Building wealth – it’s a topic that sparks heated debate, promotes quirky “get rich quick” schemes and drives people to pursue transactions they might otherwise never consider. “Three Simple Steps To Building Wealth” may seem like a misleading title, but it isn’t. While these steps are simple to understand, they’re not easy to follow.
Basically, building wealth boils down to this: To accumulate wealth over time, you need to do three things:
- You need to make it. This means that before you can begin to save or invest, you need to have a long-term source of income that’s sufficient enough to have some left over after you’ve covered your necessities.
- You need to save it. Once you have an income that’s enough to cover your basics, you need to develop a proactive savings plan.
- You need to invest it. Once you’ve set aside a monthly savings goal, you need to invest it prudently.