Wealth is a Habit.
There is one simple rule to become wealthy. Spend Less than you earn and invest the difference.
That's it
Simple, yet not easy
In the news, Johnny Depp is going broke. He is set to make $100 million dollars this year. So why the heck is he going broke?
Johnny Obviously has a habit of living a lavish lifestyle.
Meanwhile the little old lady across the street living in her modest house and driving her old Honda may be a Millionaire.
Start making wealth a habit. Spend less than you earn. This means getting out of debt. If you have more debt than you can handle than maybe its time to consider filing bankruptcy. I know people who don't like me saying this, but in many cases it could save your financial future.
Once you are out of debt, save whatever you can. If you are in the habit of keeping up with the Joneses, this may be hard for you at first. Figure out what you really need to be happy. Chances are you can be happy without the latest Iphone and $4 lattes.
Invest smart. Think like Warren Buffet. He recommends investing in the big index funds. Check out SPY or VTI through your brokerage. Those have low fees and proven track records.
Do yourself a favor, make wealth a habit instead of a dream. Bit by bit you will get there.