Wealth-building strategies are necessary for generational wealth if you must build one! A lot of people have a misconception of wealth, believing it to be the possession of private jets, millions starched away in different bank accounts, mansions, expensive gadgets, travels, luxuries, and more. But that is not true in its entirety, though they are signs of wealth, not the actual wealth itself.
Let me ask a question if you shut down a man’s brain, will he still see? Of course not! You don’t see with your eyes, you see through them. The eyes are only a channel through which sight (images) is made possible; the brain is responsible for everything that happens around the head region of the body (or preferably the central nervous system).
So, what does that tell you? If a billionaire man loses his investments and the multibillion-dollar infrastructures he has established, is he still wealthy? Can he still get them back? If the things he lost can be duplicated again, then he is a wealthy man indeed!
What Are Wealth-Building Strategies?
Wealth-building strategies are the mental values inculcated to keep one stable financially irrespective of anything that could happen. It is putting together the principles of financial intelligence to stay on top of your game perpetually. They are the set of rules to secure you from going broke financially.
Wealth-Building Strategies The Billionaire Lifestlye
If you often wonder why billionaires maintain the status quo and even augment their net worth every single year consistently over the years, don’t think it is some abracadabra, there are principles they keep that the average human doesn’t even take into consideration. And as such, I will painstakingly take you through 19 wealth-building strategies you need to implement to accelerate financially.
1. Develop Your Mind
I have so much to say about this, I can write a whole book on this topic! The mind is the “central nervous system” of the human soul, as the brain is to the body. Whatever image you process there finds expression, in reality, that is to say, what your input matters your output.
For you to be wealthy, you must of a necessity build or develop a wealthy mindset (mentality) by the kinds of books you read, the podcasts you listen to, and your willingness to pay the price of becoming a person of value. Wealth is first created in the mind before it becomes a reality. Invest consistently in yourself and exude a superior mental disposition.
READ POST: 17+ Proven Ways To Make Money On Campus As a Student
Another way to develop your mind is to give in to consistent learning. As wise people say, when you stop learning you start dying. Develop the habit of reading consistently. Elon Musk reads a minimum of 3 books every week, Bill Gates reads 50 books a year, Divyank Thurakhia, India’s youngest billionaire, the former CEO of Media.net, reads 800 to 10,000 hours a year, Warren Buffet spends 80% of his time reading (about 500 pages a day). He said he sits in his office and reads all day! Get this, the one genuine quality noticeable in the lives of the wealthiest people dead and alive is the habit of perpetual learning and evolving.
2 Spend Your Time Wisely
I believe you have heard the popular saying that “time is money,” as short as this statement is, it carries so much meaning which interprets that time is a convertible resource that, if properly managed can produce remarkable results.
Let me break it down, if you spend the time you are supposed to watch a movie to read, what you are actually doing is converting time to value building. For instance, if you read and study the ethics of public speaking, by doing this consistently, you are trading time to become an exceptional public speaker in the long run. Now, the money comes in when your exceptional skills draw the attention of men of repute.
That is why wealthy men don’t spend too much time on frivolous activities. Is either they are in their library or doing things that add to them positively daily.
3 Set Goals And Achieve Them
Goal setting is one of the wealth-building strategies you must come to terms with. Goals keep you in check, helping you to focus on the more important things. If you must be wealthy, set clear and achievable goals.
However, one salient point you must note is don’t set ridiculous goals you know you won’t achieve, you are not competing with anybody but yourself, so don’t try to impress people instead of being sincere with your own self.
What I mean by achievable goals is seeing the possibilities of these being a reality by intentionally working on them with sincerity of purpose in mind.
4 Dream Big
Dreaming big is not “building castles in the air” or better still having the “utopia” feeling, it is the conscious positive stimulations of the mind to become extravagant in your future plans. Moreover, when you dream big, it puts you under pressure to labor strategically till you see its fulfillment.
The language of one who dreams big is, “I will build estates in my community and I’m working towards achieving that feat!” That may sound boastful, but such a decision has been registered in your unconsciousness, and the drive to make it happen to direct your focus towards making that dream come true.
5 Build Quality Relationships
So many people trivialize this statement and feel they are told to make friends with any and everybody they see, but that is not the way. Building quality relationships connotes having strategic connections with people that are in the same boat as you; you guys are going the same way.
A wise man said that if you make friends with 9 billionaires you will become the 10th billionaire. How about if you have 9 fools as friends? You decide your fate. Your association determines your allocation! Choose your companion without any apologies or emotional entanglements.
6 Be Patient
This is one of the top-secret wealth-building strategies you will need to accelerate in your journey of generational wealth. Patience is a virtue as we often say! You need patience to get to the top because this journey does not permit a smooth road at all.
Whatever income you have is enough to build wealth, you don’t need billions to make it happen, if you cannot grow the little you have, you can’t grow the big one.
7 Keep Yourself Busy (Don’t Be Lazy)
Until you get working you can’t earn a dime. Sleep is good but too much of it is bad. I learned that Africa’s richest man begins his day by 2 am, Mellody Hobson President of Ariel Investments wakes up by 4 am, Scott Adams (creator of Dilbert) wakes up by 4 am, Jeff Bezos, wakes up by 5 am, Dwayne Johnson (The Rock) wakes up by 4 am, and many other successful people in the world.
Then I begin my day by 12 am till dawn, sometimes it goes like that till evening until I kiss the bed around 5 pm, wake up by 9 pm, then begin my day again by 12 am. Make up your mind to be busy strategically doing the needful while you still have the time.
8 Avoid a Wasteful Lifestyle
Don’t purchase what you don’t need which ends up a liability. Stop trying to wear all the things in the world if you don’t have the capacity to maintain them.
