Disposable Income: What’s That?
Are you familiar with the term disposable income? If so, I’m guessing it’s your favorite kind of income. Your disposable income is your “play money,” the money that’s leftover after you’ve done all the serious adult things “responsible” people do.
No one can really tell you what to do with your disposable income, but let’s talk about why it’s important. When we use our disposable income effectively, it keeps us energized and excited about our successes. If there’s a source of stress in your life, my first guess would be it in some way related to finances. Disposable income allows us to reward ourselves for achieving our financial goals and helps prevent us from getting burnt out or, worse, bingeing!
Even if money is tight, you can still find some way to enjoy it, even if it’s as simple as an ice cream cone. You were put on this earth to live and not labor exclusively. So splurge a little and remember that rewards, like returns, will grow over time.