Increase net Income & not net Credit

Calculations on take-home Pay

Many common folks in town often faced miscalculations or worse, being misled by financial planners, when it comes to planning for retirement goals. The end result makes most ordinary people afraid and directed into annuities or even unwanted investments that only drives fatter paychecks in commissions and incentives to salesmen. How am I going to tabulate my finances? Firstly, it is better to get an approximate gauge on the fund size for retirement than to entrust your finances to yield-hungry or commission-oriented humans. Search using the Internet for different types of calculators and predict your income today!

Net income VS Net credit

While the central banks and professional financial institutions are trying to stimulate the economy by the help of government officials, accompanied with simplified planning, many individuals are seeking instant gratifications by indulging in cheap credit schemes. Hold on! There is a key difference between net income and net credit. When it comes to credit, unearned cash, the money does not belong to the retail borrower but the respective lenders. In fact, the chances of landing into debts using credit is much more higher than spending cold hard cash. Establishing net income helps to generate more wealth but on the contrary, net credit enables creditors to gain more bigger funding resources to churn out more cash without bothering the lives of fellow individuals who kept on borrowing to finance indulgence. In a matter of time, the entire credit bubble bursts and everyone goes into bad debts zone. By the time, net income will not be able to sustain in the realm of upheaval which detriments the global economy. It is too late to overhaul the financial system that dominates certain key professional institutions which marks the end of monetary value.

Opportunity costs in holding Credit facilities

In any major decisions in life, there are certainly opportunity costs to manage since we don't have authority over most things being laid in front of us. When the matter comes to credit facilities, it is not quite obvious in identifying possible repercussions hence it is crucial to adapt at a slower pace to prevent potential problems from arising. What is the opportunity cost to hold credit then? As the interest rate keeps rolling, debts started to go out of hand, and finally, the creditors are hot on pursuits in the final resort of retrieving massive (snowball) interests instead of the principle amounts. How bad can this situation be? Indeed, the cost of borrowings far surpassed the required payments which ultimately, led to massive downfalls of retail lendees. From then on, learn the lesson of not touching credit facilities ever!

Best way to deal with Credit financing schemes

The one and only way to deal with credit financing corporations is not to have any potential discussions with them. In fact, it is ideal if you could just terminate all sorts of credit functions at all costs. If there is ever a need to leverage on credit, just spend on fulfilling basic needs like mortgage loans or repaying of other credit facilities. In the realm of finance, there are always creditors of higher ratings and they uphold massive positions in the financial world. It is quite difficult to manage credit in the first place if you end up with massive piles of debts hence a prudent thing to do is to just avoid unnecessary troubles and cancel all credit cards and lines. This methods might seem unappealing but the result is definitely commendable in the long run!