Sure, the very wealthy are different than the rest of us — and in more ways than just the lavish lifestyles you see on television and tabloids. The rich also have a different mindset when it comes to handling and managing their finances.
You likely think the wealthy guard their wealth-building secrets closely. And to some degree, that’s true. But there are many ways you can emulate their fiscal practices to find your own way to financial freedom.
Work with Professionals
It’s a myth that financial advisers are only accessible by the wealthy. In fact, people with moderate incomes benefit more from expert advice than those who are already financially secure. For example, Singapore firms such as Asiaciti Trust serve private clients who want to make their money work for them, retire early and secure a solid financial future.
Working with the right financial advisor allows you to invest, save, and grow the money you have. Choose a firm that has years of dedicated service and proven results.
Embrace a Wealthy Mindset
To be sure, Singapore has many rich and famous people—and movies like “Crazy Rich Asians” can make it seem like a typical worker can never attain personal wealth. But that mindset can serve as a roadblock between a go-nowhere career and true growth.
Many extremely wealthy individuals believe financial security is a right and something they worked hard to achieve. Of course, some people inherited their wealth. But others began in situations similar to your own. Instead of thinking that financial security was out of reach, they took action and never looked back.
The simple truth is that if you do not believe you can become wealthy, you will not. Change the way you think about life, money and security. Become a positive thinker. Realize that if you take measures now to grow your money, a financially secure future is in your hands.
Save or Earn? Which is Better?
No one doubts that saving money is a positive step. But, saving money does not earn money for your future. Savings often earn interest, but interest earned in a savings account is minimal. You will not gain much financially with a savings account. What can you do to get more of your money? You can make it work for you.
Investing even small amounts of money can pay off over time. One of the reasons people hesitate to invest is the volatility of the stock market. But, when the wealthy suffer losses due to the stock market, they do not panic. Instead, they look for new opportunities.
Think of your money not as a way to save for the future, but a way to earn for your future.
How to Start
Your first step toward financial freedom and sustainable wealth is to stop letting your finances control you. You have to take control of your money and decide where it goes and how it earns.
The Credit Bureau Singapore reported that in 2015 thousands of people had unsecured, interest-charging debts equal to 24 times their monthly salaries. And, contrary to popular belief, it was the educated and middle- to above-earning income borrowers who had the most debt.
Take stock of your current financial situation. If you find yourself in debt, instead of thinking of how to pay everything off quickly, think like the rich. Begin a wealth-building financial plan now. Do not wait until all of your debt is paid off. You will pay for the rest of your life.
The truth is that you do not have to have a lot of money to begin. You will, of course, continue to pay your unsecured loans as required. But, also take steps now to build wealth.
Your financial adviser expert can help you choose stocks and bonds in which to invest. You also have other options to build your wealth, which include starting your own business and investing in real estate. Both are potential paths to grow your money. Both require research and careful planning before starting.
It Is Never Too Late
The earlier you begin planning your wealth-building strategies, the better. If you have not started before you may think it is too late now. It is never too late.
Talk to your adviser for a personal plan that fits your age, income and obligations. Whether you want to become rich or ensure a comfortable retirement, put a plan in place now.
Action is healthier for the mind and body than stress and worry. Take steps now to build your future and that of your loved ones. You will be surprised at how much better you feel.