If I surveyed and asked the average person, do you live paycheck-to-paycheck and can use more money, obviously nearly 100% of them will say, "yes" and "yes" to both of those questions. Let's face it, you won't be able to invest unless you have the money to invest. If you're currently living beyond your means and have no additional savings to put to work for you, you'll never be able to build wealth.
Although I have no secrets or strategies to help you build wealth fast, I'll share with you, 9 Ways To Build Wealth If You Need More Money:
1) Be Careful Buying Vehicles. Not having a car note is one of the biggest victories anyone could have. Instead of car payments, it will allow you to invest into yourself, your Roth IRA, and your 401(k). But I know, there's nothing like a new car.
Some buyers are so eager to get through the car-buying process that they don't take the time to find out everything they can. For example, financing. Car loans come with ridiculous interest rates that no one should have to pay just to ride around in. Car loans are easily one of the highest-cost debts of many American households.
The bottom line is, if you have the opportunity to outright own your own vehicle and keep up its maintenance responsibilities, it'll be easier on your wallet over the long-term.
2) There Is Nothing Wrong With Renting. Not having a mortgage payment can afford you to build up your emergency fund and also save for retirement. Rentals offer far more flexibility. Buying a home typically means committing to a 30-year mortgage. Most people don't stay in a home for anywhere near that amount of time, but it's much harder to pick up and move from a home you own than it is to leave a rental.
What happens when you can't sell your home when you need to move due to a job change or another reason? That down payment you put down on purchasing the home is now not as attractive. In fact, you may have to put down another sizable down payment if you plan to purchase another home.
If you need flexibility, consider renting-even if the rent payment is higher than a comparable home with a mortgage payment.
3) Stop Buying Crap. I use to buy things just because I could afford it. And as time went buy, I usually end up with a much of stuff piled on top of each other. It wasn't necessary.
Ask yourself what do you really need and really don't need. Do you really need the newest 90-inch flat screen TV?No you don't!
4) Save A Percentage of Your Income. This is probably one of the best decisions you'll ever make in your life. The sooner you can start, the better it'll be for you in the long-run.
Very few people save a substantial amount for their future. It doesn't matter when you start, just start. The more you make the larger a percentage you can save. The point here is to make some steep sacrifices so that you can put more of your wealth toward investments that are right for you.
You are already setting your up for failure when you say you don't have any money. So, the only way to get out of this belief, is to change your mindset and believe that you can find a way to make more money
5) Work As Hard As You Can, Now. Although you may be in a boring job at the moment, do everything and more that's asked of you. Increase your work ethic and go above their expectations. That is how you get recognized. Give it everything that you've got. Treat the company that you work for as if you own it. Imagine that you're the CEO. How would you approach your daily duties differently if more was on the line?
It's really difficult to find great opportunities. I recommend that you focus on working hard. People around you will start to take notice. You will find doors of opportunity opening for you when you give your work all you have.
6) Invest In Your Education. This is another way that you might be able to make more money. This could be getting your degree, getting an MBA, or getting a specialized designation. I have seen and met many people with special talent but refuse to acquire licenses and courses to advance their careers. That's a shame! They do not realize how much money they're leaving on the table to better take care themselves and their families.
7) Invest In Yourself and Marketing Yourself. Depending on what industry you work in, you still need to invest in yourself. If you was a lawyer, would't it be a good idea to purchase some nice shirts, ties, and suits to look professional. Absolutely!
These days, we are always in the business of marketing ourselves. If you want a better paying job, you have to speak, look, and talk the part. To acquire those skills, you have to invest in yourself. It only take a few seconds to make a first impression.
8) Venture into Entrepreneurship. I know you've probably heard that most businesses fail within the first few years of operations. Yes, probably so but that ain't you! Whether you are thinking about starting an online business or growing your brick and mortar business, it all goes back to working hard.
Never give up on your dreams and the idea of working for yourself and instead - working for someone else for the rest of your life. To measure the true test of an entrepreneur, you should:
- Hate taking orders and working for someone
- Can't wait to put your business plan on paper and in action
- Have a niche market that you can control
- Have a product or service that is hardily available but can benefit people
- You can hardly sleep because you can't wait to get up in the morning and go to work
If you have been blessed with at least a few of these traits, there is a great opportunity that you could become a successful entrepreneur. And don't let no one tell you that it's a crazy idea. Give it a shot!
9) How About Investing In Real Estate. The real estate industry got clobbered in 2007 and people who owned multiple properties and had large mortgages more than likely loss significantly. But I sometimes tell people, catastrophe creates opportunities. And for the past five years or so, the real estate market has been doing quite well. As I look across the cities around the country, there seems like a lot of construction companies building new homes, office buildings, apartment complexes, etc.
Remember, real estate investing may not make you wealthy overnight, but it can increase your net worth in a shorter period than many other traditional investments. I've seen people purchase a fixer-upper home, rehabbing it, and possibly selling it for more than what they initially paid for the house. Doing this over and over again can net a significant amount of money if you do it correctly. This is what they call "house flipping."
another strategy that can help add wealth quickly through real estate is by purchasing multifamily properties that can produce a high monthly cash flow. The cash flow can be used to purchase other investments or more properties and create domino effect.
In conclusion, you're not going to build wealth fast by investing $50 to $100 per month in an investment account. It is a great long-term strategy while you're still working and generating income. And again, it is especially beneficial if you start investing very early and at 10%. Nevertheless, if you are willing to change your mindset and want to find better ways to build wealth fast such as the 9 tactics we just went over, you're well on your way to generate more money.