The following is a 5-point financial plan from Meridian Millionaire Abdul Lala:
"Although I have never been a frugal man, I have always humbled myself to truly respect the value of a dollar. My wife and I both came to this country as poor immigrants from India, having grown up with bare necessities. I will never forget certain circumstances that still stir my emotions and keep me grounded with all that my wife and I have achieved.
Lala Lesson Learned 1: Splurging on luxuries should not be a priority.
You would think that as a hotel owner, family vacations meant staying in fancy hotels around the country/world, ordering room service and enjoying the mints left on our hotel pillows. And we do take advantage of that whenever we can but, that truly was not the case at the early stage of my life. In those days, when my children were very young, the typical Lala family trip consisted of spending nights in a parked caravan at a rest area along the way, as well as firing up a portable gas grill and cooking home cooked meals.
This does not go on to say take the cheap route every time you decide to take a trip, go out to dinner, or even when you go shopping. Of course everyone deserves to indulge themselves as well as their family every now and then, however, it is extremely important to choose your indulgences wisely.
Lala Lesson Learned 2: Choose your short-term and long-term investments wisely.
While acquiring and maintaining a career in the hospitality industry was truly based on mere intuition, I can honestly say that it was one of the wisest decisions my wife and I have ever made. We invested in something firm, stable, and reliable.
When making decisions as to where to spend money, or when making long-term investments, it is often wise to weigh the pros and cons. Take some type to do a little research in order to gain some insight as to what the investment will entail, how much it will cost on the front end, as well as how long it will take to see a return in profit.
Lala Lesson Learned 3: Think before spending: Money does NOT grow on trees!
Once having children my aim was like any other father; to provide my family with all they needed to be sustainable in life. Farida and I worked hard to feed our children, put clothes on their back, and provide them with an education, all the while, reminding them of who their parents were, and where they came from. Even as we reached a comfortable monetary level, we never let our children take it for granted.
Even though the United States is suffering from a major economic recession, we are still surrounded by the need to keep up with the latest trends and staying up to speed with the latest technology. The biggest and most important lesson to carry on from generation to generation, especially in such economic times we are living in is that what can be here today, can be gone tomorrow. Let your family know where all of you as a unit stand monetarily. Similar to lesson number one, instill your family members, young and old, to truly appreciate the value of a dollar. By doing so you and your loved ones will think long and hard the next time it comes to unnecessarily spending money.
Lala Lesson Learned 4: Establish a good credit score.
The first time my daughter got a credit card in the mail, she thought she was in heaven. It did not take her long to realize that because she had no prior credit, her limit was less than $500. This allowed her to only spend reasonable amounts of money, which she could pay off in a timely manner. By doing so, she was able to establish and build upon her credit.
Credit cards can truly make you or break you. Establishing a good credit score is hard, and maintaining it is even harder. Each time you apply for a credit card, miss a credit card payment, or pay a bill after the deadline, your credit takes a hit. It’s always easy to swipe that magical plastic card, and wait for the bill to come a few weeks later. It’s even easier to get carried away with the swiping. Try sticking with only one ore two credit cards, and paying your bills on time. Maintaining a good credit line will enable you to plan for the future and take out loans for investments, i.e., buying a car, buying a house, or investing in a business.
Lala Lesson Learned 5: Save, Save, Save.
When Farida and I moved to the United States, we only had a few dollars to our name. We worked long hours to barely keep our lights on; genuinely feeling self-sufficient and cherishing the moments when we realized we had money left after the bills had been paid.
Put a certain portion of your paycheck into savings every two weeks, no matter how little the amount. If you put in $50.00 a month into savings, by the end of the year you will have saved at least $600.00, plus interest!"