How to become rich is one of the questions we have all asked ourselves at least once in our lives.
For most people, it's just a fleeting question that they will abandon without really looking for an answer.
However, everyone can achieve financial abundance if they do it the right way.
Are you one of those who are really determined to become financially independent?
Find out how to make your fortune in 2021!
What is wealth?
To become rich, it is necessary to define what wealth is. Is it to earn more than 80% of your fellow citizens? To have 1 million euros in your bank account? To be able to live without working?
If you ask 10 people, you will surely get 10 different answers. The feeling of wealth is a very subjective notion. It is influenced by our experience, our relationship with money, our standard of living, and our aspirations.
With 3 000$ per month, a household employee will feel very rich, while a doctor or an executive would consider himself poor if he earned such a salary.
If you want to make a fortune, you have to start by defining your own goal precisely. Determine how much money you want to make and what kind of lifestyle would satisfy you. Don't try to be like everyone else. Find the answer that works for you.
Once you have a specific goal in mind, you can begin your journey to abundance. It will be easy to measure your progress as your income grows.
The paths presented in this article work regardless of your wealth goal. The only thing that will change depending on the amount is how quickly you get there. They are far from exhaustive and are intended to present solutions with proven effectiveness. Becoming rich is not easy, but it is possible and the advice given here is there to help you.
The basics of getting rich
<><>
There are several ways to become part of the circle of those who earn big money. Before choosing one of them, it is necessary to have a solid foundation. They constitute the common core of wealth to be absolutely possessed.
Having the right mindset
Before being an amount in a bank account, wealth is, first of all, a state of mind. Successful people have a different way of thinking than the rest of the population.
They have a strong belief in taking responsibility for their lives and see the world as an endless source of opportunity. They work hard to succeed and are able to make free efforts in the present to start a business that will pay off later.
All millionaires have experienced many failures and downturns. This has not stopped them from persevering and believing in their success. If you want to get rich, you need to adopt this mindset.
Change your habits
The rich don't just have a particular worldview. They also have a lifestyle based on habits that are conducive to success. To get the most out of their days, they get up early and set a precise schedule.
When they are not working, they devote themselves to useful activities such as training, reading, or playing sports rather than wasting time in front of a reality TV show or video game. They live a healthy lifestyle, exercise, eat a balanced diet, and take special care of their health. Successful people also use advanced personal development techniques to improve their lives.
Becoming wealthy involves carefully studying the habits of the wealthy and changing the way you do things to make them your own. Read biographies of people who inspire you and books written by those who have lived among the rich.
Get your finances in order
<><>
Before you can run, you have to walk. Financial success also follows this rule. To claim to manage a lot of money you must first learn to manage a little. So now is the time to clean up your finances. If you are never overdrawn, live frugally and your savings are growing every month, congratulations, you are on the right track!
If not, make a list of all your expenses and cut out the ones that aren't strictly necessary (yes, your Netflix subscription falls into that category.). Reduce the rest to the bare bones by renegotiating your contracts. If you have consumer loans, make sure you pay them off as soon as possible and refrain from taking out new ones.
To achieve financial independence, you must live within your means. Make minimalism and sobriety your lifestyle. It doesn't fit the epitome of wealth. Yet the rich are very careful about how they spend their money. If you want to be one of them, start by emulating them in this regard.
Save as much as you can
Saving is an essential pillar of wealth. If all the money you earn goes to your expenses, you're just surviving without being able to move to the next level of financial independence. You are at the bottom of the pyramid and will remain there until some of your earnings stay in your pocket.
You need to save at least 10% of your income each month. That's the minimum you need. To get real results quickly, you should aim for 20% or 30%. Whatever your savings capacity, devote two-thirds of it to paying off your debts, if you have any, and keep the rest. To keep this resolution, schedule an automatic transfer to your account on the day you receive your salary. This way, you'll be saving money without realizing it and without giving in to the temptation to spend it all.
Increase your income to invest
The key to saving money is to invest it and earn income from it. Even with the most disciplined budgeting, you're not going to be able to put away a lot of money if you have a small salary. To get ahead faster, you need to look for a way to earn more money to put aside the difference from your current paycheck. Here are some ways to do this.
