How to Achieve Wealth
If you’re reading this article, it is likely you are interested in how to achieve wealth. Well you’ve come to the right place. Investment U has been helping millions of every day people just like you create wealth for over two decades.
Before we get into how to achieve wealth, let’s answer the question, “what is wealth?”
“Wealth is the abundance of valuable financial assets or physical possessions which can be converted into a form that can be used for transactions.”
Wealth can have a different meaning, depending on who you ask. It could refer to an abundance of time, education, possessions or luxuries. However, in its most pure form, wealth refers to something else entirely… the ability to live life on your own terms. In many ways, achieving wealth is not much different than achieving financial freedom.
Another way to define wealth is “The number of days you could survive financially if you stopped working today.” The longer you could survive without income, the wealthier you are.
So now that we’ve defined what wealth is, let’s talk about how to achieve it.
How to Achieve Wealth: 8 Ways
Oxford Club Chief Investment Expert, Alexander Green says you can achieve wealth by doing these 8 things:
- Upgrade your education or marketable skills to maximize your income.
- Live beneath your means. (When your outgo exceeds your income, your upkeep becomes your downfall.)
- Save as much as you reasonably can, while still living a balanced life.
- Invest those savings in the world’s highest-returning asset: a diversified portfolio of high-quality stocks.
- Minimize your investment costs.
- Tax-manage your portfolio to avoid the prying hands of the IRS.
- Let your money compound as long as possible.
- Try to stay married. (Not always possible, in some cases, but divorce is far more likely than a bear market to halve your portfolio.)
Hard Work and Discipline Will Get You There
Many think building wealth is unobtainable based on ones circumstances. However, contrary to popular belief, creating wealth has little to do with luck, inheritance or even large salaries. In a recent book, The Millionaire Next Door: The Surprising Secrets of America’s Wealthy, Thomas J. Stanley notes that only 20% of millionaires inherited their wealth. 80% of millionaires built their wealth from the ground up. That’s something that needs to be promoted a lot more!
Chris Hogan’s latest Everyday Millionaires book notes that “Ninety-three percent (93%) of millionaires said they got there by hard work, not big salaries.” These are everyday people — farmers, teachers, landscapers — not executives and celebrities. How to achieve wealth has more to do with education, skill, hard work, perseverance and calculated risk. Those tend to be more important factors than being born into the right family.
Start with a series of personal and professional goals such as a budget, debt elimination plan and an investment strategy. These simple tips will help you carry your wealth into and through retirement. For more information, read our article on What is Wealth Creation.
Avoid The Joneses
Many of the so-called “rich people” you see on TV are far from it. The social media and entertainment industry’s idea of wealth is a great way to squander your riches faster than the prodigal son.
Instead of focusing on what will make you happy today, focus on a much bigger goal of building wealth over a long period of time. This will not only help you develop responsible spending habits, but it will also allow your financial fortitude to grow at the same rate as your bank account. That way, when you do start to build your wealth, you will be much more equipped to be a good steward of it.
Trying to maintain a lifestyle that appears “wealthy” is, in fact, the direct opposite of how to achieve wealth. Discipline, sacrifice and a budget focused on maximizing your returns will create a stable foundation to build your wealth for years to come. Investing your money and putting it to work for you is an absolutely crucial component to wealth creation. Visit our investment opportunities section today.
How to Achieve Wealth? Start Today!
In conclusion, it is never too late to start building your wealth, no matter what your current financial situation looks like. With Investment U’s trusted experts at your side, there are no limits to how much you can grow.
If your goal is to learn how to achieve wealth, sign up for our free Investment U e-letter today and become part of a financial community founded on wealth creation. Your journey to financial freedom starts today!
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About Ben Broadwater
Ben Broadwater is the Director of Investment U. He has more than 15 years of content creation experience. He has worked and written for numerous companies in the financial publishing space, including Charles Street Research, The Oxford Club and now Investment U. When Ben isn’t busy running Investment U, you can usually find him with a pair of drumsticks or a guitar in his hand.