With so much misinformation on the internet, its hard to know where to start when it comes to finances.
I am dedicated to creating a community that follows my 6-step method to creating wealth.
No gimmicks, no bullsh*t
Just a simple plan that anyone, no matter the income, can follow in order to create an amazing financial life.
Check out the steps below.....
Build A Nest Egg
Save 10% of your income. That's it.
A common mistake that people make is trying to save as much as they can, ALL the time. This usually ends in saving nothing at all.
You NEED an emergency fund. No ifs, ands or buts. (20% of your expenses)
Remember, we are trying to build healthy financial habits. Start small. You can slowly increase after gaining some consistency.
Save 10% of your income
Do not "oversave"
It takes 66 days on avg. to create a habit
Control Your Expenses
This is where budgeting comes in.
But take a second to read how I approach budgeting differently....
Whether we like it or not... we've already built a lot of our financial habits already.(Good OR Bad)
Instead of instantly trying to create new financial habits, we should focus on altering the habits that you have ALREADY developed.
Download a budget tracker and focus on a category or 2 at a time.
Remember: We are focusing on sustainability and habit-building.
Download an expense tracker
Focus on 1 or 2 categories at a time
"How you control your time, is how you control your money."
Make Your Money Multiply
This is Part 1 of your investing journey.
Utilize investment vehicles like your 401k, IRA and other self- directed retirement accounts.( This secures your long-term financial health)
Create a plan to pay-off debt. Having unwanted debt will always hold you back financially.
Save some money and start a business. Whether its a freelance (Lawyers, Technicians, Accountants) agency, An amazon FBA store or a mobile car wash detail, it is a great choice to work on a another means of income EARLY.
Start a 401k or IRA (or both)
Start a side hustle or business
Manage your debt (Do it.. seriously)
Make Wherever You Live Profitable
DO NOT get me wrong... not everyone is in a situation to buy a house but MOST people are.
Even if you plan on relocating sometime in the future, buying a house and being able to build your net worth is HUGE when it comes to obtaining wealth.
Just the process of buying a house has huge benefits.
Experience obtaining a large asset
Maximizing your credit score
Working with an agent and navigating the different aspects of ownership.
THINK ABOUT IT THIS WAY....
Before this point you were adding 10% of your income to your net-worth... maybe another 5% if you contribute to a retirement account.
Owning a home let's you add an additional 25%-30% of your monthly income to your overall net-worth.(basically doubling your previous wealth contribution)
Work on your credit (Yeah.. you)
Let go of your financial fears
Talk to a professional about the process
Automate your businesses
Organize your estate
Ensure Your future Income!!
This is step 2 of your investing journey.
You will come to a point (if you aren't there already) where family, friends and experiences will be at the forefront of your life. At this point in your financial journey, we want to focus on things that will give as much time freedom as possible.
At this step, I will focus on automating your businesses, adding more aggressive stock market strategies to your portfolio, using your credit as a means of income(tradelines) as well as other crafts.
Hiring managers for the business
Owning companies outright
Other saving vehicles will also be essential such as college funds, setting up trusts and organizing your estate.
Increase Your Ability To Earn
The average millionaire has 7 different streams of income and by this step on your financial journey you should somewhere arms with in reach of this goal.
Remember: The more income/access to money(credit) you have, the easier it is to take advantage of investments and start different streams of income.
At this point, you are just perfecting your financial plan and pivoting as your life and goals change as well.
Whether you want to start a family or travel the world. By making the smart financial decisions now, you can ensure a successful financial future.
Managing the emotions of wealth
Goals setting as life changes
Planning for retirement