Ask for a raise
Asking for a raise is a solution that few employees dare to use. Many people think that this option is reserved for executives or those who work for large companies. However, in reality, anyone can ask for a raise as soon as they have a little seniority in their company.
Don't be afraid to take this step, you have nothing to lose. As the famous saying goes: "Nothing ventured, nothing gained. "Ask for an interview with your hierarchy and prepare solid arguments to justify your request. You can highlight a specific achievement, your involvement, and seniority, or a possible diversification of the tasks inherent to your position. The idea is to show your employer the added value you bring to the company.
Develop your career
More than just a raise, it is also possible to advance your career by getting a promotion. Getting a higher position than the one you currently hold is a good way to earn more money.
Find out what opportunities exist and consider training if needed. The Personal Training Account (PTA) allows employees to take courses to enhance their careers without having to pay for them. If your current company doesn't have anything to offer you, there's nothing to stop you from looking at what's available elsewhere.
Retrain to earn more
Are there few opportunities in your professional sector? Salaries are low and you can't get yours to improve? Perhaps it's time to change direction. If you've been dreaming of doing something you haven't been able to do for a long time, or if you have a special talent that isn't being used in your current job, find out what career opportunities exist and whether you need to go back to school for a while. In today's world, it is common to have several jobs in a lifetime, so go for it!
Real estate: a sure thing in 2021
There are many investment avenues to become rich: the stock market, business loans, personal loans, commodity speculation, and many others. If we have chosen to focus on real estate in this article, it is because it is a safe investment that resists financial crises and has been building fortunes for a long time.
Classic rental
When we think of real estate investment, we think first and foremost of traditional rentals. The purchase of one, or more, homes using the leverage of bank credit is an excellent source of income. The condition for this investment to become rich is that your property must be able to finance itself.
This means that the rent paid by the tenant must be sufficient to cover the monthly loan payment as well as the various charges and taxes inherent to your purchase. Ideally, it should even be slightly higher in order to allow you a small profit.
Each project must therefore be the subject of precise calculations and a serious study to verify the viability of the project. You must make sure that there is a real rental demand for the type of property you are considering. The rent must also correspond to the market rate, otherwise, you will not find a tenant.
Starting a business: the fast track to riches
<><>
As MJ Demarco says in his book The Millionaire's Highway, starting a business is the best way to get rich quick. Of course, the best doesn't mean the easiest. Running a successful business is not easy and not everyone is cut out to be an entrepreneur. But if you have the uncanny ability to see opportunities where others don't and a thirst for independence that makes you want to break the rules and play by your own rules, you have a chance to succeed.
To figure out how to make money you have to figure out how to bring value to others. People will only pay good money for your products or services if they solve a problem or satisfy a strong need. So listen to what is said around you and to your own feelings to find the idea that others are waiting for, or improve what already exists.
Becoming a boss also means training in many areas such as accounting, taxation, law, and everything else that concerns your sector of activity. Before you can delegate to others as your business grows, you will need to be a jack-of-all-trades. This phase may seem daunting, but it is essential for your future success.
Don't hesitate to surround yourself with other budding entrepreneurs and experienced business owners. Attend specialized events, read, watch documentaries, and exchange as much as possible. This sharing of experience will allow you to avoid beginner's mistakes and will save you precious time while maintaining your motivation.
Becoming rich is still possible in 2021 for those who really want to give themselves the means to succeed. You must start by mastering the basics by adopting the mindset and habits of success. Having healthy finances and a good savings capacity is also a prerequisite. You can increase your savings by asking for a raise or a promotion. To achieve financial independence, it is essential to invest your capital wisely.
Real estate is a safe bet for this, whether it's buying a home or acquiring shares in a REIT. Many millionaires have achieved success by starting their own businesses. If you have the soul of a boss and can create value for others, go down this path as the fastest way to get ahead. It is up to you to choose the path you want to follow. The most important thing is to take the first step and the best time to do that is now!
0 Comments