You've just graduated college and you'd like to be wealthy someday. Of course, you would. Problem is, you have no clue how to make it happen. First, you're broke and drowning in student loans. Second, no matter what the "experts" might say, it feels like there are tons of fellow grads fighting over a handful of jobs. Third, though you don't mind hard work, you don't want wealth to come at the expense of a social life, a family, and the chance to do some good in the world. Should you give up the dream and content yourself with an average life?
Not only is it completely possible to become a multimillionaire before you retire, but also you will never again have the advantage you have now: youth.
Most young people simply have no concept of how simple it is to build wealth. I didn't say easy, because hard work and self-discipline are required, but simple. Any reasonably intelligent person with a fairly ordinary career trajectory can do it. But now is the time to get started. With every year that passes, your window of opportunity closes a little more. Sounds good, right? Read on:
Pay out your money in the following order:
Of course, all of this advice hinges on your finding a decent-paying first job. Here are a few tips on landing one:
Don't succumb to the temptation to pay for prestige. A big part of being able to save the requisite 15 percent involves not blowing your paycheck on expensive cars, high-dollar meals, and trendy couture. But that needn't mean depriving yourself.
Beautiful, comfortable clothes are not cheap, but they don't have to cost a fortune. You can buy a great pair of slacks for $150 or you can spend 10 times that amount. The difference will be the label on the waistband. The point is this: The best material things in life are affordable. They are not cheap (quality never is), but if you buy them selectively and use them with care, you can enjoy a life as materially rich as Bill Gates on an income that wouldn't get him through lunch.
Right now, you may think becoming a millionaire is not a laudable goal. You might say money doesn't matter. Well, it may not matter now, but it certainly will when your kids are applying to colleges or when you're approaching retirement. Financial independence frees you to live a rich, fulfilling, authentic life. And that's the true definition of wealth.
Michael Masterson has been making money for himself and others for almost four decades. At one time or another, he's owned and run companies that were public/private, onshore/overseas, local/international, service-product-oriented, retail/wholesale/direct mail, and even profit/not-for-profit. Masterson is the author of Automatic Wealth: The Six Steps to Financial Independence, Power and Persuasion: How to Command Success in Business and Your Personal Life, and Confessions of a Self-Made Millionaire. Available at bookstores nationwide, major online booksellers, or direct from the publisher by calling 800-225-5945. In Canada, call 800-567-4797 or visit www.investmentu.com.
If you enjoyed this article you might also want to check out:
Sign up for our free eNewsletter Dollar Stretcher Tips.
Looking for an answer to a frugal living question? Click here to ask a
Dollar Stretcher Stretchpert!
Copyright 1996 - 2013 "The Dollar Stretcher, Inc." All rights reserved unless specifically noted.
Contact the Dollar Stretcher at:
PO Box 14160
Bradenton FL 34280
"The Dollar Stretcher, Inc." does not assume responsibility for advice given. All advice should be weighed against your own abilities and circumstances and applied accordingly. It is up to the reader to determine if advice is safe and suitable for their own situation.