Secrets to wealth

Let’s get straight into it. There are three things you need to do regardless of your income, your education, experiences or anything else, which could make you wealthier than you ever thought possible.

With enough time frame doing these three things could make you very wealthy both in terms of money and in lifestyle, affording you choices to do things that are important to you.

Spend less.

Watch what your spending on and make an effort to save on recurring bills plus question if you need the 65” TV, the 55” TV will do just fine (hint if you think you need a bigger TV just sit closer to it).

Also check what discounts you get for paying for bills annually instead of monthly. This can range from a 5 – 15% discount.

Millionaires breakfast story

A few months back after swimming classes we went to the surf club for breakfast. And who do I see there one of my wealthiest clients. My kids are running all around but he comes over to me and says “mate I have something for you”, rummages through his wallet and gives me a buy one get one free breakfast voucher. To which I reply I already have one and that’s why we come here. My client smiles at me and says and that’s why I’m one of your clients.

Maybe there is a secret to wealth in that quick story…

Next one.

Save more.

It doesn’t matter what you earn, $50,000 or $300,000, if you can’t save you won’t get wealthy. I have some doctor clients who will retire on an age pension while I have bus drivers who are in the millionaires club.the income wasn’t what made them rich – it was the savings and ultimately investing that did.

Save 10% of your net salary and when you get pay rises try and put half of that pay rise into savings.   This step alone will make a massive difference later

Invest in a well-diversified portfolio.

If you have 5 years plus as a timeframe buckle up and invest in a high growth portfolio. There will be ups and downs but if you are investing regularly you will get more shares / units when the market is down than when it is up – so volatility becomes your friend, not foe.

Hope you enjoyed this quick post.

Hugh

As always, if you would like to discuss the contents of this newsletter please give us a call 07 5559 5760.