Balancing Financial security and Bitcoin Accumulation

[Ngozi26]

In a large number of traditional investments there are needs to build up capital prior to being able to invest in them, and surely bitcoin allows very small amounts of purchases - depending on the source.  There might be some exchanges that have $5 to $10 minimums, and there also might be private persons who buy/sell bitcoin directly, and they might have minimums that are several hundred dollars.

At the same time, poor people might need to consider fees, to the extent that fees might exist, so there could be some circumstances that they are better off to wait until they have built up a certain amount of cash before using it to buy bitcoin, whether that is $5, $10, $50 or some other amount, yet those are not products of bitcoin, but instead likely rules that third parties may well have created in order to use their service.  Sometimes shopping around and learning more about fees can help to identify possible sources that have lower transaction fees.

Another thing is that the fees of the blockchain tend to be different from fees of third parties, and even there can be instances in which using something like the bitcoin lightning network could be a more economical way to buy and/or sell bitcoin.

Surely exchanging goods and services for bitcoin, could also be a good way to either obtain bitcoin or to spend bitcoin.

We can buy Bitcoin in the same way that fees can be reduced when buying Bitcoin. We would really benefit if Bitcoin could be purchased or spent in exchange for a product or service, but hopefully one day there will be a system where Bitcoin will be used in every case.

That is not true.  Sure the discretionary funds came from somewhere, but they do not need to continue to flow or to come from some source that is continuing in order to be available to a person at any given time.

Let's say that a person just finds out about bitcoin, and so then they make an assessment of how much money they currently have, and various assets that they might already own.

Such person does not have to have a current job or future income that is known in order to assess if he has enough money to buy some bitcoin, whether that is $100, or $10 or some other amount.

Let's say, for example, that a person finds out about bitcoin, and they make a general assessment of their financial status and they determine that they have right around $10k that is available.. and maybe half of that (around $5k) in cash.
Their monthly expenses are around $1,500, so between their cash and the other assets that they have, they consider that they could live at their current expense level for nearly 7 months.

Does it matter from where they got the money (assets)?  Does it matter if they have a job within the next month or two?  Sure some folks might consider it to be reckless to invest in bitcoin if future income is not known, but this hypothetical person could easily decide to invest $100 per week into bitcoin for the next 6 weeks, and then maybe to look for a job starting in 6 weeks.  Even if someone has a job in which they were making $2,500 per month for the past 10 years, they are not necessarily guaranteed to have that income in the next month.  Sure, they might be able to presume that it is likely that they are going to continue to be able to earn the same income for the next 6 months, but it is not necessarily guaranteed that they can, merely based on their own personal history or whatever other factors that they might be considering that gives them assurance of their future income.

We need to invest based on our income and expenses. If we consider the money we have, we can invest something every week from there and in addition, we can find a job to increase our income and when our income increases, we can also increase our investment. I think I have five thousand or ten thousand dollars, I can easily spend a year with these, yes, of course I can spend them, but if I use some of the money from there to invest Bitcoin and then find a job and increase my income, then this will be the wisest thing to do. I want to continue investing if I have money rather than refraining from investing. Many of us may think that we will invest later, your money can be spent in various ways.  So if I have $500 today, I can invest $100 from that and spend the remaining $400 and prepare to earn more later.

No you don't.

You might need income to sustain your investment or to continue to live, yet income is not the ONLY thing that is available for a person to assess.. which they can assess their current assets and their current cash on hand that may or may not related to their past income, and surely it does not necessarily relate to whether or not they are going to have a future income.

Investment definitely requires income, but that income may not be consistent. You may be investing consistently from your previous income now. The income you are earning today may not be the same in the future. So a person's wealth cannot be considered by looking at his current income.

That is not true.  I am not going to repeat what I already said above.  You should be able to differentiate between income and assets/currency on hand.

Of course, being able to differentiate between income and wealth is also a sign of intelligence. Income seems to be the source from which money comes continuously and wealth is what you already have or had. We can invest income and wealth from both places.

You sound confused.

There is also a difference between discretionary income and discretionary funds .. .the first one relates to income and the next one relates to what a person currently has available to him whether or not he had a past income or a future income.

