How To Turn Your Dream To Build Wealth Into Real Riches

How_to_build_wealth

How do you turn your dream to  build wealth from scratch into definite riches?

 

The answer is you need to do two things to fulfill your dream to build wealth.

First  you need to know  your present net worth. Which means  you need to do a reality check on your present financial status.

 

The second thing you need to do is-look for proven paths to building wealth-that will help you fulfill your dream to build wealth

 

I want you to take this advice seriously because they are the most important steps in building wealth.

 

Why? Because one of the main reasons why many people fail to build wealth is: because they don’t know the true meaning of wealth.

 

The second reason many people fail to build wealth is -even when they know what it takes to build wealth-they don’t know what steps to take in order to start building wealth

 

I  address the difference between wealth and income in the my article:  how to build wealth starting from scratch

 

If you have not read the first part of this article you can click here to read more

 

Let’s recap the steps you need to take-if you are building wealth starting from scratch.

In order to build wealth from  scratch you must:

 

 

  •  Determine the annual income you need to live your dream lifestyle
  •  Determine your ideal net worth you need to live your dream lifestyle
  • Do a reality check on your present net worth. So you know how much wealth you need to accumulate.
  • Choose one or two proven paths to building wealth.

 

In addition to these 4 steps …

  • You should then draw up a plan to start building wealth with your chosen path and  take massive action on your plans

 

We have talk about the  first two steps to building wealth from scratch

Let’s  now go on to…

 

Step #3.  Do a reality check:  determine your present net worth to know your income gap

 

The most important step in your journey to build wealth is when you do a reality check on your present net worth

 

Why?  Because it’s only when you know how much you are worth that you can know how wealthy you want to be.

 

It’s easy for you to read all the motivational books in the world…attend seminars on wealth … dream about driving your Ferrari down Miami’s south beach

But if you don’t even know how much you owe, how much assets you have… you are only deceiving yourself

 

The best way to determine your net worth is to do a simple math of your:

 

  •  Assets… that is estimate the value of what you own (equity in your house, car, jewelry, savings, bonds, stocks and any other thing of value you have)
  • Liabilities… this is the estimate of who you owe (mortgage, credit cards, personal loans, car loans, student loans, and any other person you owe money)

Then you do the math…

 

Assets minus liability equals your true wealth

 

For example if you have assets of  $250000 and a liability of $100000 your net worth is  $150000

 

Your true wealth  is  $150,000. Your net worth gives you an idea of how much wealth you have to accumulate in order to achieve your ideal net worth

 

By doing a true valuation of your net worth you’ll know how much wealth you have to acquire.

 

It’s easier to focus on your journey to build wealth because you know where you are going

 

The very act of writing down your true wealth-allows you to do a sober assessment -of what you need to do in order-to build wealth

 

When you know your true wealth …you are moving from being a dreamer to a doer… which means you are ready for the next step

 

That is…

 

Step #4.    Choose a proven path  to building wealth

 

The four proven ways to build wealth are…

 

Investments: accumulation of shares, stocks, bonds, savings

Real estate: owning rental and commercial properties

Business: marketing products and ideas

Internet: expanding possibilities

 

If you look at Forbes list of the richest people …they all made their wealth from one or more of these proven paths to building wealth

 

It’s very rare for you to become wealthy working for someone else except: you get equity from your employer.  In that case you are an in-house entrepreneur

 

The biggest reason many people fail to build wealth from any of these proven paths to wealth  is lack of focus.

Many people also fail to build wealth because they have a  get-rich-quick mindset.

 

The truth about getting wealthy from any of the proven  paths  for  building wealth is…

 

That it takes hard work, tenacity and persistence to build wealth.

 

So if you have a 9-5 mentality and love job security…

 Don’t even bother trying to choose to start a business..or investing in shares…or an internet marketing business.

 

Why?  Because you’ll easily get disappointed if your plans don’t work out at the outset of the journey.

 

You need to work hard in any of the wealth building vehicles for at least 3-7 years-before you start getting results.

 

Now if you are the type that  prefers  job security…then I would advice you…

…keep your job and instead save up for retirement

 

These 2 steps in  building wealth is crucial because it’s the gap…between dreaming and fulfilling your desire to build wealth

 

I would like hear your comment on:  how to turn your dream to build wealth in to riches

 

 

 


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