Top Ten Tips To Get Rich Slowly

We'd all love to win the lottery, but the reality is most of us never will. There are ways, however, that you can get rich slowly. Here are ten tips for people looking to secure their financial future:

  1. Hoard income-producing assets
    Building up income-producing assets is one of the best ways to get on track to financial freedom. When you are young, a mortgage is like forced savings. It's easier to maintain a frugal lifestyle when you don't have wads of cash burning a hole in your pocket every week. Getting your foot in the door of the property market early also sets you on track to not only own your own home sooner, but eventually purchase investment properties.
  2. Avoid personal debt
    Credit cards make it all too easy for young people to spend money they don't have. A good rule of thumb is if you don't have the money in the bank to purchase an item outright, don't even consider putting it on your credit card. Credit cards are very convenient and they're great for managing cash flow, but you should always pay off the balance in full every month to avoid the exorbitant interest charges.
  3. Get the best deals
    Whether you're buying a car, or just looking for a pair of shoes, doing your research can pay off in a big way. Many retailers are negotiable on their marked prices, and with some items holding a mark-up of 50% or more, big savings can be made if you shop around and always ask for the best price.
  4. Live within your means
    There is truth to the saying that the more you earn, the more you spend. Adjust your lifestyle according to your finances, but don't overspend on assets that won't increase in value or contribute to your earning potential in any way.
  5. Buy a slightly used car
    A new car may be more reliable and have superior features than a ten year old vehicle, but buying new comes at a cost. The moment you drive away from the dealer the value of your new car drops 10 - 20%. This may not be an issue if you intend to keep the car for a decade or more, but most people change cars every 4 or 5 years. Buying a car that's only a couple years old will save you a bundle because someone else is effectively suffering the new car depreciation for you.
  6. Minimize your tax
    We all have to pay tax, but it's a good idea to take the time to research ways in which you can minimize your tax liability. There may be several expenses you can claim on your tax return. Don't pay a cent more than you have to.
  7. Work hard
    This may seem like an obvious one, but given the right situation you really can improve your earnings by working hard. Set goals for your career and investigate options for how you will achieve them. Hard work will allow you to better appreciate the financial security that it brings.
  8. Balance and diversify
    Don't let work rule your life. It's important to dedicate time to relationships and recreation, just as it is important that you balance your financial investments. Split your wealth between several types of investments with a good history for long-term performance, such as property, shares and savings accounts.
  9. Improve yourself
    Time spent at the gym or reading a good book may seem like it is unrelated from work, but the reality is everything you do while you're away from the office will affect your job performance in some way. Taking the time to wind down after work hours could pay dividends when things get really hectic on the job. Likewise, any external training whether athletic or educational will affect your abilities and energy levels at work.
  10. Spoil yourself on occasion
    Frugality is very wise, but if you don't reward yourself every now and then it could come back to haunt you. Go to a nice restaurant, take a holiday, or pick up that new toy for Christmas. You've earned it!

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