I’m often asked, “How do I build wealth Jo Anna”. Well, Wealth…a word loosely thrown around and many having their own definition. Let’s not confuse it with the word “rich”, though both require abundant mindsets, you will come across many “rich” people that are NOT wealthy.
How is that so?
When one is rich, they have money, but they’re still locked or obligated to continue generating the riches to live their lifestyle. When one is a “wealthy” individual they have the riches, but in addition to the money, they have assets and time on their side. They have less of an obligation to attend, show up, and sell their time in exchange for the money; the ultimate sacrifice made by 97% of our country’s work force daily.
I’ve had many jobs, a couple of careers and none of the so called “benefits” of any job can compare to being an entrepreneur, the requirement necessary to generating wealth.
Don’t get me wrong, education and learning is key to growth, but the traditional routes of graduating college, getting a degree for a career that will pay your worth or enough to build “wealth” no longer exists. The average doctor spends 7 years in school and makes around $150 – 200k per year. Many are in this exact predicament, frustrated, spending numerous hours, days and their lives seeking ways to get out.
The most certain way of generating wealth is by taking the greatest risk, by taking the leap of faith, aka the entrepreneur route.
I’ve broken it down to 5 simple steps to generating wealth for anyone just starting off.
The 5 steps are:
1) Self Development. I can’t emphasize the significance of this enough. It empowers you, helps you become a better person in addition allows you to help impact others.
2) Learn sales, yup, what most hate or think they dislike is the most powerful talent you can learn. Know that you are always either “selling” or being “sold to” throughout your life. Just ask your husband or wife who sold who on the marriage. Or turn to your local girl scout and try to say NO to her. Without sales, nothing that we do, or most that we experience would exist. It’s not about pushing a specific product, but more importantly knowing how to sell yourself, your expertise, and how to sell your VALUE.
3) Entrepreneur: Having a small business is part of the tax law loopholes (how to keep more of the money you make). You will never be wealthy on a W-2 job, that’s not part of the secret cocktail of how the rich get richer.
4) Assets – This is the 2nd part to the secret tax loophole cocktail…REAL ESTATE. It is the easiest and safest asset to invest in. Weather you find it yourself or you partner to be the bank with that lazy retirement fund you have. It is insured and secured by a deed of trust. You can’t say that about the stock market (here today gone tomorrow). Most do not have a retirement plan and will work until they are dead….get assets to support your long term health and financial stability. Ask me about my “7 creative ways to invest in real estate”
5) Be a leader of your money. So many of us have 401k’s or retirement plans just sitting there. Its actually $3 trillion out there relying on the stock market to …or should I say hoping the stock market gives them a retirement fund at the end. >Wishful thinking. I’m not saying you have to know everything – that is the professional’s job. However knowing where and what is happening with your money on a weekly basis is what the wealthy do and why the rich get richer.
Remember, nothing great comes easy and that your success is ultimately your responsibility. Stay committed, believe in yourself, remember your worth and never underestimate your potential. Everything you’ve ever really wanted and are willing to pay the price for, you will obtain. I believe good or bad, we are where we are today based on the decisions we made 3-5 years ago…time is of the essence.
Making it happen…to your success
Jo Anna Wright, founder of www.bottomlinewealth.net