Yes, I also see the difference between discretionary income and prudent funds. By discretionary income, I mean if my monthly income is $500, if I spend $400 from that, what is left is my discretionary income. And prudent funds are a certain amount of money that I can use for investment or for any other purpose.

[Xackie]

Don't be retarded.  There is no reason to fuck around with other investments and dilute your bitcoin investment.  If the guy has $1k per month discretionary income, how are you going to suggest he divides it?  He does not have much to work with and you want to further dilute it to invest in some stupid shit for the mere sake of diversifying.  You sound retarded.  Maybe you can explain how you expect the guy from the example to divide up his $1k per month discretionary income?

For me I feel that diversification shouldn't be something we should care about, especially when someone is at the early or mid stage of their accumulation. Yes diversifying is also good but it should be done when we feel that we have over accumulated Bitcoin maybe after 5 -6 years of weekly or monthly accumulation. Then yes , the option of diversifying can look logical. Or when they have a very huge capital. If someone has limited like 1k per month as his discretionary income, they should just focus on accumulating Bitcoin alone instead of spreading it around on other stuffs. So they will be able to accumulate enough Bitcoin with that $1k per month.

[I_Anime]

If you don't have a discretionary income take some time to start investing in Bitcoin. Wait or try to create a regular source of income. Discretionary income will flow from there. Without a consistent discretionary income flow there is a possibility of losing money on your investment. It is better to be a little flexible and try to make positive changes to your financial situation than to create losses or risks. To reduce the risk of investing in Bitcoin attach a long-term investment strategy through discretionary income.

I agree with you, if we don't have discretionary income it is important that we get a job because without securing one it would be difficult to have discretionary income to invest continuously. An investor need to have a job or a source of income very important because it would support his ongoing bitcoin accumulation and how consistent he accumulate would enable him reach over accumulation. My point is evennif we have discretionary income, we still need a source of income to figure out more discretionary income and support our bitcoin accumulation. . .

The prerequisite for Bitcoin investment is a source of income through which you can continue to invest continuously. The poor are discouraged from investing in Bitcoin and are advised to wait until they have a steady stream of discretionary income. By ignoring the fundamentals of long-term investing, you will be able to cover very little distance. It will often create risky situations because your main ingredient is missing. Spend time improving your financial situation and try to improve your luck through skill.

It may be difficult for a poor investor to reach the level of excess savings but not impossible if he can generate a steady stream of discretionary income. As well as increasing the flow of cash funds or the amount of funds to do aggressive DCA in the price fall season.

What that is actually needed to get started with your bitcoin investment is your discretionary income and not your source of income, i know of people who has a source of income but doesn't have a discretionary income to get started with, investing in doesn't mean we should have first have a steady source of income before we can go ahead with our bitcoin investment but we can start buying and be thinking on now to increase what gives us money so we can also be investing with a better discretionary income.
A poor person can still get to his accumulation target but it's only going to take him more years because he can actually be accumulating bitcoin gradually using the DCA strategy either accumulating regularly every weeks or months and continue to hodl.

Yes, you are right that we need discretionary income to start Bitcoin, having a source of income is not mandatory..I support this, but if I look at the matter in a more structured way, I can probably explain it more clearly..Having a source of income and having investable money are not the same thing. Many of us have a regular income, but due to debts, family responsibilities and daily expenses, we don't really have anything like savings. Then there are also many of us who have irregular income but can keep a small surplus by controlling our expenses. So the real issue is our cash flow management.

One can start investing in bitcoin without any solid source of income . The money we use to invest are refers to as discretionary income, amount left after handling your expenses. In some cases maybe a student who still stay under his guidance roof to have any source of income , but do have allowances from his guidance to sort out some bill , so he can literally choose to buy bitcoin without any solid some amount from the money after taken care of necessary expenses, the left overs which are the discretionary income will be there for him to decide what to do with the money , so those into bitcoin investment can use it to buy some portion of Bitcoin.

[cocadalcan]

One can start investing in bitcoin without any solid source of income . The money we use to invest are refers to as discretionary income, amount left after handling your expenses. In some cases maybe a student who still stay under his guidance roof to have any source of income , but do have allowances from his guidance to sort out some bill , so he can literally choose to buy bitcoin without any solid some amount from the money after taken care of necessary expenses, the left overs which are the discretionary income will be there for him to decide what to do with the money , so those into bitcoin investment can use it to buy some portion of Bitcoin.

