This is the so called ‘secret’ that everyone believes they need to become rich/wealthy. But really you just have to follow 3 simple tips to become wealthy, there’s no secret at all.
Tip 1: Pay Yourself First.
What do I mean by this, well, whenever you get paid, make sure you give yourself the money you need before you pay for other stuff. For example, lets say you get paid £2000 a month. You know you need £500 for investments and £100 for private mentoring or books/education to invest in yourself. What you do is, you pay yourself that £600 before you pay for your other costs. By doing this it prioritises your education and investments and kind of forces you to live within your means. But over the long run you’ll see this being beneficial to you as you’ll be spending less on things you don’t need and more on the things you do need i.e. education and investments. You’ll see an increase in net worth if you start doing this.
Tip 2: Increase Your Financial Intelligence
As Warren Buffet says ‘the more you learn the more you earn’ and in my opinion, financial intelligence is the most important kind of intelligence to have nowadays. If you look at the richest people in the world, it’s true, those people are some of the most financially intelligent in the world.
So what can you do to increase your financial intelligence, here are a few ideas:
- Read finance books – Rich Dad Poor Dad, Unshakeable, The Intelligent Investor
- Follow finance pages on Social Media – this website, @xelafinance instagram
- Talk to people who know about personal finance – find a mentor
- ‘Pull the trigger’ – Do something, if you don’t know much about investing, the best thing to do is just pull the trigger and give it a go.
Tip 3: Invest, Invest, Invest
This may be the most important tip of them all. Just invest. You can’t be wealthy without being an investor. You need to make sure that you invest regularly and consistently.
If you want to get started you can use the same broker that I use – trading212 – and if you use my link: http://www.trading212.com/invite/4KBCADM you will get a free stock worth up to £100.
If you’re not sure what to invest in, look at my other blog posts on this website e.g. long term investing and you’ll get an idea of what kind of assets to put your money into.
There you go, those are the 3 main tips you need to build wealth, the earlier you start the better and the longer you follow them, the wealthier you should be.
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