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The Secret to Building Wealth
Do you want to know the a secret? Get closer...shhhh.. The secret to building wealth is
That's it. That's the secret to becoming wealthy. It probably wasn't what you were expecting, was it? Obviously, if you spend $1 less than you earn, you probably won't get wealthy at all. You need to spend much less than you earn!
For most people this is the hardest lesson in this entire course. It sounds easy, but it's not.
In order to achieve this, financially wise people use the strategy called Paying Yourself First save before you spend any other money each month . Many people fail to save because they try the opposite strategy...save whatever is leftover at the end of the month. The problem is that nothing is left over, so they save nothing. When you prioritize saving as the most important bill, your life will be transformed.
Having a portion of your paycheck direct deposited into a savings account is a great way to begin building wealth.
Which one of those is your favorite? Maybe your favorite excuse isn't on the list. The truth is, there is really no good reason for you not to pay yourself first. Consider this a challenge to remove the excuses and begin saving and investing today.
Start Today
It's never too early to begin saving and investing. In fact, the earlier you begin saving and investing, the shorter the amount of time it will take to become wealthy!
Look at the chart below to illustrate how time is on your side, if you begin investing now. Notice that if you wait until after college and you are making a "real" salary, you have already lost $400,000. You may not currently have $1,000 or a job, but if you can, begin investing now. Let your money work for you!
| Age to begin investing | How much to invest | Value at Retirement |
| 15 | $1,000 per year | $725,000 |
| 25 | $1,000 per year | $318,000 |
| 35 | $1,000 per year | $136,000 |
| 45 | $1,000 per year | $54,000 |
