Accumulating wealth takes time and effort. Wealth to me means having a decent net worth, many more assets than liabilities. Perhaps to you it means an income that you don’t have to physically work for or even money saved so that you never have to worry about paying bills again.
When you first start out on your own financially it all seems overwhelming and perhaps you might even feel it’s an impossible task to achieve real wealth for yourself, but it’s not. Anyone can accumulate wealth over time if they follow these three guidelines.
You need to have a regular income that you can rely on that will leave you enough to pay all your bills and have some left over to invest. You could also have a side income that you do that is purely for investing purposes – eg: refurbishing furniture to sell, creating and selling artworks etc.
The only way you’ll be able to accumulate wealth is if you can budget correctly and not waste your precious money on frivolous purchases when it could be contributing to your future wealth. I’m not saying put every last cent into wealth creation, I’m saying don’t waste it all and regret not saving. You have to know your wants and needs and be able to budget accordingly. Making your hard earned money work for you instead of making someone else rich is an empowering feeling!
Now you need to make this money work for you in the best way it can. Investing can be a risky business but if you diversify your investments then you’ll feel safer and will probably do better in the long run.
Contributing more to your super is an easy example for starting to build future wealth.
Starting to build a share portfolio is another. Both don’t need huge amounts of capital to begin so are in easy reach if you want to start on creating wealth.
For others it might be investing in property. Getting advice from a financial advisor is a good idea if you don’t want to go it alone.