It is a brilliant idea that an investor who does not have discretionary income can start accumulating Bitcoin with the available funds. But I am confused about whether they will be able to do it regularly.
But I am also thinking that students who are learning about Bitcoin at a beginner level and want to become Bitcoin holders can save money from session fees and start accumulating Bitcoin. Or they can accumulate Bitcoin from the money they get from their parents.
This will create a convenient situation because a student is accumulating Bitcoin regularly at a beginner level and when he is able to earn, he can start accumulating more Bitcoin and reach the overaccumulation level before taking on family responsibilities. This will be attractive for an investor who is holding Bitcoin and learning about the market before he is able to earn.

[Tonimez]

One can start investing in bitcoin without any solid source of income . The money we use to invest are refers to as discretionary income, amount left after handling your expenses. In some cases maybe a student who still stay under his guidance roof to have any source of income , but do have allowances from his guidance to sort out some bill , so he can literally choose to buy bitcoin without any solid some amount from the money after taken care of necessary expenses, the left overs which are the discretionary income will be there for him to decide what to do with the money , so those into bitcoin investment can use it to buy some portion of Bitcoin.

It is a brilliant idea that an investor who does not have discretionary income can start accumulating Bitcoin with the available funds. But I am confused about whether they will be able to do it regularly.

It seems you don't really understand the meaning of a Discretionary income. The first step to investing in bitcoin is having an available discretionary income at hand. There's no point investing outside your a Discretionary income because responsibilities will definitely becon on the funds and could push you into selling it off any moment to sort out the basic responsibilities.

A Discretionary income is the amount of money which you have after taking care of your basic needs which you will not need anytime soon. This amount of money is the money that you can then invest a percentage of it in bitcoin in order to be able to leave the bitcoin for a long-term. As a beginner in bitcoin, you must learn to be disciplined and invest with only your discretionary income no matter the market opportunity you feel is available. So it's a wrong idea to invest in bitcoin beyond your financial capacity in order not to sell off your bitcoin sooner than you would have loved to.

But I am also thinking that students who are learning about Bitcoin at a beginner level and want to become Bitcoin holders can save money from session fees and start accumulating Bitcoin. Or they can accumulate Bitcoin from the money they get from their parents.
This will create a convenient situation because a student is accumulating Bitcoin regularly at a beginner level and when he is able to earn, he can start accumulating more Bitcoin and reach the overaccumulation level before taking on family responsibilities. This will be attractive for an investor who is holding Bitcoin and learning about the market before he is able to earn

A student who is still understanding parental care can also source a Discretionary income from his upkeep money which could be coming weekly or monthly. A student who is on a regular $100 weekly or monthly maintenance allowance can  choose to calculate his basic expenditure within the period and sums it up. Whatever is left afterwards, makes up his Discretionary income with which he can remove a part as backup funds, another part as emergency funds and another part; no matter how little, as his investment funds. This goes a long way to give him the opportunity to invest in bitcoin at his own will while also maintain his student's lifestyle before he receives his next allowance from his parents: but he must invest within his means and also ready to HODL for a long time say beyond his school days until he gets a job and continues his accumulation.

[POPOLUV]

For beginners, setting up a regular DCA once a week or more can be more effective. Planning for dips can take a lot of time and energy, which may or may not happen at all, and many beginners don’t have much extra money, so it makes sense to buy regularly instead of dividing the funds and holding onto money. Many people are drawn to buying dips but this can reduce the focus on regular, consistent, and even aggressive buying. Aggressive buying should be based on strong financial conditions, not on the idea of ​​BTC price fluctuations. Buying dips can feel good, but I am not a fan of changing buying behavior or aggressiveness based on the idea of ​​BTC price moving up, down, or sideways.

I don't really think that keeps an amount to buy aggressively during the dip should be an issue if you are really setting aside a reserve funds from your discretionary income, because that reserve funds is what is needed to buy aggressively when their is a dip in the market. You don't have to make it tedious or do it in a way that it will affect your accumulation or your financial state, just a little percentage of your discretionary income consistently will be enough to make it happen.

