It does not matter how much you earn. Some people have made money work for them as opposed to working for it. The strategy for building wealth remains the same.
Here are four easy steps you can try:
1. Earn money from income
The first step is to earn money from income. For most people, our job is our only income stream. If you are an entrepreneur, your business is your income stream.
You can use your main income to create multiple streams of income. Having a high paying job is a bonus. If you have spare time, you can always start a side hustle or look for a part-time or weekend job to earn additional income.
2. Live within your means
It is important to know your spending habits. Creating a monthly budget will help you live within your means.
Even spending can help you earn some cash back. There are many credit cards that offer cash back just by using it to pay your daily expenses. This means if you spent a certain amount, you would get some money deducted from your credit card bill. You may also be able to collect reward points which can be exchanged for cash vouchers, household items, electronic gadgets and other things.
Before you consider getting a credit card, you should have the cash to spend on whatever you need to spend it on. Do not use credit cards to create more debt.
There are also digital wallets that reward their users with cashback and reward points. Here is another bonus tip, you can use online cashback apps such as Shopback to get additional cashback on top of your credit card and digital wallet cashback.
3. Use the balance money to make more money
Put up to one-third of your salary into savings and investments. Use this portion to create multiple streams of income. You can start exploring stocks, property investment, gold, and other investment options.
Keep repeating the process to create multiple streams of income. The more time you spend investing means the more assets accumulated and therefore, more compounding.
It is not too late to start now. Remember to hustle before you can reap the rewards of passive income from your multiple streams of income and assets.
With the right strategy, it could lead you to your financial freedom. Are you working for money or is your money working for you?