Wednesday, March 16, 2011

Steps Towards Becoming Wealthy

There's nothing too involved in becoming wealthy. it's just a matter of making sound decisions daily;.

First, set your goals. Compose a basic plan which includes your current net worth and debt-to-income ratio. Then, map out a monthly budget and a plan for regular savings and investment.

Be a cautious spender. Before spending money, ask yourself: Would I rather have a fancier car? or would I rather be wealthy? :)
Bottom line is if you have extra money to invest instead of spending it, you can become rich!
Another thing is, avoid using credit cards unless you can pay off the balance quickly. The interest you're paying is the money you could be saving.

Save often. Consider part of your salary automatically deposited in your savings account each pay period, at least 10%. Then learn about investing. After you have more than enough savings to cover for emergencies and unexpected expenses, you might wanna try investing in quality stock and bonds.