It’s a new year time to get serious, I want to share a few tips about successfully building permanent wealth.
Tip #1: Wealth building is a choice
Life gets busy and distractions are waiting for us everywhere to take us away from our wealth goals.
Focusing on your wealth is a choice. There is always something else to do if your wealth goals are not a priority.
A clearly written wealth strategy is a great way to avoid this trap. Staying focused on your strategy makes the distractions easy to identify and avoid.
Tip #2: Write it down
Have you written down your wealth strategy?
If you don’t have a written wealth strategy, then you are winging it. This is a dangerous approach to building wealth. It’s like walking into a financial planner’s office, asking to see what investments they offer, and saying “I’ll take one of those, one of those and two of those.”
While it is great to take action, there needs to be a plan behind the action. Winging it in your wealth strategy can set you behind by years, even decades.
Tip #3: Stick to your plan
Whether intentional or not, others will try to throw you off track.
Too many times I’ve had someone share with me that they took a different action or didn’t take an action because their colleague, neighbor, friend, family member, co-worker, advisor, or some other person talked them out of it – or scared them out of it.
There are people who just love to share their nightmare investment experiences when you tell them you are planning on making a similar investment. They usually have nothing but terrible things to say about the investment which leads many people to question what action they should take.
A wealth strategy is very specific to the person. Your wealth strategy is specific to you – based on your likes, your dislikes, your family, your goals, your dreams, your financial situation – everything is customized to you.
Just because an investment didn’t work for one person doesn’t mean it won’t work for you.
And the reverse is true – just because an investment works for someone else doesn’t mean it will work for you.
I actually like it when people share their nightmare experiences because I want to learn what went wrong so I can leverage off their experience and avoid their mistakes. This is a great way to increase my financial education and reduce my risk.
But I’m careful not to let it throw me off track.
Once again, I go back to my written wealth strategy. I can refer back to why the strategy made sense in the first place. I can then determine if something has changed, or I can confirm that my situation is different. This approach is much more strategic.
Focus on your wealth!
By: Tom Wheelwright – Tom’s firm provides my tax advice and wealth planning. I encourage you to check out ProVisionWealth.com