To be frankly speaking with you on the fact of keeping some reserve funds incase if  the DIP finally happen, i want you understand the fact that once  you are consistency with buying and accumulating Bitcoin daily, weekly or monthly and with your level of consistency in buying and accumulating you don't need to reserve funds for any DIP because your consistency buying have cover  the fact of any DIP that might arise anytime in market, so i don't encourage the fact of reserve any funds just for DIP that no one knows when it will finally happen, i will advise that you should channel the strength of waiting for the DIP that will not  happen anytime soon, and focus on buying consistently with DCA strategy which allows you to buy Bitcoin gradually by gradually and see the benefits of buying constantly when the DIP finally happen.

[Cgrexp]

One can start investing in bitcoin without any solid source of income . The money we use to invest are refers to as discretionary income, amount left after handling your expenses. In some cases maybe a student who still stay under his guidance roof to have any source of income , but do have allowances from his guidance to sort out some bill , so he can literally choose to buy bitcoin without any solid some amount from the money after taken care of necessary expenses, the left overs which are the discretionary income will be there for him to decide what to do with the money , so those into bitcoin investment can use it to buy some portion of Bitcoin.

It is a brilliant idea that an investor who does not have discretionary income can start accumulating Bitcoin with the available funds. But I am confused about whether they will be able to do it regularly.
But I am also thinking that students who are learning about Bitcoin at a beginner level and want to become Bitcoin holders can save money from session fees and start accumulating Bitcoin. Or they can accumulate Bitcoin from the money they get from their parents.
This will create a convenient situation because a student is accumulating Bitcoin regularly at a beginner level and when he is able to earn, he can start accumulating more Bitcoin and reach the overaccumulation level before taking on family responsibilities. This will be attractive for an investor who is holding Bitcoin and learning about the market before he is able to earn.

Bitcoin investment is a completely personal matter. Excessive investment can be stressful. Therefore, if someone is completely new or wants to invest in the future, they can create a management habit or system and practice investing step by step. In this case, if the family bears the expenses, they may not have the experience of managing their own expenses, so the dependence on the family or not will affect the investment decision. Therefore, it is important to plan their finances and learn and write them down. It is necessary to be able to plan the flow for at least three to six months or 12 to 18 months. This will create a clearer idea of future expenses and investments. Most adults should have basic financial knowledge, so it is necessary to learn and practice. Mistakes can be made, but learning from mistakes and limitations create opportunities. It is important to spend some time a week learning and practicing financial matters in addition to education or employment. Regular learning and planning based on your own experience are the keys to success. Step by step, based on your financial situation, experience and future plans before making investment decisions, is a safe and sustainable way.

[Merit.s]

Bitcoin investment is a completely personal matter. Excessive investment can be stressful. Therefore, if someone is completely new or wants to invest in the future, they can create a management habit or system and practice investing step by step. In this case, if the family bears the expenses, they may not have the experience of managing their own expenses, so the dependence on the family or not will affect the investment decision. Therefore, it is important to plan their finances and learn and write them down. It is necessary to be able to plan the flow for at least three to six months or 12 to 18 months. This will create a clearer idea of future expenses and investments. Most adults should have basic financial knowledge, so it is necessary to learn and practice. Mistakes can be made, but learning from mistakes and limitations create opportunities. It is important to spend some time a week learning and practicing financial matters in addition to education or employment. Regular learning and planning based on your own experience are the keys to success. Step by step, based on your financial situation, experience and future plans before making investment decisions, is a safe and sustainable way.

To get started with you bitcoin investment as a brand new investor, you don't need extra time to start studying or monitoring your expenses before you get started neither do you need to financial management knowledge to get started. Just get started with the basic knowledge and your discretionary income. However, when you have started you can try to understand your cash inflow and have how to manage it properly.

We are on a long-term bitcoin investment goal, this gives you enough time to learn more about bitcoin, your cash inflow management and increase your income. One thing that you should know is that your monthly expenses cannot be the same all the time, it will vary sometime from month to month and that's also going to affect your discretionary income.

