Check out this video and learn the number one action that leads to long term wealth.
There are many tips and courses available to teach better financial habits and give you the tools to succeed, but this video from Dave Ramsey explains the number one reason why people retire wealthy.
Save Save & Save Some More!
As you’ll hear from the video above, the number one key on how to retire wealthy is your savings rate! Most people understand the phrase you gotta spend money to make money, which can be true in some cases, but is highly dependent on what you’re actually spending money on. Few, however, immediately grasp the idea that you have to save money to have money in the first place. This is largely because marketing and advertisers promote savings as spending less than you would have rather not spending the money at all. Following this ideal will have you “saving” on items you don’t need and needing money you didn’t save!
After You Invest Invest Invest!
Like I mentioned earlier spending money to make more is a valid philosophy if you’re spending the money on the right assets. In the video this practice is clear as Dave Ramsey mentions the money saved going to a 401k or IRA. Both of these accounts are vehicles for investors investors to buy stocks (appreciating assets) and increase the value of their money as the shares and companies become worth more. When making this transition into investing, do your research to not bet on a dying company. If you’re just getting started you may want to consider mutual funds or ETFs for a passive approach until you learn the ropes.
