Sometimes we make becoming wealthy way too complicated of a topic.
After 25+ years of:
- Managing my own finances
- Studying how to manage money
- Writing thousands of articles and (probably) millions of words on the subject
- Achieving financial independence
- Retiring early with sizable assets
I’m more convinced than ever that the way to become wealthy simply boils down to this:
Earn, save, and invest as much as you can for as long as you can.
That’s all.
Have a great Friday and a wonderful weekend!!!!!
duh!!! I love this. It’s so simple, but not easy (for oh so many people that I know).
Have a great weekend 🙂
You’re so right!
I actually wrote a guest post on the simple/easy issue you mention:
http://poorerthanyou.com/2017/03/13/good-news-bad-news-personal-finance/#
Simple does not mean easy. People sadly confuse them. Have a fantastic Good Friday.
cd :O)
That is awesome. Sounds pretty simple to me!
Lisa
@MadMoneyMonster
As long as you can? I’m playing devil’s advocate a little bit here and trying to help.
Unless can means:
– still can stand the workplace
– can’t reasonably leave the workplace and still have income
– can keep your mental health in a 9-to-5
I do love the simplicity of your sentence. Thanks for sharing.
Haha!
I like the ring of what’s above but I see what you mean. How about:
“Earn, save, and invest as much as you can until you reach financial independence.”
Better?
Fantastic
And feel good about what you accomplish! Don’t worry about the person next door who has more or the blogger with a higher savings rate. Just do the best you can and celebrate what you are able to do!
This is great advice. It’s very easy to want to show wealth vs having wealth. I have a few expensive hobbies and I’m trying to move away from them as financial independence is more important. In many ways it seems that a lot of people here have made saving and investing their hobby.
A simple principle yet too many find hard to live.
I don’t know why.
I agree 100% and what I have been doing for the past 33 years.
It is very true and its worked for me. I havent made anywhere near big money my whole life but just saving automatically every year for 25 years has worked out pretty well. Almost hard to believe really and I havent done things perfect either until more recently. Max out your accounts when possible and dont try to time the markets. Live smarter and cut out the wasteful spending on things that dont matter.
Hahahaha. Yes!
Ah, only if life were that simple. I think the operative phrase in your statement is “as much as you can for as long as you can”. During my working career, many things have happen to thwart my earn, save and investment plans. During my working career, I have experienced many bumps on the road to achieving any wealth. I have incurred educational debt for myself and three children. I have experienced job loss more than once. Cared for a parent. Divorce of a spouse. Major illness of a second spouse. Bad investments. Tax debt.
Fortunately for me, I was able to max out on investment plans on each job. I have lived in low cost cities. My children and I never suffered any major illness. I should have a fairly comfortable retirement but not an early retirement.
Love it, I shared this post on my new blog.
Great advice, and I always appreciate conciseness!