[AuchanX]

Don't be retarded.  There is no reason to fuck around with other investments and dilute your bitcoin investment.  If the guy has $1k per month discretionary income, how are you going to suggest he divides it?  He does not have much to work with and you want to further dilute it to invest in some stupid shit for the mere sake of diversifying.  You sound retarded.  Maybe you can explain how you expect the guy from the example to divide up his $1k per month discretionary income?

If someone has limited like 1k per month as his discretionary income, they should just focus on accumulating Bitcoin alone instead of spreading it around on other stuffs. So they will be able to accumulate enough Bitcoin with that $1k per month.

If we have $1k of discretionary income, investing in Bitcoin is not a bad idea. Rather, it will strengthen our future security. But we also need to think about whether our emergency fund and financial security are guaranteed. Because if we do not have an emergency fund or other fund reserves, then in addition to investing from $1k, we should also build an emergency fund and reserve fund, even if it is a small amount. Then our financial security will be guaranteed along with our investment. And we will be able to move forward with discipline and consistency in investing. And we will not have to face losses such as selling at a low price even if an emergency situation arises during a low price.

[Obulis]

[edited out]

I think it is necessary to look at the matter in a balanced way. Before starting Bitcoin accumulation, it is more important than whether there is income or not, but how disciplined your personal financial plan is.
First, buying Bitcoin out of savings alone without an emergency fund is risky. At least 3-6 months of daily expenses should be set aside. Because Bitcoin's volatility is real, and if necessary, you have to sell at a loss, the entire DCA strategy will break down.

You do not need to establish back up funds of 3-6 months before you can get started.  You can start right away and build your back up funds at the same time. Start from where you are at and get started.  Sure, if you have an income of $2,500 for the month, and your expenses are $1,500 then you have $1k to get started.. you could put half into back up funds and half into bitcoin... or you could put $333 into bitcoin $333 into back up funds and have the other $333 for discretionary consumption.

After 10 months of the same thing, then you would have had invested $3,333 into bitcoin, $3,333 into your back up funds (which is 2.22 months of expenses) and $3,333 into discretionary consumption.  Guys have to figure out their balance based on their income/expenses situation.. but tends to be better to get the fuck started as soon as possible rather than diddly daddlying around.. and the main requirememnts to get started are discretionary funds and common sense... the rest can be learned as they go.

Some waiting are very similar to waiting for the dip which can be disadvantageous. Waiting to establish back up funds first before starting Bitcoin accumulation journey is unnecessary because a lot can be grab along the go just like many people that what they know now about Bitcoin unraveled on the go not gathered before making a go. Bitcoin investment is not like a degree where you must complete your studies before acquisition of certificate. In Bitcoin studies, you keep gathering Bitcoin while learning.
Back up funds can happen while accumulation journey is activated, back up funds is still part of what can happen on the go so no need of waiting to figure it out first before starting.

[Tongley]

Don't be retarded.  There is no reason to fuck around with other investments and dilute your bitcoin investment.  If the guy has $1k per month discretionary income, how are you going to suggest he divides it?  He does not have much to work with and you want to further dilute it to invest in some stupid shit for the mere sake of diversifying.  You sound retarded.  Maybe you can explain how you expect the guy from the example to divide up his $1k per month discretionary income?

If someone has limited like 1k per month as his discretionary income, they should just focus on accumulating Bitcoin alone instead of spreading it around on other stuffs. So they will be able to accumulate enough Bitcoin with that $1k per month.

If we have $1k of discretionary income, investing in Bitcoin is not a bad idea. Rather, it will strengthen our future security. But we also need to think about whether our emergency fund and financial security are guaranteed. Because if we do not have an emergency fund or other fund reserves, then in addition to investing from $1k, we should also build an emergency fund and reserve fund, even if it is a small amount. Then our financial security will be guaranteed along with our investment. And we will be able to move forward with discipline and consistency in investing. And we will not have to face losses such as selling at a low price even if an emergency situation arises during a low price.

If a person is able to find $100 of discretionary income, they can invest. We don't need a lot of discretionary income to invest, even if we have a small amount of discretionary income, we can invest. We can divide this discretionary income into 3 levels. For example, we can invest 25%, we can keep 20% for creating an emergency fund and the remaining 55% we can keep in our cash or in the bank. The reason for keeping 55% in the bank or in cash is that the Bitcoin market is very volatile. Even if you are able to hold it for the long term, there is no certainty that you will be able to make a profit, so it is very good to keep some money in a less risky place for your future. Or it would be better to make a percentage of investment depending on your, each person's financial situation.

