A second bank account for investing

In my book Forever Cash, I recommend opening up a special bank account just for investing. Most banks offer the option of free savings accounts with automatic transfers, so something like that can help you get started.

The money in your special account should be untouchable. It shouldn’t be to buy gas or groceries or to reward yourself for your hard work. The purpose should be to hold any money you save from your income, from side work, from previous investments, and from reducing expenses. And once that balance has gotten high enough, you will make another investment with it.

At first, the balance might not be too impressive. A few dollars here and there, part of a paycheck. But if you can stay disciplined, after a few months you should be able to buy a piece of vacant land to flip, pay someone to write an eBook for you, or invest in some other sort of asset.

TIP: If you really want to stay motivated, sign up for an account that requires an automatic transfer from your checking, and that will charge a fee if that transfer isn’t made. Then set the amount high enough to keep your moving towards your goal on schedule!

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