How To Get Rich

1. Stop Overspending

If you’re constantly spending beyond your means, you have virtually no chance to become rich. Blowing all of your money every month, then resorting to using credit cards to cover expenses, is a sure way to always be broke. Instead, track where your money goes every month, create a budget that allows you to pay your bills, invest for retirement and establish an emergency fund.

2. Start Saving Enough

The personal savings percentage in the United States is a sad 4.9% of disposable income. If you want to become wealthy saving must become a priority. Start with an emergency account. When your emergency account is substantial you can begin saving for goals like purchasing a home or paying for education for children.

3. Eradicate Your Debt

Debt is the number one reason most people aren’t able to save for retirement and other goals. Put a debt elimination plan together and begin chipping away at it. Payoff the highest interest debt first.  As you pay off one debt, apply the money going to that debt to another debt to accelerate your debt reduction. The mental freedom from being debt free can’t be overstated. Playing the “keeping up with the Joneses” game is one you can’t ever win, it leads to stress and having to work well past the time you have the energy for.

4. Develop a Financial Independence Plan

Without a clearly defined plan, becoming rich will always be an unattainable dream. Putting together a plan that you actually follow will stop you from excusing overspending and not investing. “Those who fail to plan…plan to fail.” Procrastination regarding putting together a plan and implementing that plan is one of the top reasons people don’t accomplish their financial goals in life. Stop procrastinating and get busy planning and implementing your plan or you’ll regret it later in life.
5. Self-Develop Your Financial Acumen

Most people struggle financially because they simply don’t know what to do or how to manage and get the most out of the money they earn. Ignorance regarding money and how to capitalize on whatever amount you earn is ridiculous with all of the information available (to anyone who is motivated to acquire it). As in all endeavors, raising one’s awareness is the key to making one’s journey easier and faster so get off your assets and get it done!

Hector LaMarque