[Hardyrobust]

[edited out]

I think it is necessary to look at the matter in a balanced way. Before starting Bitcoin accumulation, it is more important than whether there is income or not, but how disciplined your personal financial plan is.
First, buying Bitcoin out of savings alone without an emergency fund is risky. At least 3-6 months of daily expenses should be set aside. Because Bitcoin's volatility is real, and if necessary, you have to sell at a loss, the entire DCA strategy will break down.

You do not need to establish back up funds of 3-6 months before you can get started.  You can start right away and build your back up funds at the same time. Start from where you are at and get started.  Sure, if you have an income of $2,500 for the month, and your expenses are $1,500 then you have $1k to get started.. you could put half into back up funds and half into bitcoin... or you could put $333 into bitcoin $333 into back up funds and have the other $333 for discretionary consumption.

After 10 months of the same thing, then you would have had invested $3,333 into bitcoin, $3,333 into your back up funds (which is 2.22 months of expenses) and $3,333 into discretionary consumption.  Guys have to figure out their balance based on their income/expenses situation.. but tends to be better to get the fuck started as soon as possible rather than diddly daddlying around.. and the main requirememnts to get started are discretionary funds and common sense... the rest can be learned as they go.

Some waiting are very similar to waiting for the dip which can be disadvantageous. Waiting to establish back up funds first before starting Bitcoin accumulation journey is unnecessary because a lot can be grab along the go just like many people that what they know now about Bitcoin unraveled on the go not gathered before making a go. Bitcoin investment is not like a degree where you must complete your studies before acquisition of certificate. In Bitcoin studies, you keep gathering Bitcoin while learning.
Back up funds can happen while accumulation journey is activated, back up funds is still part of what can happen on the go so no need of waiting to figure it out first before starting.

Yes waiting to build up backup funds before starting to buy bitcoin is definitely a waste of opportunity as there is chances of missing out markets opportunities. One funny thing is that , it is possible to be buying bitcoin and at the same while working on establishing a backup funds. An investor can decide to invest 50 to 60% of there discretionary income into bitcoin with the remaining percentage being used for backup funds.

[Yablee0]

If a person is able to find $100 of discretionary income, they can invest. We don't need a lot of discretionary income to invest, even if we have a small amount of discretionary income, we can invest. We can divide this discretionary income into 3 levels. For example, we can invest 25%, we can keep 20% for creating an emergency fund and the remaining 55% we can keep in our cash or in the bank. The reason for keeping 55% in the bank or in cash is that the Bitcoin market is very volatile. Even if you are able to hold it for the long term, there is no certainty that you will be able to make a profit, so it is very good to keep some money in a less risky place for your future. Or it would be better to make a percentage of investment depending on your, each person's financial situation.

You don't really need a specific amount of discretionary funds before starting up a Bitcoin investment journey all you need is just a personal decisions in making the positive step ahead and every other things will come later. However bitcoin investment is not a die hard investment plan that will requires you of breaking the banks  before you can invest, just have something tangible that can be given you money on a daily, weekly or monthly basis to suite you out of your daily expenses, perhaps the moment you are able to figure out your discretionary funds from that your pay despite how small it is you are good to go.

Then along the line of your investment journey you can be topping up your investment portfolio at your convenience either by using the DCA method or buy the dip, but the underlining fact still remains that Bitcoin investment isn't just limited to only the rich folks thus the average person's can still invest in it.

[liasbaa]

Don't be retarded.  There is no reason to fuck around with other investments and dilute your bitcoin investment.  If the guy has $1k per month discretionary income, how are you going to suggest he divides it?  He does not have much to work with and you want to further dilute it to invest in some stupid shit for the mere sake of diversifying.  You sound retarded.  Maybe you can explain how you expect the guy from the example to divide up his $1k per month discretionary income?

If someone has limited like 1k per month as his discretionary income, they should just focus on accumulating Bitcoin alone instead of spreading it around on other stuffs. So they will be able to accumulate enough Bitcoin with that $1k per month.

