Some people might say that we shouldn’t be too materialistic. Well, that makes sense because being one means that you are likely to lose track of the real things in life such as freedom and happiness.
But little do people know that money, or in a more specific sense, wealth is as true as the air you breathe. We live in a materialistic world that is run by a strong economic system consisting of money.
There’s just no way we can achieve freedom and happy life if we do not have enough wealth. Yes, you can just live a simple and backward life, but you’ll never know how life will treat you when worse comes to worst.
And during times like these, you need to spend heaps of cash just to get by with your life.
Hence, it makes perfect sense to build up wealth and do your best to increase it, if possible, exponentially.
Work hard
The first best thing you can do is to work hard. Working hard means that you develop self-discipline which is crucial to building up wealth. Work hard so that you can earn a salary that comes in regularly.
That will be your initial buying power. But it’s not time yet to spend. Instead, save up money and live a lifestyle below your means.
A high salary doesn’t mean that you are assured of financial greatness because there is still a chance that you will spend too much. Just do your best to save and work hard so you can earn money and the discipline needed to manage your wealth later on.
Work smart
Working hard is good, but you also need to learn how to work smart. What’s the point of working too hard if there’s a chance for you to earn more while exerting less effort and spending less time.
You can even get a lot of jobs and then outsource them to other people while paying them less than the original price.
That’s where you get a certain percentage. So you don’t spend time or at least just spend minimal time checking the work and getting a good percentage pay cut from every outsourced work.
Think smart and outside the box. Note that even the person who works the hardest out there is still going to be left behind by the person who works the smartest.
Invest
Once you already worked hard and worked smart, there’s a good chance that you already saved up a significant amount of money.
That’s then the time that you can let your money work for you. Investing is like planting seeds and spending some time to water them so they can grow and then bear fruits for you.
Note that you can’t be considered rich if you can’t earn money when sleeping. That’s called passive income. We suggest that you invest in real estate, cryptocurrencies, and the stock market.
Real estate is the best and safest investment because land and properties don’t depreciate. They appreciate which means that they increase in value through time. But the catch is that the growth is very slow which is just around 1% to 3% annually.
You can then go for cryptocurrencies if you are a risk-taker because the gains are very high. But the risk is also high because price swings can go around 50% to even 80%.
However, you can also get exponential gains and multiply your capital up to 100 times or even 1,000 times more. The stock market is similar to the crypto market but price volatilities are way lower. Expect a gain of around 3% to 10% annually.
Diversify
If you want to be smart about your investments, then you should diversify. Diversifying means that you don’t put all your investments in one place.
It’s just like not putting all your eggs in one basket because if that one basket falls, then all the eggs will break. Instead of putting all of your money in real estate, then also put it in the stock market, and into cryptocurrencies.
You can also buy precious metals such as gold bars and jewelry because they are a good store of wealth. It will also be smart if you start a business such as selling custom LED lights because many people are flocking to buy them due to their cost-efficiency and superior luminosity.
Learn new skills such as knowing more about DIY so you can save costs on renovations or certain physical projects.
Spread your expertise on different areas so if one area falls, then your entire arsenal won’t go down with it. It might mean spreading your wealth too thinly and lowering your chances of immediate capital gains. But that’s better because it’s the safest thing to do.
Build your network
Build your network to create more opportunities for you to build wealth. Surround yourself with people who are successful and who have dreams in life so you can be influenced by their ambitious, yet wealth-accumulating goals.
Take calculated risks
Investment is just like gambling because you’ll never know what will happen. But unlike gambling, the risks involved in investment are calculated.
Invest money that you are willing and can afford to lose. It’s all about letting your money work for you, but not to the point where you just aimlessly spend them on things you think will double or triple your capital.
An example would be selling hand sanitizers. It’s a nice idea to sell these days because of the pandemic.
But there’s a chance that demand for it will decrease once everything comes back to normal. Nonetheless, it is surely a lucrative business. Weigh things out and do deep research on the investments you’re planning to dive into.
Conclusion
Listen to our tips and follow them carefully.
Practice diligence, be wise, and be patient in your investments. In no time, you’ll surely multiply your wealth in ways you never imagined before.
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