« Cashflow, Cashflow, Cashflow! | Main | The R-Word: Recession! »

Ten Rules for Creating Wealth

A few rules I've learned about creating wealth:

Go to fullsize image

Rule # 1:   Decide what you need the money for and designate it as your goal.  (If you're working for something you want, you'll be more dedicated to it.)

Rule # 2:   It's never too late to start.  

Rule # 3:   You can always start fresh every day.  (If you didn't succeed in a venture, it was because you did something wrong.   Determine what that was and don't repeat it in your new venture - which you should force yourself to complete, without allowing your failure/poor performance to dictate your future.)
Rule # 4:  Spend less than you earn.   (It's surprsing how many of us do not do this.)
Rule # 5:  Borrow only for good debt - which means don't borrow for bad debt, unless you can profit from it anyways somehow.
Rule # 6:   Don't pay a lot to learn something from someone.   If you're taking a course, make sure the fee is reasonable or even inexpensive (<$1000 for example   If you're paying anything more than that for a course or mentoring, then you are subsidizing someone else's great business idea.)
Rule # 7:   Have a set time of day or week to work on 'getting wealthy' and stick to it.   (If you consider it a part-time job you've committed to, say every Saturday from 1:00 to 4:00 pm, then you will grow wealthy more quickly.)
Rule # 8:   Create to income streams to generate more money, then allocate that money to your investment goals.  
Rule # 9:  Understand that there are no secrets and that it doesn't work overnight.   You have to fine-tune your thinking constantly over time until it's right and until it affects your decision making all the time.  Building wealth takes time and learning how to build wealth is a process.
Rule # 10:  Remember the best advice is free!   If someone is telling you something, you only have to question their motives and understand if they are legitimate.   (If you are paying some top dollar for a course, their motive may be to help you get rich, but it also may be the $4000 you just paid them to tell you stuff you can learn from each other for free, or for small amounts.  I also once met someone who spends a lot of time counselling other investors in real estate investment, but doesn't actually own any property!   So remember to ensure legitimacy.)
Follow the rules and financial freedom will come!


TrackBack URL for this entry:

Post a comment

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)