If we have $1k of discretionary income, investing in Bitcoin is not a bad idea. Rather, it will strengthen our future security. But we also need to think about whether our emergency fund and financial security are guaranteed. Because if we do not have an emergency fund or other fund reserves, then in addition to investing from $1k, we should also build an emergency fund and reserve fund, even if it is a small amount. Then our financial security will be guaranteed along with our investment. And we will be able to move forward with discipline and consistency in investing. And we will not have to face losses such as selling at a low price even if an emergency situation arises during a low price.

If a person is able to find $100 of discretionary income, they can invest. We don't need a lot of discretionary income to invest, even if we have a small amount of discretionary income, we can invest. We can divide this discretionary income into 3 levels. For example, we can invest 25%, we can keep 20% for creating an emergency fund and the remaining 55% we can keep in our cash or in the bank. The reason for keeping 55% in the bank or in cash is that the Bitcoin market is very volatile. Even if you are able to hold it for the long term, there is no certainty that you will be able to make a profit, so it is very good to keep some money in a less risky place for your future. Or it would be better to make a percentage of investment depending on your, each person's financial situation.

If a person has a discretionary income of $100 a week, he can take his Bitcoin accumulation to a great position. Because if you manage your Bitcoin accumulation in such a way that you can build a good quality Bitcoin portfolio in a 4-year cycle. You have assumed a Bitcoin investment of 25%. Okay, it would be better to do fund management as per your advice in the initial stage of investment. I also agree with 20% for emergency fund but regarding the cash fund of 55%, you have to consider that it would be more correct to increase the amount of Bitcoin accumulation than to monetize it. Although you can consider this reserve fund as an aggressive buying during a price drop, it would be correct. If the emergency fund amount is sufficient for 3 months of family expenses at one stage of Bitcoin accumulation, you can keep that percentage for Bitcoin. If the reserve fund amount reaches a satisfactory level at any stage, you can also allocate that fund for Bitcoin accumulation. Ultimately, to reach a long term accumulate level, you can allocate 80% of your discretionary income to Bitcoin accumulation. This will balancing over time.

[Merit.s]

If a person is able to find $100 of discretionary income, they can invest. We don't need a lot of discretionary income to invest, even if we have a small amount of discretionary income, we can invest. We can divide this discretionary income into 3 levels. For example, we can invest 25%, we can keep 20% for creating an emergency fund and the remaining 55% we can keep in our cash or in the bank. The reason for keeping 55% in the bank or in cash is that the Bitcoin market is very volatile. Even if you are able to hold it for the long term, there is no certainty that you will be able to make a profit, so it is very good to keep some money in a less risky place for your future. Or it would be better to make a percentage of investment depending on your, each person's financial situation.

It's not a good decision to invest into bitcoin in a wimpish way when you can accumulate with more than that amount. What's the need of putting 25% into bitcoin and keep 55% cash in the bank for the future. Don't you know that fiat loses its purchasing power overtime and your money in the bank will worth little in future.

This is why you should give your bitcoin investment the number one priority not keeping fiat  account the bank because it's a store of value overtime and a hedge against inflation. This is the difference between a rich man and a poor man. A rich man puts his money into investments to preserve and increase his wealth but a poor man keeps his money in the bank claiming to rich of fiat, he will become poor in future.

Why not put 50% into bitcoin 35% into your emergency funds and 15% for discretionary consumption.

[Olatundespo]

Don't be retarded.  There is no reason to fuck around with other investments and dilute your bitcoin investment.  If the guy has $1k per month discretionary income, how are you going to suggest he divides it?  He does not have much to work with and you want to further dilute it to invest in some stupid shit for the mere sake of diversifying.  You sound retarded.  Maybe you can explain how you expect the guy from the example to divide up his $1k per month discretionary income?

If someone has limited like 1k per month as his discretionary income, they should just focus on accumulating Bitcoin alone instead of spreading it around on other stuffs. So they will be able to accumulate enough Bitcoin with that $1k per month.

If we have $1k of discretionary income, investing in Bitcoin is not a bad idea. Rather, it will strengthen our future security. But we also need to think about whether our emergency fund and financial security are guaranteed. Because if we do not have an emergency fund or other fund reserves, then in addition to investing from $1k, we should also build an emergency fund and reserve fund, even if it is a small amount. Then our financial security will be guaranteed along with our investment. And we will be able to move forward with discipline and consistency in investing. And we will not have to face losses such as selling at a low price even if an emergency situation arises during a low price.

