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Get Rich Quick Doesn’t Exist

16 August 2010 No Comment

There is no easy way to wealth unless you’re inheriting it or you happy to win a 1 in a billion lottery ticket. For the rest of us, we can forget about any get rich quick program. They simply don’t exist. Anybody telling you otherwise is an idiot.

There are some requirements to adding to your net worth.  They typically are the following:

  1. Sacrifice
  2. Hard Work
  3. Planning

It often takes a great deal of sacrifice to build your wealth.  This sacrifice can take many forms.  For example, those of you who hold strict to your budget have to sacrifice buying certain things or maybe going out to eat as much.  Also, maybe you’re working on starting a second income stream, it means you have to sacrifice some of your free time for building your business.  Regardless, sacrifice is crucial and almost always a key component of anyone building wealth.

Secondly, hard work is often present.  If you have or know anyone who has started his or her own business from the ground up, you probably know what kind of hard work is required to do so.  It often means working much more than 40 hours a week.  For those of us who are working on projects outside our regular job, hard work is definitely present.  Working on the weekends and during nights after work is difficult but if you keep the end goal in mind, it’s do-able.

Lastly, planning is very important.  When it comes to your finances, I’d encourage you to map out and write down specific goals and plans.  For example, what date do you anticipate being debt free?  Where do you want to be in five years?  Ten years?  It’s very important to identify goals and then map out a strategy to achieve them.  In business, we all know that business plans are one of the most important first pieces that we put into place.

Positioning yourself for an increase in wealth is difficult.  It means your income needs to increasingly outpace your lifestyle – something the vast majority of people fail to do.  The reality is that most people have very little net worth if any.  Why?  Because it means making the hard choices.  Most people are more likely to go buy a new car, live in a house that is too expensive and spend all their free time watching TV and being unproductive.  It’s not wrong, but it is not a formula for improving your financial situation.

What are you doing to become more wealthy?  Are you sacrificing and working hard in any specific areas?

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