Stay away from Financial Fantasies

Someone has rightly said, “Fantasy is a necessary ingredient in living”. However, that does not mean a flight of fancy works in life. One has to be practical enough to actually implement something in reality to achieve one’s targets. No fantasy will help, until you sweat hard for your goals.

Going through life expecting a large boom is being foolishly optimistic. It gives you false hopes and expectations and can prove to be a silly justification to making bad financial decisions. One should understand that there is nothing FREE in this world, there is no free lunch. Moreover, gaining something at the cost of nothing is fiction which will be revealed some day.

These financial fantasies are followed by people with the hope of discovering shorter and faster ways of getting rich.

  • Winning a Lottery
  • Flipping houses
  • Receiving grand Inheritance
  • Starting a website or a blog
  • Investing in stocks
  • Engaging in an e-commerce business

Winning a Lottery

Winning a lottery sounds exciting and easy, but the chance of it happening is remote. It involves a high odds probability of winning. Having a 6-digit or 10-digit lottery number, involves permutations which reduce the probability of winning, still, millions play it every day.

There can be nothing easier than winning millions by just buying a lottery ticket. But there is no shortcut to success.

Buying lottery tickets is a waste of money. In fact, the lottery can actually be a burden for the average person. He may waste too much money buying tickets in the first place as the chances of winning are incredibly low.

Even if you do win, you might not be able to embrace it for long as one day that money will get over, but your needs and wants will not.  It might just turn out to be a vicious circle as once you win, you will feel you can do it again and will start the process all over again.

Therefore, one must have the skills to manage money. One needs to understand that playing a lottery is not a profession but a mere stroke of luck. The windfall gain of the lottery must be handled responsibly.

Flipping houses

Flipping items and assets may earn you a lot of money, but it requires tremendous experience in the real estate market to buy and sell the property at a feasible cost. This is entirely based on how much money one is capable of investing and how much cash is reserved for the intense period.

One should be capable of holding a property for an elongated period of time in case it does not get sold for 1-2 years. He must be in a financial position to hold the property and avoid being affected by the crisis. Thus, flipping houses is not a child’s play.

Receiving Grand Inheritance

Many people fantasize about receiving a fat sum in inheritance on the death of their close relative. It is extremely selfish and shameful that a person would wait for someone to die and live off that person’s money rather than work and earn his own money.

Contrary to what one thinks, their predecessors may leave heaps of their money for some other close relation. In that case what can that person do?

In some cases, the one who passes away may also leave behind tons of debt for the next generation.

Then, you will have to live your remaining life in misery. Thus, it is always better to depend on one’s own skills rather than waiting to get things easily.  

Starting a website or a blog

Creating a website requires technical knowledge, assisting skills and experience. In the race to create a popular website, many end up creating websites that do not have any useful content. Such ‘Junk’ websites reflect high in search engine results, get lots of traffic, and earn lots of money through advertising. However, most times these websites do not last and such fantasies fail.

Creating blogs is another way that people think is easy and fun to earn fame and money. But that too requires hard work and creativity. Blogging requires research and, of course, a flair for writing. While the success stories of people who make a living from either "junk" or legalized websites and blogs can make anyone want to quit their day job, running one of these sites is not as easy as it sounds. Any website that gets substantial money from ad traffic has managed to do so with hard work and tremendous time, money and energy spent in design, content and maintenance.

Investing in stocks

Investing money in stocks is not a bad idea. But to invest in stocks, one must have the money. Picking the right stocks is possible with knowledge, experience and expertise. You can get this exposure if you study portfolio management and become intensely knowledgeable about companies or an industry. You need an eye for detail and some foresight to pick out a stock that may become the next big thing. One must understand that only because a private company decides to go public, it does not necessarily make it a good investment.

Thus, before investing in a particular stock, you must consult an expert if you are not sure of your decision. However, making investing a profession only to have an easy life can be perilous.

Engaging in an e-commerce business

To make money via a website like E-Bay, you need to be well versed with your product and its value. Selling your items at a good rate might make you good returns. But how long can one do that?

Looking at the above examples, it is advisable for those who have such financial fantasies to broaden their horizons and understand that such fantasies do not come true. Setting yourself free from such misconceptions will actually help you focus on your goals.

Instead of following such thoughts, you should try realistic ways for comforting yourself financially. You can start your own business instead of investing money in stocks and property. You can also pursue further education to find your true calling and make it your profession. Or, as a supplementary business, you can simply make money through dividends of investments.

It is possible that one believes in himself. In today’s world, there is nothing which one could completely rely on, may it be the rising market or lottery tickets. The best person to rely on to achieve your financial goals is you. Dump your financial fantasies, work hard, spend and invest money wisely, and turn the odds of financial success in your favour.

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