If a person is able to find $100 of discretionary income, they can invest. We don't need a lot of discretionary income to invest, even if we have a small amount of discretionary income, we can invest. We can divide this discretionary income into 3 levels. For example, we can invest 25%, we can keep 20% for creating an emergency fund and the remaining 55% we can keep in our cash or in the bank. The reason for keeping 55% in the bank or in cash is that the Bitcoin market is very volatile. Even if you are able to hold it for the long term, there is no certainty that you will be able to make a profit, so it is very good to keep some money in a less risky place for your future. Or it would be better to make a percentage of investment depending on your, each person's financial situation.

The way you have divided the percentage of your fund from $100 discretionary income, you need to allocate more to Bitcoin accumulation. You are giving more importance to cash funds, which is not reasonable. If your target is to increase the amount of Bitcoin accumulation during price drop it may be reasonable but keeping 55% of your total discretionary income in cash would not be right because inflation reduces the value of your accumulated cash fund. Build a consistent and long term fund regulation to increase the amount of Bitcoin holdings and to drive long term accumulation.

You are considering keeping money in the bank or keeping cash but allocating this amount to Bitcoin would be a better decision. Allocate most of your discretionary income to Bitcoin and part to an emergency fund and part to a cash fund because this can be positive for providing financial security in the future while keeping this fund in line with the current times.

[Ngozi26]

To get started with you bitcoin investment as a brand new investor, you don't need extra time to start studying or monitoring your expenses before you get started neither do you need to financial management knowledge to get started. Just get started with the basic knowledge and your discretionary income. However, when you have started you can try to understand your cash inflow and have how to manage it properly.

We are on a long-term bitcoin investment goal, this gives you enough time to learn more about bitcoin, your cash inflow management and increase your income. One thing that you should know is that your monthly expenses cannot be the same all the time, it will vary sometime from month to month and that's also going to affect your discretionary income.

Long-term investment can be made depending on income. Yes, I also think that our expenses are not the same every month, we can reduce unnecessary expenses if we want. My goal is to see if the product I am buying will benefit me, for example, if I buy a product for $1000, is there a possibility of it increasing from $1000 to $1200? If so, I will spend $1000 there, otherwise I will reduce that expense. Sometimes our income increases, for example, if we do a job, we can get three to four bonuses and increments every year, we can invest from these funds and increase the investment if necessary. My point is that there is no benefit in keeping money at home, investing can bring profit.

[abaeze]

[edited out]

I think it is necessary to look at the matter in a balanced way. Before starting Bitcoin accumulation, it is more important than whether there is income or not, but how disciplined your personal financial plan is.
First, buying Bitcoin out of savings alone without an emergency fund is risky. At least 3-6 months of daily expenses should be set aside. Because Bitcoin's volatility is real, and if necessary, you have to sell at a loss, the entire DCA strategy will break down.

You do not need to establish back up funds of 3-6 months before you can get started.  You can start right away and build your back up funds at the same time. Start from where you are at and get started.  Sure, if you have an income of $2,500 for the month, and your expenses are $1,500 then you have $1k to get started.. you could put half into back up funds and half into bitcoin... or you could put $333 into bitcoin $333 into back up funds and have the other $333 for discretionary consumption.
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Many people wait for the perfect time to start investing in BTC, but because of wasting too much time and overthinking, they never actually begin investing. On the other hand, some people want to start investing without fully building an emergency fund. IMO, there is no need to wait until an emergency fund is completely established before starting to invest. Because delaying too much time creates fear and anxiety. As a result, investment decisions are also delayed for this group of people.

Therefore, instead of waiting until an emergency fund is completely built, it is better to start investing early so that the investment journey does not become uncertain. By doing so, we can learn and gain experience much faster while actively investing. However, after starting to invest, building a backup or emergency fund is essential because it protects our investments and supports long-term financial stability.

Eventually, creating an emergency fund while beginning investment with lower risk is the easiest, safest, and smartest way to start investing in BTC.