Expert Interview With Miranda Marquit About Growing Money

There is something to be said for getting rid of unnecessary expenses and wasteful spending habits, but if you want to grow wealth, then you need to consider getting your money to work for you. Miranda-Marquit-Headshot-2012-260x300

Miranda Marquit of Planting Money Seeds is a firm believer in not only saving money, but growing money as well.

Here, she share some of her tips for a better financial future that enables individuals to have more control over their income.

You say on your website that it is not a place to go if you are interested in pinching pennies; instead, you say that it is for growing wealth. Please describe this difference.

In my mind, pinching pennies is about cutting back. However, there is only so much you can cut out. You get to the point where you can’t cut anything more from your budget. When you grow wealth, however, there is no limit to what you can accomplish. It’s about looking for ways to boost your cash flow. That way, you can cover the expenses that are most important to you, without the need to go through the trouble of penny-pinching.

With your unique background in writing about financial matters, how has that enabled you to witness the roadblocks people put into place when it comes to building wealth?

I have talked to a lot of people with stories about their hangups and difficulties. I also see a lot of statistics related to financial matters and roadblocks in my research. Most of my reporting takes place in order to write articles that can help people overcome their roadblocks.

What are some of the biggest tips and trends that you can share with us for readers hoping to reach the next chapter in their financial lives?

The best thing you can do is figure out what is most important to YOU. Determine what you want your life to look like and what you want your money to do for you. In many cases, people just spend money on what they think they’re “supposed” to buy, without thinking about whether they really want it. Take the time to establish your priorities, and then bring your spending in line with your priorities. You’ll be able to move forward to the next chapter at that point.

In your own experience with finances, what are some of the biggest blunders and benefits that you can share with us?

The biggest blunder I see is spending on things that you don’t care about. This problem is magnified when you spend using debt. You don’t really think about what you’re buying, or why you’re buying it, and you get into debt for something that you think is just “OK.” You’re unhappy AND in debt, surrounded by stuff you don’t need, or even want.

I also feel that too many people wait too long to start investing. You can benefit long-term when you let your money work for you. Understanding how money works provides you with a huge benefit when you apply those principles.

Please share some stories from your readers who have benefited from your advice about growing wealth.

I regularly receive emails from people who tell me that they think about things differently due to something they read on my site. Most readers tell me that they began changing the way they look at money, and how they spend it, after realizing that they can prioritize, and that they don’t have to buy what everyone else does. Also, many of them tell me that they like my approach, which is to make sure all the most important stuff is paid for, and then spend on things that I really like. Lots of readers are surprised to discover how much they spend on stuff they think is “fine” or “OK,” rather than really think about what actually enhances their lives. Once they stop and think about that, suddenly they have more room in the budget for what they want because the money isn’t being drained away by these other things.

Also, I regularly talk to people who want to learn how to get into freelancing and earn money with side businesses. I regularly answer questions from aspiring freelancers and provide insights into how to build a freelance business.

In today’s culture with the less than stellar economy and high unemployment rates in several areas, what do you say to people who think that financial success will never be in the cards?

Well, to a certain extent, I agree that the deck is often stacked against those stuck in a rut. However, there are some things that can be done to improve your situation. The first step is to realize that you do have control over some things, and to recognize what those items are. Identify what you have control over, and start working on that. It’s also worth looking into developing a marketable skill. You can do so with the hope of getting a better job, or even starting a side hustle.

What are some of the best ways an individual can earn passive income?

I don’t really think of a lot of income as passive, since you usually have to do something – at least initially – to get it going. However, I do like dividend investing as a way to earn passive income. Also, I know people (I’m not one of them) who like renting out properties. They let a management company handle the work, and just enjoy the revenue.

What do you think about individuals of any age taking on a secondary income? Why should individuals consider a secondary income?

I think it’s important to diversify your income sources so that you aren’t completely devastated if something happens to your primary income. A side gig, part-time job, investment income, or other revenue stream can be a good way to add additional income to the mix, and make you less dependent on your day job.

Investment can be confusing for some individuals. What advice can you offer individuals that feel this way?

Start with something simple. The easiest thing to do is start with an index fund or ETF. An all-market fund or ETF is a good choice because then you are exposed to the entire market in one go. You don’t have to worry about stock picking. Open an account with an online broker, and invest in an index fund or ETF. Set up an automatic investment plan to take advantage of dollar-cost averaging each month. Then, while you get started with this easy plan, you can educate yourself more and branch out when you feel more comfortable.

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