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12 Ways to Build a Rich Life
Follow these steps to create everlasting wealth.
**THREAD**
Follow these steps to create everlasting wealth.
**THREAD**
1. Stay out of consumer debt
Types of consumer debt to avoid:
-auto loans
-credit cards
-personal loans
Getting into debt early in your career puts a ball and chain on your financial progress.
Avoid if at all possible.
Types of consumer debt to avoid:
-auto loans
-credit cards
-personal loans
Getting into debt early in your career puts a ball and chain on your financial progress.
Avoid if at all possible.
2. Pay yourself first
This phrase gets overused and still not used enough.
It is the foundation of building wealth.
When you receive income, a portion should go straight to growing your wealth.
That means investments or paying off debt.
No exceptions.
This phrase gets overused and still not used enough.
It is the foundation of building wealth.
When you receive income, a portion should go straight to growing your wealth.
That means investments or paying off debt.
No exceptions.
3. Have a Stoic attitude
Your mindset towards money will affect every financial decision.
Being stoic about money means focusing on the big picture and on what you can control:
-work hard
-reduce expenses
-solve problems without complaining
The right mindset is everything.
Your mindset towards money will affect every financial decision.
Being stoic about money means focusing on the big picture and on what you can control:
-work hard
-reduce expenses
-solve problems without complaining
The right mindset is everything.
4. Do your own taxes
Don't outsource your taxes to an accountant. At least not right away.
The tax code is complex, but it makes sense. Once you go through a tax return a few times you will start to figure things out.
Including ways to pay fewer taxes.
Don't outsource your taxes to an accountant. At least not right away.
The tax code is complex, but it makes sense. Once you go through a tax return a few times you will start to figure things out.
Including ways to pay fewer taxes.
5. Fill up tax-advantaged accounts
There is no magic loophole.
By far, the best way to pay less in taxes is to contribute to tax-advantaged accounts. These include your:
-401k
-IRA
-HSA
Find out my favorite investing strategy here: https://gumroad.com/a/280433779/uadOl
There is no magic loophole.
By far, the best way to pay less in taxes is to contribute to tax-advantaged accounts. These include your:
-401k
-IRA
-HSA
Find out my favorite investing strategy here: https://gumroad.com/a/280433779/uadOl
6. Make a simple budget
Tracking your expenses and creating a budget is the starting point that will get you to your destination.
And it doesn't have to be complex. The simpler the better.
Hit up @finance_hipster to learn more.
Tracking your expenses and creating a budget is the starting point that will get you to your destination.
And it doesn't have to be complex. The simpler the better.
Hit up @finance_hipster to learn more.
7. Pay off debt efficiently
-Debt snowball: Pay off the smallest balance debts first
-Debt avalanche: Pay off the highest interest rate debts first
I prefer the avalanche because you will pay less interest in the end, but either method is good as long as you're consistent.
-Debt snowball: Pay off the smallest balance debts first
-Debt avalanche: Pay off the highest interest rate debts first
I prefer the avalanche because you will pay less interest in the end, but either method is good as long as you're consistent.
8. Set up an emergency fund
An emergency fund should basically be a job loss fund.
Keep the bare minimum amount to cover 2-3 months worth of expenses.
This shouldn't take too long to do. Invest the rest.
Got this idea from @markallanbovair and his incredible newsletter.
An emergency fund should basically be a job loss fund.
Keep the bare minimum amount to cover 2-3 months worth of expenses.
This shouldn't take too long to do. Invest the rest.
Got this idea from @markallanbovair and his incredible newsletter.
9. Take risks
The time to take big risks is when you're young. Why?
-You most likely don't have dependents
-You have time to recover from setbacks
-You have lots of time to learn a high-income skill
A big risk can mean a big reward.
The time to take big risks is when you're young. Why?
-You most likely don't have dependents
-You have time to recover from setbacks
-You have lots of time to learn a high-income skill
A big risk can mean a big reward.
10. Upgrade your investments, not your lifestyle
Forget the Joneses. They're broke.
When you get an increase in income, invest a big portion of it. Have fun with the rest.
I like an 80/20 split:
-80% towards your investments.
-20% towards anything you want.
Forget the Joneses. They're broke.
When you get an increase in income, invest a big portion of it. Have fun with the rest.
I like an 80/20 split:
-80% towards your investments.
-20% towards anything you want.
11. Be generous
Having the biggest pile of money isn't the goal. Making the biggest difference is.
Find an issue you're passionate about. Devote a portion of your earnings towards it.
Teaching others what you know is another way to pay it forward.
Keep providing value.
Having the biggest pile of money isn't the goal. Making the biggest difference is.
Find an issue you're passionate about. Devote a portion of your earnings towards it.
Teaching others what you know is another way to pay it forward.
Keep providing value.
12. Eat right and work out
There is no point in having money if you aren't healthy enough to enjoy it.
-Avoid sugar
-Strength train
-Eat plenty of protein
-Take daily walks outside
These are just a few habits that will keep you healthy.
My man @tyromper will guide you.
There is no point in having money if you aren't healthy enough to enjoy it.
-Avoid sugar
-Strength train
-Eat plenty of protein
-Take daily walks outside
These are just a few habits that will keep you healthy.
My man @tyromper will guide you.
Please RT the first post to share these valuable tips.
Discover more wealth-building ideas that can lead to early retirement and real financial freedom by grabbing the Big Money guide from @SteveOnSpeed below (proud affiliate): https://gumroad.com/a/930223219/FpyOY
Discover more wealth-building ideas that can lead to early retirement and real financial freedom by grabbing the Big Money guide from @SteveOnSpeed below (proud affiliate): https://gumroad.com/a/930223219/FpyOY