Don’t rent an apartment you are paying outrageous rent that is below your means just because you want to prove a point. Don’t waste foods just because you feel you have, a wealthy mindset don’t think about waste.
9 Be Employed Or Maintain a Stable Employment
Being employed is a good start, which means you are prepared to create wealth. It can be official employment or self, it doesn’t necessarily mean that you must be an employee to someone, but that you have something doing that is bringing in money.
10 Save And Invest Wisely
Saving saves the day when the rainy day is on a rampage. When you earn, save! I have been a victim of negligence to save whatever we were earning every week, and when the rainy day came, it pounced on us so hard that it took us time to recover.
Senator Elizabeth Warren published a book in 2006 titled, “All Your Worth: The Ultimate Lifetime Money Plan” in which she explained or stated the 50/30/20 budget rule that implied thus;
- 50% of Needs
- 30% to Wants
- 20% to Savings
But from my own observation, I believe our budget priority would affect the way we live as well, then I solicit that room should be created for investment apart from just needs, wants, and general savings. In essence, you should apportion some percentages to the most important courses of your life, more like;
- 30% of Needs
- 20% to Wants
- 30% to Savings
- 20% to Investment
I would have designated 10% to miscellaneous, but that’s already included in Wants.
SEE POST: 20+ High-Income Skills For 2022 To Make a Minimum of $35,000 Every Month
11 Have Multiple Sources of Income
One of the surest wealth-building strategies to reckon with is having multiple sources (streams) of income. Ubong King (blessed memory) was the foremost Nigerian motivational speaker, business consultant, and security expert who opined that the minimum source of income for someone to have is four (4).
He consolidated his thesis on the basis of the 4 rivers that flowed in the Biblical Garden of Eden. That anyone who does not have a minimum of 4 income streams should get ready for financial loopholes. Be that as it may, having 1 stream of income is more like putting your all eggs in one basket, which is not wise for one who wants to be wealthy.
12 Be Mindful of Spending
I noticed this trait in me that whenever good money entered my hands, I would desire everything in this world. This is the temptation most young people come face to face with daily especially when good pay lands in bank accounts.
Never spend above your income. Don’t spend before saving, save before spending, and know the percentage you should exhaust, and don’t cross the line to touch the one you saved because of your unrestrained appetite for spending. Develop discipline in making sure you curb the tendencies to misbehave when you see the money.
12 Pay Yourself First
This is undoubtedly one of the most profound wealth-building strategies for business owners and employees. You must automate a system that should separate a certain percentage or amount of money that you earn into a private account you don’t have access to. By so doing, you get secured whenever a financial storm hits you.
The reason why you may not necessarily have easy access to that account is so that you can stay off spending the savings you have there. And this system can run probably for a period of 3 to 5 years.
13 Have Financial Advisors
This is so important! Financial advisors help you to manage your wealth effectively and multiply it. They suggest profitable ideas of investment and help direct your funds to the right source. They can study a specific system and tell you how rich you would rise by 50% if you make this financial decision.
14 Avoid Going Into Debts At All Cost
Debtors are constantly paying debts to free themselves from traps of indebtedness. You will never get rich by owing. I was a victim of debt and I can tell you that for free!
High debt reduces your credit score. A low credit score hampers the possibility of getting a low rate on loans and paying higher interest affects your available cash flow. You can be broke for a long time due to the consistent draining of accounts. Just free yourself from this trap if you ever want to be wealthy.
15 Build a Long-Term Wealth Plan
This is very crucial for the future. Building a long-term wealth plan is key is achieving lasting wealth over time. Don’t only settle for the now, there is more! Build a system that makes consistent cash flow possible, instead of just managing pennies when you can have more.
16 Have a Retirement Plan In Mind
While you are working for money, have it in mind that retiring early is awesome. Understand that you won’t work forever, and you mustn’t retire when you are old. Put a system in place that in 50 years to come you will still enjoy endless supplies.
A crypto trader once told me to buy 10 coins that I know will do well and store them in my trust wallet for ten years, then delete the wallet from my phone. I hope you know what that means? For instance, if I buy 1 billion SHIBs today and store them for at least 5 years, I may likely be $1 billion dollars richer.
17 Always Have a Budget
Budgeting helps you stick to the plan, except if otherwise, an adjustment occurs. Budgeting may not be easy maybe perhaps prices of things rise every day but be that as it may, it is not an excuse not to be frugal in making purchases decisions; how much you are willing to spend for an item.
18 Reinvest Your Profits
A lot of business owners understand this law of multiplication when it comes to wealth-building strategies as to increase the number of products in the marketplace for greater gains by reinvesting part of their profits (more like an auxiliary business capital to augment profitability).
For example, if you are running a superstore, and you made a profit of $3000 for a day, let’s say your capital was $2000 and you just made a profit of $1000. The law profit reinvestment would state that at least $500 (50%) of your profit can be plowed back into the business to gain more profits in return.
19 Understand Risk Management
This is the ability to forecast and evaluate financial risks identifying together to minimize or avoid its impact or effect in business and other endeavors. Risk management is essential to building long-lasting wealth because it introduces prudence when it comes to making investment decisions.
Wealth-building strategies have a 70-80% impact on a person’s financial success in life. Ignoring these wealth-building strategies is setting yourself up for a lifetime struggle. If the world’s wealthiest people would identify with every detail of these strategies, what makes you think you won’t be wealthy if you do the same?
However, if you have been doing otherwise through the years, it’s time to change that strategy and embrace what’s globally proven to be the template of financial success, and those that have followed this path have no course to regret because the result is glaring before your eyes. Don’t just admire, you can be one of them, too. See you at work!
Sharing Is Caring!