The majority of Americans believe that in order to be considered wealthy, you need to make over six figures.
However, IRS data says that 95 percent of people earn less than $167,000 a year. To make it into the top 50 percent of earners in America, you only have to make about $35,000 a year.
What’s all that mean? It means a lot of things, but it mainly means this: not a lot of people are rich. But everyone wants to know how to actually get rich.
You’re tired of worrying about money, wondering if your next rent check is going to clear, and existing in fear of the cost of living. So, if other people got rich, why can’t you?
Here’s how other people (actually) got rich quick:
- Invest now. Don’t wait. You’ll look back on your decisions and thank yourself later.
- Be realistic about how you are with your money. Start to believe that you can actually get rich.
- Give yourself the tools you need to earn more money. Listen to podcasts, do your research, and set out clear budgets and goals for yourself.
Learn How to Invest
Knowing how to invest in a single thing that will bring you the most value. You can generate a passive income on top of the income you’re already making.
Sure, saving money is important. But when you’re investing your money, you’re still saving it. You can cut out your daily caffeine habit. But that’s limited. At some point, you’re going to run out of ways to save. But there is unlimited potential to how much money you’re actually able to earn.
The most simple way to start growing that money that you already have is to learn how to invest it. And by investing, we mean the stock market. Once you learn the ins and outs of investing in the stock market, you don’t have to do much additional work. You can put that money aside, and wait for it to grow.
You can’t get rich right away with what you invest in stocks. It’s more so a surefire way of making your money. With stocks, there’s a 7 percent gain on average. That means that in ten years, your investment can effectively double. That’s a lot better than buying a cold brew or sticking your money in a savings account.
Look at Real Estate
The stock market is one of the most steady and guaranteed ways to get rich. But there are plenty of other places where you’re able to invest.
With the stock market, you don’t need a lot of initial funds to get started. When looking at real estate, you have to have the upfront capital required to invest. But if you do, indeed, have that capital, your returns are going to be huge.
Think of real estate as one of your future goals if you don’t have the funds already. Look into turnkey rental properties. It’s another way to generate passive income that has a huge payoff in the end.
The Devil’s in Your Debt
You know you don’t like your debt. Who likes debt? But it’s hurting your plans to get rich more than you might actually realize.
When you’re debt-free, your life is free. Trying to get rich while you’re in debt is like trying to cook without the oven on. You’re busy spending the money that you don’t have, while your interest is busy compounding. Before you know it, you don’t have enough money to pay it off.
Pay off your credit card debt before you do ANYTHING else. Learn about the stack method of paying off your debt. When you go step by step, you can break free of the pattern you’ve created for yourself and start on your path to getting rich.
Get Rid of Your Stuff
Some people think that things equal to wealth. This can be true. But when you’re starting to build your wealth, it’s not.
If you have a monthly car payment, you’re draining your chances of getting rich quick. An extra $400 a month to drive your car? Add that to your rent, medical bills, phone bill, and everything else, and you’re on the path to nowhere fast.
First thing’s first: Downsize. Move to a cheaper apartment. Ditch your car payment and get a cheaper car. Sell everything you have that’s non-essential and use the cash to invest. It’s okay: you can get all this stuff back later, and in bigger and better form. But you have to downsize first before you can get rich later.
Buying stuff costs money. Having stuff costs money. Using stuff costs money. When you cut down, you’re generating money.
Cut Your Habits in Half
Do you know how much money you actually spend? We’ve already talked about your coffee. By tracking how much you spend on coffee or food alone each month, you might get a huge wakeup call. Think of how you could invest that money elsewhere, and you probably won’t crave caffeine as much as you used to.
Create a list of all the things you really, actually, truly need to buy. Put it on a one month list. If you’re looking at buying anything that’s not on that list, it’s extra. If you can’t afford the extra thing, don’t buy that extra thing. You’ll be able to buy it later when you have the money.
It’s Your Turn to How to Actually Get Rich Quick
You’re not going to get rich if you sit around and dream about it. You are actually going to get rich if you set out a plan for yourself and follow through with it. Think about it. Everyone wants to get rich. We’ve been over that. But how many people are going to sit down and actually structure out their life in order to do it?
The first step to getting rich quick is believing you can. Once you can do that, you’re ready.