ad­viser will help you un­der­stand the fi­nan­cial and non-fi­nan­cial cost and then cre­ate a 90 Days Trans­for­ma­tion Plan that will be­gin to move you from where you are to where you want to be.

No amount of pray­ing, hop­ing and chang­ing lo­ca­tion will change your fi­nan­cial sit­u­a­tion. Your fi­nan­cial sit­u­a­tion will only change when you de­velop the right ca­pac­i­ties.

• Grace Agada Email: [email protected]­atesolid­

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